Our Cost Advantage
Labor costs typically account for up to 70 percent of operating expenses. One tends to think of wages and payroll taxes as being the only factors in labor costs.
However, labor costs entail all expenses related to maintaining employees on a payroll. Workers' Compensation, medical insurance, and retirement plans are examples of additional "tangible" labor costs. Recruitment, turnover (loss of production), and training are examples of "hidden" labor costs. The most insidious of these "hidden" costs is time wasted handling and thinking about administrative tasks.
Labor cost reductions go straight to the bottom line in the form of increased earnings. Administrative Resources will immediately eliminate government compliance and record keeping requirements. This valuable time savings alone will enable higher productivity.
Administrative Resources helps reduce costs associated with workers' compensation and employee benefit programs. Through economies of scale, the company can deliver many employee services and benefits less expensively than most independent businesses.
Other employee services such as retirement plans, third-party administration, flexible spending accounts, credit unions, direct payroll deposits, and employee discounts, all add value and provide employees of smaller businesses with access to Fortune 500 benefits. This increases employee morale, discourages turnover, and simply makes the business a more desirable place to work.