what is a professional employer organization peo company
Professional employer organization A professional employer organization (PEO) is a firm that provides a service under which an employer can outsource employee management tasks, such as employee benefits, payroll and workers' compensation, recruiting, risk/safety management, and training and development. The PEO does this by hiring a client company's employees, thus becoming their employer of record for tax purposes and insurance purposes. This practice is known as co-employment.
Perceived psychological contract violation Both PPCV and perceived organizational support (POS) are based on the norm of reciprocity. Both POS and PPCV are types of social exchanges and therefore involve implicit obligations, rather than economic exchanges, which involve explicit obligations (Blau, 1964; Emerson, 1972).[4][5] Perceived organizational support is focused on favorable treatment and the degree to which employees engage in positive reciprocity with the organization, whereas PPCV is focused on unfavorable treatment and the degree to which employees engage in negative reciprocity with the organization.