An Act relative to professional employer organizations

This bill amends Massachusetts law to clarify how Professional Employer Organizations (PEOs) are treated regarding employee benefits. It establishes that both the client company and the PEO are considered employers for retirement and welfare plans, while also treating fully-insured welfare plans offered by PEOs as single employer plans. Additionally, the legislation ensures that PEOs are counted as the employer for health insurance purposes under state workers' compensation rules, requiring them to include all covered employees in their full-time equivalent counts. These changes directly affect businesses using PEO services and the PEOs themselves by defining their roles in administering employee benefits.