Posted At: Jan 01, 2023 - 123 Views

By Ashley Kinsey2022-12-15  

What is a PEO and can one change the future of your business?


What is a PEO?


The abbreviation PEO stands for Professional Employer Organisation. This is an organisation offering a people-based service, in a co-employment relationship. Hiring employees on behalf of another company and offering the wealth of their talent, whilst handling the administrative responsibilities of employment. The processes managed by these employees very much depend on the provider, though the possibilities are extremely wide with the right technology.

The operational commitment is in the hands of the client company, managing their workload and day-to-day effectiveness, connecting fully as a team, and helping them understand the brand. The PEO managing HR and payroll makes this much more feasible for a company with minimal free time.

Why are PEOs needed?


In today’s climate, businesses need to work smarter in order to reduce costs and ensure they survive the current recession. Whilst you may need to grow your workforce, employing in-house with UK salaries can be extremely expensive and also time-consuming. This is where PEOs come into play. Making growth more accessible to businesses of all sizes, from SMEs and start-ups to large corporate organisations.


Recruitment & onboarding managed

A wider pool of candidates than in-house hiring

Reduced costs due to workers being remote

Greater scalability opportunities

Payroll administration

PEO account manager & point of escalation


Control could be lost if the right procedures are not in place

Not all providers have a focus on wellbeing & culture

Training online may require more commitment to be effective

PEO vs Traditional outsourcing


Using a PEO has many benefits over recruiting yourself, but how does it compare to your typical outsourcing companies? A PEO gives you a dedicated employee on a part-time or full-time basis, rather than offering Adhoc services with little brand loyalty. Co-employment done right gives you true enthusiasm and commitment from your employees, whereas outsourcing is known for its lack of quality and care for your brand. As you’re responsible for the operations of the given employees, you’re able to instil them with your values and make them a valuable extension of your team.

How DeskFrnd can help


We’re a team who are proud to be yours. We strive to fill any roles you need. If it’s done behind a desk it can be covered by our specialists. We engrain global talent in your business seamlessly, whilst offering up to a 60% cost saving over an in-house team. You can find out more detail about our PEO services HERE.

Alternatively, you can book a call with a member of our team HERE.