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PEO Client Case Study: Physical Therapy Practice

Company Background

This unique aquatic physical therapy company was

founded by a visionary woman with the mission of

helping patients recover from injury and physical

dysfunction using pool and land therapies. The

business opened in 1999 with just one therapist and

four employees. By 2006 it had grown to ten

employees, employing four therapists, several aides

and administrative help. By 2009, the company had

grown to employ over 50 people including therapists,

aides, administrative, billing and executive staff.

Then came a difficult downturn in 2010 with severe insurance reimbursement cut-backs and a

slowdown in one of their primary client industries. The company was forced to make significant

financial cuts and layoff 10% of their staff.

The therapy company had utilized CPEhr’s PEO (professional employer outsourcing) services to

help manage their human resources since their founding, and even during those difficult

economic times, the owner did not want to give up CPEhr as their employment partner.

“We conducted a financial analysis,” says the owner, “And in end, even if we would have been

able to save a little, it wouldn’t have been worth it. CPEhr provides us with so many services,

from general HR support, to employee benefits and payroll, it just didn’t make sense to leave.”

Employment Challenges & Solutions

As the company grew, so did their employment challenges. With dozens of new employees, there

was a flow of day-to-day employment questions on numerous HR policies and employee relations

issues that the business wasn’t equipped to handle on their own. The human resources experts at

CPEhr worked closely with the owner and her management team to address the employment

challenges they faced.

“Overall, we feel extremely comfortable running the business knowing CPEhr‘s experts are just a

phone call away,” reflects the owner. “They provide counseling on troublesome issues, and

whenever we call, there is always someone there to help. Even if our primary contact isn’t

immediately available, there is another HR specialist ready to step in. Watching any one of them

handle a termination or correction of an employee is always impressive. They are true

professionals.”

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The owner recounts several anecdotes where they turned to CPEhr for professional employment

advice:

Situation #1: An employee wanted to take five weeks off from work for continuing

education. The business wasn’t clear how to handle this – should they hold the position or

not? Could this be taken as a vacation? If the employee didn’t come back when expected,

could they let him go?

Solution: CPEhr provided the client with precise instructions on how to draft the

employment and continuing education terms, sign an agreement with the employee, and

get all policies approved and signed-off before letting the employee take their personal

leave.

Situation #2: From time to time, the client has general payroll questions regarding how

to compute holiday pay and overtime, calculate pay periods, and other general wage and

hour issues.

Solution: With direct access to CPEhr’s payroll experts, the client receives thorough,

step by step procedures on the right and wrong ways of setting up their payroll process to

ensure wage and hour compliance.

Situation #3: The client hired an employee who, over an 18 month period of several

months, stole a great deal of money from the business. At the time, they did not realize

he had a criminal record.

Solution: CPEhr began implementing background checks on all new hires.

In addition to employment support, the business also wanted to offer top-tier employee benefits

with which to attract therapists and reward their staff. They accessed CPEhr’s benefit programs

and now are able to offer a wide range of insurance products to their employees – from major

medical, HMO and PPO plans, to a line of voluntary insurance products and 401 (k) retirement

plans.

The Value of Peace-of-Mind

Despite the economic challenges of the past several years, and the administration fees paid to

CPEhr, the client easily quantifies the value of joining CPEhr’s Professional Employer

Organization.

“Without a question, we would have to hire a full time HR manager, and spend thousands on an

employment attorney without CPEhr. Their people are so knowledgeable and easy to work with

that I couldn’t imagine doing business without them.”