I don’t feel outsourcing in HR is right….. The employers are the best people who know what are the immediate and longterm requirement of their employees. PEO’s (professional employer organization) can only provide insurances to the employees. Other things like loans, proper working enviornment, housing etc. can’t be provided by PEO’s……….. On the other hand PEOs aren’t for everyone. They’re expensive: Fees run from 1% to 4% of payroll, and there’s often a setup fee, usually $1,500 or more. (That doesn’t include insurance premiums, which the PEO collects and forwards to the insurance carrier.) And the benefits PEOs offer aren’t equally important to all companies. The employers should ensure proper resources to their employees.