History of PEO’s

  • The modern day PEO began in 1982 as “employee leasing” companies. These operated as “sole employers”.
  • The industry grew in 1986 under the Tax Equity Reform Act, the government recognized the potential benefits these companies could provide their clients.
  • The Co-Employment Doctrine got its start in 1992 when the state of Florida regulated the PEO industry.
  • Currently 39 states have regulated the PEO industry.
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