C2 is a Human Resources (HR) outsourcing firm, offering flexible, comprehensive solutions to the small to mid-sized employer. As such, we contract with various small to mid-sized businesses to manage their critical human resource and personnel responsibilities, and assume employer risks, while acting as a co-employer or administrator for their worksite employees; However, our client companies still retains responsibility for the day-to-day management of their employees.

The Internal Revenue Service recognizes C2 as an employer for the purpose of federal income and unemployment taxes. Seventeen states provide some form of licensing, registration or regulation for PEOs; in addition, many states recognize PEOs as employers or co-employers of worksite employees for the purpose of workers' compensation and state unemployment insurance taxes.

Under our Administrative Services Organization (ASO) service model, C2 has NO employer relationship with your staff but continues to assist and support your employees as a third party administrator.

Although many still view these two staffing arrangements as the same, they are, in fact, quite different. Employee Leasing is a poorly defined term that often means different things to different people. However, it is most often described as a situation in which employees are "fired, hired and leased back," to their original employer (which does not occur in a PEO arrangement). With Employee Leasing, employees are usually assigned to a company for a fixed period of time or for a specific project, with little long-term equity or investment between the employees and company they work for.

With C2's PEO arrangement, most or all of a company's workers are employed in a long-term, non-project based relationship. C2 assumes responsibility for employment taxes, benefit plans and other human resource duties, including health insurance, retirement savings plans, and other critical duties and benefits usually provided by the employer. This allows the companies we work with to become invested in a long-term relationship with their workers, while allowing the workers to become more invested in their role with the company.

A temporary staffing service recruits employees, then assigns them to various clients on a temporary basis to supplement the client's own workforce. Employees are usually hired for short-tern situations such as employee absences, temporary skill shortages or to cover seasonal workloads, with few, if any, employee benefits.

As a PEO, C2 operates under contract with an employer, assuming employer responsibilities for most or all of their workforce. In most case, this is a long-term relationship – in fact, nearly 90% of our clients and worksite employees have been with us for at least a year or more. Employees can participate in a full range of employee benefits including health, dental and life insurance, vision care, retirement savings plans and many more plans.

Experts estimate that 2-3 million Americans are currently co-employed as part of a PEO arrangement; PEOs currently operate in every state, while the industry continues to grow more than 20% each year.

Our average PEO client is a small to medium-sized business, with anywhere from 16 to over 100 worksite employees – though several larger businesses also use our services. C2 has built a niche in the federal contracting, technology, and professional services arenas. We understand these clients very well indeed and are particularly expert at ensuring federal contractors become and remain compliant with the many employment laws and regulations imposed by federal and state government.

PEO
When an employer contracts with C2, we enter a co-employment relationship in which both C2 and our client act as employers for the worker. Under the contract, some traditional employer responsibilities and liabilities are assigned to either C2 or the client company, while others are shared.

C2 assumes responsibility and liability for the business of employment, such as risk management, personnel management, human resource compliance and payroll & employee tax compliance; at the same time, we establish an employment relationship with the client's worksite employees, while providing a complete human resource and employee benefit package. Meanwhile, our clients retain full responsibility for their daily business operations, such as product development, production, marketing, sales and service.

ASO
In our Administrative Services Organization model, we provide a comprehensive approach to many of the human resources functions supported in our PEO model. The most significant difference lies in the absence of any direct employer relationship with a client's staff. Our clients retain 100% management and employer responsibility with C2 as their administrator for human resources, recruitment, training, payroll, workers comp., risk management and benefit administration etc.

By contracting with C2, business owners are able to focus their time and energy on the business of their business, and not on the business of employment. As their businesses grow, most small business owners don't have the necessary training and experience in human resources, payroll and accounting, and regulatory compliance, as well as risk management, insurance and employee benefit programs to meet the demands of being an employer – let alone stay in compliance with a myriad of ever-changing state and federal regulations and reduce their exposure to fines, penalties and lawsuits.

As a co-employer under C2's Professional Employer Organization (PEO) model, C2 partners with clients in the employment of a client's employees. Although staff will receive their benefits and a form W-2 from C2, our clients retain full ownership and day-to-day management of their company.

As co-employers, C2 contractually shares employer responsibilities and liabilities with clients. C2 assumes a real and factual employer role, with most of the responsibilities and liabilities associated with a general employer, while our clients usually retain the rights and responsibilities of a special employer. We are responsible for payroll and employment taxes, and maintaining employee records. By shifting the burden of these responsibilities to C2, our clients have more control over the core revenue-generating aspects of their business.

Under our Administrative Services Organization (ASO) model, our clients retain 100% employer responsibility and control. C2 acts as their administrator and continues to support them in the critical HR functions, but only as a third party. Although we do not have an employer relationship with their staff, we continue to provide them with the highest degree of service.

C2 assumes responsibility and liability for payment of wages, as well as compliance with all rules and regulations governing the reporting and payment of federal and state taxes on wages paid to your employees. The IRS recognizes C2 as an employer for federal income and unemployment taxes, and case law affirms the principle that PEOs are responsible for payroll taxes.

C2 assumes responsibility and liability for payment of state unemployment taxes. Most states recognize C2 as the sole responsible entity, while few states require us to report unemployment tax liability under its clients' account number. In addition, four states have laws that hold both parties – the client and C2 – jointly liable for unemployment taxes.

C2 assumes responsibility for complying with the entire spectrum of employment laws and regulations, including all federal, state, and local discrimination laws, Title VII of the 1964 Civil Rights Act, Age Discrimination in Employment Act, ADA, FMLA, HIPAA, Equal Pay Act and COBRA.

C2 has been a member of the National Association of PEOs (NAPEO) since 1996, and is committed to the ethics and principles inherent in this organization.