WHAT IS A PEO?

Your company enters into an agreement with the PEO to establish a three-way relationship between you, your employees and the PEO. You and the PEO become co-employers, instead of the traditional employer company/employee relationship.

This allows 1st Source to provide you with employment administration relief and to transfer or share many employer liabilities via our employer liability management services. 1st Source’s services allow you to systematically and strategically enhance the total quality of your organization, which results in greater efficiency and productivity.

The client retains ownership of the company and control over its operations. As co-employers, the client and 1st Source will contractually share or allocate employer responsibilities and liabilities. The PEO will generally only assume responsibilities and liabilities associated with a "general" employer for purposes of administration, payroll, taxes, workers compensation and benefits. The client will continue to have responsibility for worksite safety and compliance. It is still the responsibility of the client to hire, direct and guide employees on a daily basis. 1st Source will concentrate on employment-related issues and the client will be responsible for the actual business operations. This allows the client to gain more control over the company and be free of the administrative tasks that are required to be done.