Is A PEO The Same Thing As Employee Leasing?
No. Although PEOs evolved from the now largely defunct employee leasing business, they are not the same thing. The co-employment relationship inherent with PEOs is the fundamental difference. Instead of leasing your employees who contractually work for someone else, the PEO and its client share responsibilities and obligations for employment and management. For its clients, a PEO offers a substantial improvement over employee leasing in respect of both cost and control.
