Can a PEO Help Business Owners Recruit Top Talent?

Jul 01, 2019
| Jeff DeModna

As HR has grown significantly more challenging for small business owners, many have turned to professional employer organizations (PEO) to address common obstacles, including:
  • Enhancing employee benefits
  • Lowering HR and healthcare costs
  • Providing tailored HR services
  • Assisting with HR compliance and risk management
  • Improving HR practices

But one lesser-known HR problem that some PEOs can address involves one of the biggest challenges facing employers of all sizes today – recruiting.

Some PEOs offer recruiting services to their clients, helping them overcome the troubles of modern talent acquisition. Here are 7 ways a PEO can help small business owners recruit top talent!

1) Write Compelling, Informative, and Accurate Job Descriptions

The importance of job descriptions in today’s market cannot be understated. If they do not contain enough information, candidates won’t apply. And worse, if they aren’t accurate or display misleading information, employers jeopardize damaging their candidate experience and employer brands.

Some small employers struggle to create the kinds of job descriptions that entice a candidate to actually apply to a position.

But a PEO and its recruiting team can take-on this challenge, using their experience and expertise to create job descriptions that lead to higher application conversion rates.

2) Job Advertisements

A common challenge smaller employers encounter, even if they have good job descriptions, is figuring out how and where to place open jobs.

There are many sources that employers can explore – from online job boards to social media sites like LinkedIn and Glassdoor – which can be confusing.

But working with a PEO makes this process simple and easy for employers, as not only does the PEO create the job description, but they also manage advertising the position across the internet.

This opens up smaller businesses to more job candidates, helping to attract and ultimately hire the right person.

3) Access to an Applicant Tracking System (ATS)

Applicant tracking systems (ATS) are one of the more important HR and recruiting technologies around today. Years ago, they were primarily available only to large, enterprise organizations, but today there are those that focus more on the small and medium-sized market.

However, these can be expensive to buy, and challenging to implement and learn to use. But working with a PEO for recruiting provides business owners and leaders with best-in-class ATS’ that help manage recruiting processes and streamline the candidate experience (more on that shortly).

4) Sourcing the Right Candidates

Finding job seekers that could eventually become new team members is a difficult and time-consuming job, that latter of which is a challenge for business owners who have to juggle numerous responsibilities.

But sourcing candidates who may be good fits for interviews and further steps in the recruiting process is one of the areas where a PEO can provide value. Once the PEO creates the job description and advertisements, they then also work to actively find candidates who appear to be qualified for the role.

This helps small business owners avoid wasting time finding candidates or speaking to those who aren’t qualified for the role.

5) Screening Candidates that Do Apply

While it’s a good thing to see a lot of job seekers apply to your job, it can take a lot of time for business owners to go through them all to identify those who might advance through the recruiting process.

Once again, this is where a PEO can help leaders not only save their valuable time, but also ensure that only those candidates who are the strongest fit make it to the next stage.

Additionally, members of the PEO’s recruiting team would follow up with qualified candidates to schedule interviews with the business owner, saving even more time for the client while making the recruiting process more efficient.

6) Improving the Candidate Experience

Given the competition in the job market today, the candidate experience is more important than ever. Larger employers have entire recruiting teams and technology dedicated to providing job seekers with the best possible experience throughout the application and hiring processes.

But smaller employers often aren’t as lucky, which can result in a candidate experience that misses job seeker expectations – leading to less applicants and hires.

But a PEO helps their clients streamline and modernize the entire recruiting process while installing HR technology that makes applying to jobs as easy as possible.

And as an additional bonus, when job seekers have a great candidate experience with an employer, they are far more likely to recommend the business to their network. This is a win-win for small businesses.

7) Provide Client’s with Resources, Guides, Strategies, and Tips

In addition to the things listed above, a PEO also provides business owners with a wide-variety of recruiting-related materials that can help improve strategies and processes.

Some examples include:
  • Recruiting best practices
  • How-to guides
  • Hiring strategy ideas
  • Educational materials
  • Recruiting documents

The resources provided by the PEO help business owners and leaders become more familiar with recruiting best-practices and the strategies that will yield the best results, along with the latest trends taking shape within talent acquisition.

This is just another way a PEO assists their clients with the challenges of modern recruiting.

PEOs Help Small Businesses with More Than Just Healthcare and Benefits

Most business owners know that a PEO can help them with their healthcare, employee benefits, payroll, and HR compliance troubles, but many aren’t aware that they can also assist with their recruiting efforts.

And with recruiting growing more and more challenging, working with a PEO that offers these services can help small employers remain competitive with their much larger counterparts for top talent!

As PEOs have grown in demand by business owners, so too have the number of myths that exist about them. But are they true? Our latest eBook explores 12 of the most common PEO myths and explains why they have been busted!

12 Common PEO Myths