Employee Leasing Vs Staffing Services - What's The Difference?

"body">has to be devoted to employee issues- therefore the
Over the years I've dealt with many business ownersvalue of outsourcing this work becomes a more
who confuse Employee Leasing (a.k.a. PEO services)profitable decision.
with staffing or temporary labor companies. In manyA business can benefit by using a staffing or
cases those same business owners have hadtemporary help service in variety of ways, as well. The
experience with one or the other services, but reallyobvious advantage is the ability to access short-term
aren't familiar with the differences. So what are they,help immediately. Whether it is a construction project
and how do each benefit employers?with a timeline that requires temporary labor, or a
To begin with, an Employee Leasing company's mainsecretary who takes a leave of absence for an
benefit to an employer is to relieve the non-profitextended period of time; accessing pre-qualified help at
producing tasks of dealing with employeea moment's notice is when these services can be an
administrative hassles- such as payroll, employeeemployer's best friend.
benefits, human resources and workers' compensation.The administrative costs such as payroll,
By outsourcing these to an Employee Leasingunemployment taxes and workers' compensation are
company, the employer can focus on what they dohandled by the staffing company. The employer also
best and grow their bottom line.relieves themselves of any benefit requirements like
Throughout the years, business owners have facedhealth care, vacation, sick or holiday pay. But, there is a
increasingly escalated government rules regardingpremium to pay for these short-term employment
employment. Employee Leasing companies assumeservices. The overall employee-related costs will be
many of these responsibilities and provide expertise inmuch higher including fees that are added for using
human resource management.staffing companies. The added risks and administrative
An Employee Leasing company is typically the mostcosts for the services they're providing is exactly why
cost-effective option for an employer when thestaffing companies are to be used as a temporary
business owner has five or more full-time employees.solution.
Costs related to workers' compensation,Just as convenience and grocery stores fill a specific
unemployment tax and payroll administration are muchneed, the services that Employee Leasing and staffing
less in comparison to a staffing or short-termcompanies provide (although different) are an
employment arrangement. As you can imagine theinvaluable resource for businesses.
more employees as a business has, the more time