New Brokerage Helps Businesses Slash Employee Costs
New Brokerage Helps Businesses Slash Employee CostsWINSTON-SALEM -- A new kind of brokerage has opened in Winston-Salem aimed at helping small andmedium-sized businesses reduce rising costs of health care and workers’ compensation andunemployment insurance by pooling employee expenses.“Many business owners think there are no alternatives to steadily rising employee expenses,” saidWesley J. Snyder IV, founder of Owner’s Oasis. “There are, and a professional employer organization(PEO) is a great place to start.”Snyder helps businesses sort through the various options for pooling their employee expenses withother companies, outsourcing their human resource functions including employee benefits, payroll andworkers compensation. By pooling, for instance, health insurance costs can be slashed by 10 to 30percent, he said.A small company with a single accident can face skyrocketing costs for workers compensation insurancethat can be mitigated through pooling.“A Professional Employer Organization brings the power of pooling many companies together in orderto increase their purchasing power and significantly lower what a company will pay,” said Snyder. “APEO is the only type of company that can truly lower the costs of all employee-related expenses andhelp protect a company from increased expenses by future claims and rising health care costs.”PEOs are a relatively new concept, essentially co-employing the work force of a company with manyother companies and taking over responsibility for administration, payroll, taxes and benefitsadministration. Because PEOs do this for many companies at once, they are able to reduce expenses byspreading the liability over many companies. Meantime, the business owner can focus on the business.Snyder’s role as a broker is to analyze a company’s related expenses and provide expert advice. His goalis to find the PEO that will meet a particular client’s needs. “We find the PEO that is the right fit for theclient.” There are now 45 PEOs operating in North Carolina.Owner’s Oasis is one of only two such brokerages in North Carolina and the only one in the Triad.State and federal laws require employers to pay for worker’s compensation and unemploymentinsurance. By pooling, these costs and risks can be reduced.Snyder said that due to the current economic conditions, many companies have downsized their workforces, putting heavier workloads on existing employees. The additional strain on the employees havemade it even harder to keep up with employee administrative duties like human resources, riskmanagement, and payroll and benefits administration. A PEO can cost-effectively manage all of theserequired tasks.The PEO industry has mushroomed. In 2010, the National Association of Professional EmployerOrganizations estimated that the industry grew from about $10 billion to $81 billion in gross revenues.
“We are excited to help build and grow the PEO industry in the North Carolina market,” Snyder said.Want to know more? See ownersoasis.com or contactWesley J. Snyder IVOwner BrokerOffice 336-422-1562Cell:firstname.lastname@example.org