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3 Things to Consider When Looking for a PEO Service in Canada

Posted by Stacey Jones


Jan 21, 2015 1:13:17 PM

3_Things_to_Consider_When_Looking_for_a_Professional_Employer_Organization_in_CanadaJurisdictional differences in payroll processes and employment legislature can make it difficult for your expansion efforts to go seamlessly. Many companies abandon their efforts to expand into Canada because the process of setting up and maintaining the proper accounts with the appropriate Canadian authorities is too daunting. However, you don’t have to do it alone. You can get the payroll and HR support services of a professional employer organization (PEO). When you engage a PEO, you’re relieved of just about all your administrative headaches in Canada so you can focus on building your business on foreign land instead of spending time on paperwork and government filings. If you’re thinking about engaging a professional employer organization in Canada, here are three things you should consider.

1. Do You Really Need a PEO Service?

Using a professional employer organization can be extremely beneficial for many international companies operating in Canada. However, it’s not for everyone. Every company is unique. The kind of company you operate, the industry you work in, the type of administrative work you need outsourced, and many other factors will need to be considered to answer this question. If you’re thinking of engaging a PEO service, book a consultation and speak to a representative in order to get an individualized evaluation.

2. Is Your PEO Well-Versed in Legal Compliance?

Your PEO should be on top of all things compliance. The company should have the legal knowledge and HR expertise required in health and safety and labour laws as well as payroll legislature to ensure that you’re never breaking the law. With over 190 legislative requirements for small and medium-sized companies, it’s natural that you won’t know and understand each one. But your PEO should. You can risk heavy fines and penalties if your professional employer organization isn’t on the ball when it comes to complying with the federal and local employment laws. Your PEO should know the ins and outs of current legislature and alert you of any changing laws that can affect your business operations in Canada. When looking for a PEO, make sure the one you choose has experts on hand who can help you with compliance.

3. Does Your PEO Have Friends in High Places?

A PEO that is on good terms with both federal and provincial government officials can be beneficial to you. Authorities prefer to work with professional employer organizations that are recognized in the industry and known to have the necessary knowledge to make their jobs easier. A PEO with the right skill set and knowledge base will file remittances and maintain the proper accounts without a hitch, which means that the government officials have fewer hassles to deal with. When you’re looking for a PEO, see if the one you choose contributes and collaborates with government officials on government policy discussions.

Understanding what PEOs do and how they can benefit your company’s operations in Canada should be the first step on your expansion journey. PEOs aren’t for everyone. If you do decide that you could benefit from a professional employer organization, ensure that the one you choose is well versed in legal compliance when it comes to payroll, HR, health and safety, and labour regulations. A PEO with friends in high places can also help you ensure that your expansion efforts are streamlined and hassle free.

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Stacey Jones

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