No. The PEO client/business owner retains ownership of the company and control over its operations.
As co-employers, the PEO and client will contractually share or allocate employer responsibilities and liabilities per a client service agreement (CSA). The PEO will generally only assume responsibilities associated with a “general” employer for purposes of administration of benefits and remittance of payroll and payroll taxes. The client will continue to have responsibility for worksite safety and compliance. The PEO will be responsible for remittance of payroll and employment taxes, may maintain employee records and may retain a limited or general right to hire and fire, as delineated in the CSA.
Because the PEO also may be responsible for providing access to workers’ compensation coverage, many PEOs also focus on and provide assistance with safety and compliance.
In general terms, the PEO will focus on employment-related issues, and the client will be responsible for the actual business operations. In other words, you run your day to day operations and everything else is handled for you.
At Payroll Plus Outsourcing, we pride ourselves in saying, “we can SAVE you and your business a great deal of TIME, MONEY and AGGRAVATION. WE CAN HELP!