Definitions

Businesses owners today need help managing increasingly complex employee related matters such as health benefits, workers' compensation claims, payroll, payroll tax compliance, and unemployment insurance claims. They can handle all of the issues in house or contract with an outside entity to assume these responsibilities and provide expertise in human resources management. The following definitions have been compiled to assist employers in understanding human resources and Servant HR services:

Human Resources

The people who work and operate an organization are the human resources needed to run the company. A Human Resources department deals with ALL functions relating to and surrounding the people who work in the organization (compliance, insurance, conflict, unemployment, handbook management, compensation review, etc.).   

Professional Employer Organizations (PEO)

Servant HR provides PEO services. A PEO provides integrated services to effectively manage critical human resource responsibilities and employer risks for clients. A PEO delivers these services by establishing and maintaining an employer relationship with the employees at the client's worksite and by contractually assuming certain employer rights, responsibilities, and risks.
Businesses across the country have discovered the incredible value of PEOs because they provide:

  • Relief from the burden of employment administration.
  • A wide range of personnel management solutions through a team of professionals.
  • Improved employment practices, compliance and risk management to reduce liabilities.
  • Access to professionally administered employee benefits packages, allowing clients to be competitive in the labor market.
  • Assistance to improve productivity and profitability

Co-Employment

A Professional Employer Organization, or PEO, shares employer responsibilities with clients and assumes employer rights, responsibilities and risks. Under its contractual relationship, the PEO:

  • Co-employs workers at client locations, and thereby assumes responsibility as an employer for specified purposes of the workers assigned to those locations
  • Reserves a right of direction and control of the employees
  • Shares or allocates with the client employer responsibilities in a manner consistent with maintaining the client's responsibility for its product or service
  • Pays wages and employment taxes of the employee from its own accounts
  • Reports, collects and deposits employment taxes with state and federal authorities
  • Establishes and maintains an employment relationship with its employees that is intended to be long term and not temporary
  • Retains a right to hire, reassign and fire the employees

Human Resource Outsourcing

A service offered by Servant HR in which an employer sends out human resources administrative work to Servant HR in order to cut costs.

Human Resource Coaching

A service offered by Servant HR to instruct, direct, or prompt employees to assist them in better understanding how to work effectively within the goals of their employer.