What Is Employee Leasing

Employee leasing is similar to the process of hiring temporary workers, but the key difference is permanency.

A company wishing to pursue employee leasing will first contact a Professional Employment Organization (PEO) to discuss its particular employment needs.

The PEO or other employment leasing company might set up an interview process for recruiting new staff, or might take responsibility for existing workers.

The company can still participate in the hiring process, but any hired personnel will officially work for the employee leasing company.

 Wages and performance reviews are under the auspices of the employee leasing organization, not the original companies. 

Workers are not considered employees of the company in a legal sense, personal injuries and workers' compensation claims become the responsibility of the employee leasing agency.

What Can A PEO Do For You

More specifically, a PEO establishes a contractual relationship with its clients whereby the PEO:

-  Pays wages and employment taxes of the employee out of its  own accounts

-  Reports, collects, and deposits employment taxes with state and federal authorities

-  Establishes and maintains an co-employment relationship with its employees which is intended to be long term and not temporary

-  Assumes responsibility as an employer for specified purposes of the workers assigned to the client locations

-  Shares the responsibility of co-employees wages and safety with the client.

Where To Find PEO's

Below is a list of PEO’s that you can contact if you wish to utilize their services.  Some PEO’s only provide service in certain industries and certain geographical locations of the country.  Visit their website and contact the organization to learn more about their services.  You can request quotes for free.