Human resource outsourcers handle a firm's HR functions on an administrative level, so the client firm's employees are not added to the HROs payroll.

Question

Quizplus · Accepted Answer

By transferring the client firm's employees to the PEO's payroll, PEOs become co-employers of record for the employer's employees. In contrast, HROs usually handle HR functions on an "administrative services only"-they're a client's "HR office." A client's employees still work for the client rather than for the HRO.

Human Resource Outsourcers Handle a Firm's HR Functions on an Administrative