Why Peos Are Important In A Global Payroll Strategy

Adding a Professional Employment Organization (PEO) to the global mix can significantly help foreign companies in consolidating and maintaining a Global Payroll Strategy. A PEO essentially provides value added services such as recruiting, local tax and compliance, payroll processing, benefits management, salary requirements, work permits, etc. and takes over all non-core activities thereby taking over the burden of managing these aspects from the foreign company. Moreover, while the remote teams would be hired on the PEO’s payroll, the foreign company would still maintain control over the employees’ deliverables and daily activities. In short, hiring a PEO would give a foreign company direct control over a dedicated remote workforce without the hassles of managing local compliances in the various regions in which the workforce is physically located.