Aside from assuming many responsibilities and liabilities as your “co-employer”, an employee leasing firm and the services it offers is great for your company as it gives you more time to manage the key parts of your business. With many entrepreneurs realizing that training and recruitment shouldn’t be that time consuming, difficult, and risky, staff leasing has been a smart solution for employers who wish to fulfill their HR requirement. Below are some of the few reasons why it has been a top choice.
One advantage of staff leasing is that it helps employers like you to focus on your core competencies instead of worrying about government regulations, payroll taxes or administrative duties. With such assistance, you can focus more on product development, production, marketing, sales and customer services which by far are integral to your business operation. Moreover, it allows you to get back your time, and increase your revenue.
Improve Cash Flow
An employee leasing firm like KMC Solutions takes all your other expenses including your employment fees and combines them into one which will be charged on a monthly basis. Easier compensation schemes coming from a provider that offers predictable payments each payroll period is much more convenient and logical. Moreover, instead of increasing internal investments in new employees, these firms help you to minimize your labor costs.
Manages Workers’ Benefits
They can also provide you an umbrella structure and take on many small companies. They then consolidate them to offer lower premium medical benefits. As these companies have a pool of 1000 employees or more, it can absorb your personnel and incorporate them to a bigger medical benefit system. By such means, it will enable your business to compete and offer comparable benefits similar to that of larger companies.
Familiarization of Domestic Laws
These firms are useful in in helping your company understand the various rules that might affect your growth. They can also provide assistance as to what you should do in certain problematic situations. In addition to their labor law services, they also provide and store legally required employee forms and paperwork.
Maintain and Reduce Risk
Lastly, additional benefits are acquired in companies with workers compensation modifiers that are relatively higher. An employee leasing firm may have a modifier that is less than that. This therefore ends up offering your small business a cheaper rate. Most importantly, they can give advice to develop workplace safety especially in reducing claims. They will also proactively manage your worker’s compensation coverage and will help you to reduce claim costs including fraudulent claim identification.
Anthony Kelly is a frequent contributor to employee leasing firms in America. He frequently writes about compliance, human resource outsourcing and many other issues affecting small business owners in the country.