Report a Professional Employer Organization (PEO) Arrangement

A professional employer arrangement is an arrangement between a business, called the client, and a "Professional Employer Organization" or "PEO," whereby the client leases some or all of its workforce from the PEO. Typically, the leased workers were employees of the client prior to the arrangement. At the beginning of the arrangement, the client transfers its workers to the PEO and then leases them back from the PEO. In the past, professional employer arrangements were known by other terms such as "employee leasing" and "staff leasing."

PEO reporting requirements

Section 315(a)(4) of the Law requires PEOs to file quarterly reports with the department. A PEO may include all its professional employer arrangements on one report. A report for a calendar quarter is due by the last day of the month following the end of the quarter. This provision applies to calendar quarters beginning on or after July 1, 2005.

If you have not registered your PEO in the Unemployment Compensation Management System (UCMS), you can do so here. Once you have created a User ID & Password you will be able to log into your PEO account and maintain your client listing.

Contact us

For information concerning PEO arrangements please contact Employer Tax Services at 1-866-403-6163 weekdays from 7:30 a.m. to 4:00 p.m. EST.