Who is responsible for state unemployement taxes?
• Both the client and the PEO have compliance obligations. However, the PEO provide worksite employees with coverage under the entire spectrum of employment laws and regulations, including federal, state and local discrimination laws, Title VII of the 1964 Civil Rights Act, Age Discrimination in Employment Act, ADA, FMLA, HIPAA, Equal Pay Act and COBRA. • In many cases, these laws and protections would not apply to workers at small businesses without the PEO relationship, since many statutes have exemptions based upon the number of workers in a work force. Once included in the PEO workforce, the workers are fully protected.
