What do you call the method of containing costs that allows firms to maintain working relationships while shifting administrative costs to another firm?
A) outsourcing
B) employee leasing
C) gainsourcing
D) professional employer organization

Question

Quizplus · Accepted Answer

This method is called employee leasing, which involves hiring staff through a third-party company that handles administrative tasks such as payroll, benefits, and taxes, allowing the firm to focus on their core business functions while keeping costs low. Outsourcing typically involves contracting out specific tasks or projects to another firm, while gainsourcing refers to a collaborative approach to cost savings between two firms. Professional employer organizations (PEOs) are another form of employee leasing, where the third-party company not only handles administrative tasks but also takes on some liability and risk for the employees.

What Do You Call the Method of Containing Costs That