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Employee leasing is a service provided by Professional Employer Organizations (PEO) to their client companies to provide administrative ease to the management, so that they can concentrate on core business activities and to help managers to effectively take care of human resource matters. In the future, this service will be more and more sought after because of it capability to provide high-performance human resources solutions and give administrative relief for busy business managers. The US Department of Labor Statistics predicts that by the year 2020, more than half of American employees will be employed by Professional Employer Organizations (PEO).

In the United States, businesses are undergoing fundamental changes in the area of human resource management. This is because over the past two decades, has seen a significant increase in employment-related federal, state, local laws and regulations. Anther aspect to consider is that in today's scenario, a lot more expertise is required to manage a small to mid-sized business than what the entrepreneurs who started these businesses are equipped with. Finally, working Americans now demand comprehensive, affordable health care, retirement savings plans, and other employee benefits for themselves and their families. These factors have led to the demand of an effective and effective human resources management system to which the employee leasing industry is providing its services as a solution.

Driven by the needs of business owners seeking solutions to the increasingly complex "business of employment," Professional Employer Organizations (PEO) lead the way as the staffing solution of the future. Any organization that takes up the services offered by employee leasing firms benefits from an expert team of individuals, who strive to constantly innovate in the way they deal with issues such as employee payrolls, claims, insurance or advising employee on their employee rights and due benefits. This paves way for a better employer employee relationship and the employer can concentrate on running the business leaving the issues administrative issues of human resource management to the PEO. Employee leasing reflects the demands of a new business era and a fundamental change in human resources management

About the Author

Linda James - Employee Leasing