Can’t trust your PEO? Here are 6 factors to determine if they are reliable
- Last updated: October 16, 2024
If you can’t trust your PEO, can you actually work with them?
Your PEO (Professional Employment Organisation) provider in Africa has been acting shifty lately, or you have been having this nagging feeling that tells you something isn’t right… You don’t know where your money will go in this foreign country, how it will be processed, and if your necessary HR tasks will be carried out as needed, within the correct deadline.
But unfortunately, you don’t know enough about the country you are growing in to act on these suspicions. You do not know the specifics of the laws that apply either, so what should you do?
If you cannot fully trust your PEO provider, here are some factors that will help you determine their trustworthiness:
1. References and Reputation of the PEO
If you haven’t done so, or if you haven’t done so extensively, now is the time: conduct due diligence on your PEO provider’s reputation. Look for references and customer reviews to learn about other companies’ experiences. Look out for reviews by companies similar to yours in size, in terms of the industry you work in, and the country you are operating in. Ideally, these references should be easy to follow up on: they should mention the referrer’s name, position, and company, making them easily verifiable.
Reputable PEOs should give references easily upon request and be open and honest about their performance history.
Did you know?
Africa HR Solutions is backed by the ADvTECH group, which is itself listed on the Johannesburg Stock Exchange. These strong credentials help build trust with our clients and give them peace of mind that their company – and their money – are in safe hands.
2. Stability of Finances of the PEO
Payroll, benefits administration, and other HR missions are easier to carry out when a PEO has a solid financial background. This means, among other things, that the PEO provider should have a good cash flow to cater for unexpected expenses.
Through records of finances, industry ratings, or conversations with financial consultants, you can assess the Organisation’s financial condition. If a PEO provider has a so-so financial record, they may not be able to offer consistent and high-quality services your company needs to thrive.
3. Tailor-made solutions for your company
Your company, like all others, has its own specific requirements, and a reliable PEO should provide services that meet your needs precisely. Cookie-cutter solutions can only work so much, and since PEOs are meant to ensure compliance, any lacking however small, can result in your company getting sanctioned.
So it is important to consider whether a PEO provider can offer specialised services for risk administration, compliance, employee benefits, payroll processing, or any other HR task. If a PEO provider only offers a one-size-fits-all strategy, this is a sign that it isn’t sensitive to the unique needs of your company.
4. Open Communication with the PEO
Effective communication, like trust, is essential to every healthy corporate partnership.
A reliable PEO like Africa HR Solutions will set up open channels of communication to keep you updated on important developments, changes to regulations, and improvements to services.
What’s more, Africa HR Solutions offers you the privilege of having a single point of contact. What does this mean? It means that you get a dedicated Key Account Manager for all your needs across all the countries we serve in Africa. Your Key Account Manager will answer all questions you may have and will keep you informed of any changes well in advance, or at the very least, as soon as possible. No need to call multiple people to get a single answer with Africa HR Solutions: you have a dedicated, centralised point of contact.
If you are being kept in the dark about significant issues, it may be time to reevaluate your choice of PEO provider.
5. Client Support by the PEO
A PEO’s dedication to their client’s happiness can be seen by their responsive client support. Examine the customer service representatives of your PEO for response time, promptness in addressing issues, and availability of channels of communication. If they take days and weeks to get back to you, this is a sure sign that you cannot trust this PEO provider.
6. Technology and Security Measures taken by the PEO
In the age of big data and AI, PEOs must make use of technology to keep up with the world and to expedite HR and payroll processes. As such, a reliable PEO should leverage modern technology to ensure accuracy, efficiency, and security. Importantly, you should also inquire about data protection measures, encryption protocols, and compliance with local data protection acts and ICT acts.
Do not give your trust to just any PEO provider…
Trusting an unknown third party with your company’s critical HR processes is no easy feat. It can be even more difficult to let go of a poorly performing PEO provider, for fear that their replacement will be even worse, and all the efforts made to switch will be in vain.
Africa HR Solutions, however, is a truly trustworthy partner. Don’t just take our word for it: take a look at what our past and current clients have to say about us. Ask us for our references, ask our team any questions you like about what PEOs should do for you. Time and again, we have proven that we are reliable, which is why Fortune 500 companies trust us and why we have been thriving for over a decade.
If you are ready to make the switch to a new PEO, or simply wish to find out more about Africa HR Solutions’ PEO offer, get in touch with our team here.