If this title has caught your eye but you not quite sure what a PEO is then you should know that it stands for a professional employer organisation and it is a service that all businesses here in China should be taking advantage of but they sadly don’t for now. As everyone will tell you within the business community, time is money and especially so when you’re trying to run your own business. The hope is that your business will be a complete success and with success comes the need to hire more people. You can’t possibly take on this role as well as the many others that you have.
This is why it makes perfect sense to take advantage of PEO service companies that can do all of the heavy lifting for you. They are human resource experts and it will be their job to handle the more difficult sides of running a business when it comes to hiring people. You need someone who also understands employment law here in China and who can deal with any employment issues that may come your way.
The following are just the top 3 advantages of using a PEO for your current or new start-up business here in China.
- Employees get their benefits – Every employer knows that a happy employee is a more productive employee and so you need to be able to provide them what they are entitled to in the Chinese workspace. There is so much administration and rules that need to be followed in this regard and so you sign up for PEO services so that everything can be set up for you including medical, dental and any other health care or disability benefits.
- Employees get their salaries – The people that work for you expect to be paid on time and in full and the one thing that will upset any employee is not getting the salary when it is due to them. If you try to take on all of your payroll processing by yourself, it doesn’t make any sense at all because there are so many things that need to be done like withholding tax and other government mandated payments.
- Your business will be HR compliant – You have enough to worry about making a success of your business enterprise without having to worry about getting on the wrong side of employment laws. China is no different from any other country in the world and they have laws and regulations in place that need to be followed to the letter. If you don’t pull the line then you may be subject to hefty fines and so this is why you engage with a service provider that can do all of the hard work for you so that you don’t have to worry at all.
The main thing is to make sure that your staff gets paid and that you are not involved in any lawsuits that will involve you paying out lots of your own money.
