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NAPEO’s White Paper series aims to help the general public and small business owners better understand the economic impact and value of the PEO industry and the ways working with a PEO can help businesses grow and thrive.

Our white papers have shown that:

  • Businesses in a PEO arrangement grow 7-9 percent faster, have 10-14 percent lower turnover, and are 50 percent less likely to go out of business. 

  • PEOs are able to offer a broad array of HR services at a lower cost, and offer access to retirement plans to small business that may not otherwise sponsor them.

  • PEOs generate between $136 and $156 billion in gross revenues, provide services to between 2.7 and 3.4 million workers, and offer HR, benefits, and compliance assistance to between 156,000 and 180,000 small to mid-size businesses.

  • In each of the last 30 years, the PEO industry has added, on average, roughly 100,000 worksite employees and 6,000 net new clients. For perspective, that means that every five years, the PEO industry has added the employment equivalent of the entire utilities industry in the United States.​

  • As many as 14-16 percent of small businesses with 10-99 employees partner with a PEO for their HR and benefits needs.

  • Administrative costs are around $450 lower per employee for businesses that use a PEO.

NAPEO’s White Papers are available for download below, or ​via our Print on Demand Portal, where customizing options are available. 

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