The Best HR Solution for Manufacturers: How PEOs Improve Safety, Payroll, and Productivity

Running a manufacturing business means optimizing production performance while supporting the people who make it possible. From OSHA compliance to multishift payroll and workforce retention, HR in manufacturing involves a unique set of challenges. And for small to mid-sized companies, limited internal resources can make it even more difficult to keep pace with changing requirements and day-to-day HR responsibilities.

By partnering with a professional employer organization (PEO) like G&A Partners, manufacturers gain access to dedicated HR services and support, integrated HR technology, and expert guidance that helps protect employees, streamline operations, and boost productivity.

As manufacturing continues to evolve, so do the expectations placed on your workforce and leadership team. In this article, we’ll outline how a PEO partnership can simplify HR management and strengthen your company’s foundation for long-term success.

How HR in Manufacturing Is Unique

HR in manufacturing isn’t just about managing payroll and benefits—it’s about supporting complex operations, protecting your people, and maintaining productivity in an environment where every minute counts. Addressing these challenges requires HR management that integrates daily admin tasks, safety, compliance, and workforce development into one cohesive strategy.

Safety Regulations and OSHA Compliance Challenges

Manufacturing is one of the most heavily regulated industries in the U.S., and for good reason. From heavy machinery operation to chemical exposure, the risk of injury is higher than in most workplace environments.

As a result, HR professionals in manufacturing must keep up with ever-changing OSHA compliance requirements while also ensuring all safety protocols, hazard communication standards, and training programs are consistently enforced. And even if requirements are met, HR compliance for manufacturing companies carries a price that can hit small and mid-sized businesses especially hard.

According to a study by the National Association of Manufacturers, federal regulations cost manufacturers with 50 or fewer employees an average of $50,100 per employee.

A PEO can help you stay on top of it all by providing specialized manufacturing HR services—including access to expert safety resources, compliance tools and guidance, and audit support—so you can minimize risk and free up your internal team.

Complex Payroll (Shifts, Overtime, Unions)

Payroll in a manufacturing operation is rarely straightforward. Your company may employ hourly and salaried workers, union and non-union employees, and shift-based schedules that require precise time tracking and calculation. Add in overtime pay, multiple pay rates, and location-based labor laws, and the complexities of payroll can quickly become a full-time job.

When you partner with a PEO for manufacturing HR services, you gain payroll automation, multisite compliance support, and real-time reporting—helping you stay aligned with federal, state, and local regulations and ensuring your team gets paid accurately and on time.

Retention of Skilled Operators and Engineers

A skilled labor shortage remains one of the biggest barriers to growth in the manufacturing sector. And replacing an experienced operator or engineer takes time and resources and costs thousands in training. High turnover can also affect productivity and morale. According to a Manufacturing Institute study, however, retention can improve significantly when employees feel supported by a strong organizational culture and competitive pay and benefits.

A PEO with manufacturing industry experience offers small and mid-sized businesses access to affordable, competitive benefits, comprehensive onboarding support, and HR services and expertise tailored to your unique workforce. That means you’re not just reacting to turnover—you’re building a culture that helps you attract and retain top talent in a tight market.

Employee Productivity and Engagement Challenges

In fast-paced production settings, the difference between meeting and missing daily output targets often comes down to workforce engagement. Communication gaps, outdated systems and processes, limited advancement opportunities, and a growing list of admin tasks can drain morale, slow operations, and raise costs.

With the right HR support for manufacturing companies, a PEO can introduce performance-management tools, streamlined feedback and recognition systems, and data insights that help managers engage teams and keep production running at peak efficiency.

How a PEO Can Help Keep Your Manufacturing Team Safe

For manufacturers, workplace safety is more than a compliance requirement—it’s also an essential part of protecting employees, enhancing efficiency, lowering insurance costs, and reducing downtime.

A PEO provides HR support for manufacturing companies by combining OSHA guidance, proactive safety training, and risk management tools into one integrated approach. This helps you build a culture of accountability that keeps your workforce safe and your operations compliant.

OSHA Training That Sticks

A PEO like G&A Partners supports your business in developing OSHA-compliant training programs that resonate with your workforce. Our safety experts help you design and deliver training that is clear, job-specific, and reinforced through ongoing education—whether your employees are on the floor, in the warehouse, or managing equipment. This approach builds safer habits over time, empowering your team to identify and prevent potential hazards before they occur.

Regular Safety Audits and Risk Checks

A PEO can provide manufacturers with structured safety programs and risk evaluations designed to prevent costly workplace accidents. By providing tailored HR management for manufacturers, G&A helps you conduct ongoing safety audits, maintain up-to-date documentation, and prepare for OSHA inspections (planned or unannounced) with confidence. These proactive measures not only protect your employees but also strengthen your safety culture across every facility.

Simplified Workers’ Compensation Coverage and Claims Support

Accidents can happen—even in the most safety-conscious workplaces. G&A Partners offers workers’ compensation coverage that reduces your financial risk while simplifying administration. With no deposits, no monthly premium reporting, and pay-as-you-go billing based on actual payroll, our program helps you maintain compliance, control costs, and protect your people.

And if an injury does occur, our specialists will manage the claims process, investigate potential fraudulent claims, and expedite benefits so employees can recover and return to work as quickly as possible.

Proactive Compliance Tips

Staying compliant is an ongoing responsibility. OSHA regulations evolve as technologies and safety standards change—making active oversight critical. G&A’s compliance team provides expert guidance by tracking federal and state regulatory updates and alerting clients when action is required. That means fewer surprises, fewer disruptions, and a stronger foundation for sustainable operations.

Simplify Payroll in Complex Manufacturing Environments

Payroll is one of the most critical—and complex—aspects of HR management for manufacturers, where even small, unintentional errors can result in compliance issues or costly fines.

A PEO, like G&A Partners, combines advanced payroll technology with hands-on payroll management from experienced specialists. That means full-service support that helps ensure accuracy, transparency, and compliance for overtime tracking, shift differentials, multisite operations, and more.

Accurate Payroll for Every Shift and Location

G&A’s payroll specialists manage every step of the process using advanced, integrated payroll systems that automate calculations and ensure precision. Your employees are paid correctly—whether they’re on the production floor, on call, or offsite—giving your internal team the ability to focus on more revenue-generating efforts.

Managing Overtime, Union, and Special Pay Rules with Ease

Manufacturing companies must comply with overtime regulations and union contracts that can vary by role, location, or production line. G&A payroll experts maintain compliance with the Fair Labor Standards Act (FLSA) and other applicable wage laws, handling complex pay structures so your team can stay focused on production.

This level of HR support for manufacturing companies simplifies labor-cost management and minimizes the risk of wage disputes or penalties.

Simplified Multistate Payroll and Tax Compliance

If you’re a manufacturer operating in multiple states, managing payroll taxes and staying compliant with different regional labor laws can be a logistical challenge. A PEO payroll team handles filings, reconciliations, and reporting requirements for every location—helping you avoid missed deadlines, costly fines, and administrative overload.

With G&A’s manufacturing HR services, you gain peace of mind knowing your multistate payroll is handled by professionals who understand the nuances of each jurisdiction.

Automated Payroll Reporting and Real-Time Insights

Through G&A’s advanced payroll technology platform, you can access and generate detailed reports in real-time—helping you track labor costs, overtime trends, and productivity data across departments or facilities. These insights help you make more informed financial and staffing decisions while saving hours of manual reconciliation.

By combining payroll technology with expert service, G&A delivers HR management for manufacturers that enhances accuracy, control, and operational visibility.

Boost Productivity and Employee Retention

Keeping your workforce engaged and productive is critical in manufacturing, where operational efficiency depends on every team member performing at their best. A PEO that understands HR best practices in the manufacturing industry can help by improving communication, offering competitive benefits, and reducing the administrative workload on managers—creating more time to focus on production and people.

Competitive Benefits That Help You Attract Skilled Workers

Manufacturing companies face fierce competition for skilled labor. Offering competitive pay is important, but comprehensive benefits often tip the scale for job seekers. According to the Society for Human Resource Management (SHRM), 88% of employees consider medical benefits a major factor when deciding between jobs.

Through a PEO, small and mid-sized manufacturers can access affordable, high-quality benefits, including medical, dental, vision, and 401(k) plans—comparable to what larger employers offer. By leveraging G&A’s collective buying power, our specialists help you design a benefits package that attracts talent, strengthens retention, and supports the health and financial well-being of your workforce.

Streamlined Onboarding and Performance Management

Every new hire represents both an opportunity and an investment. A PEO streamlines onboarding by digitizing paperwork, automating enrollment, and ensuring employees have a positive start from day one.

Beyond onboarding, PEOs provide performance management tools that allow you to set clear expectations, track progress, and facilitate regular employee feedback. This structure promotes accountability while identifying opportunities for skill development—a critical advantage in today’s fast-changing manufacturing environment.

Free Up Managers to Focus on Core Operations

Manufacturing leaders are most effective when they can focus on production goals, quality control, and team development—not administrative tasks. A PEO takes on time-consuming HR functions such as payroll, compliance, and benefits administration, freeing your managers to lead more strategically and efficiently.

This partnership reduces supervisor burnout and improves morale across the plant. With less time spent managing forms and deadlines, leaders can reinvest that energy into optimizing processes, mentoring employees, and driving operational improvements.

Reducing Turnover with a People-First Engagement Strategy

High turnover in manufacturing can disrupt production schedules and strain remaining staff. G&A Partners’ people-first approach—centered on culture, communication, and employee support—helps you build a more engaged, loyal workforce.

That philosophy extends to every aspect of G&A’s manufacturing HR services, from benefits planning and performance management to initiatives like open enrollment, where clear communication ensures employees understand and appreciate their benefits options.

By cultivating trust and transparency, G&A helps manufacturers reduce turnover and build teams that perform—and stay—for the long term.

Inside a Manufacturing Success Story: How G-Con Scaled Smarter with the Right HR Partner

When G-Con Manufacturing began producing prefabricated cleanroom pods, they had only eight employees. As their workforce grew, so did the complexity and cost of HR and benefits administration.

“We realized we needed something different in terms of HR,” recalls Sid Backstrom, G-Con’s vice president of business management. “The cost we were seeing was expanding tremendously. G&A really checked every box that we had. We felt like G&A had the most comprehensive set of solutions and benefits.”

With G&A’s support, G-Con grew to over 260 employees while maintaining efficiency, controlling costs, and utilizing G&A’s unified platform to seamlessly access payroll, benefits, and 401(k) administration.

Backstrom credits G&A’s team-based approach in helping them streamline their HR and benefits administration, which allowed leadership to focus on innovation and production. G-Con’s experience highlights what’s possible when a trusted PEO provides HR support for manufacturing companies: stronger HR infrastructure, reduced costs, and a more resilient workforce.

Could a PEO be the HR solution you need?

Managing HR in manufacturing can feel like running multiple businesses simultaneously, especially when you’re balancing safety, compliance, payroll, and workforce management. A PEO partnership brings it all together under one roof, helping you stay compliant, protect your people, and drive productivity.

Here’s what you gain when you outsource HR through G&A Partners:

• Improved workplace safety through proactive OSHA guidance and workers’ compensation management.
• Streamlined payroll and compliance for even the most complex, multisite operations.
• Enhanced employee satisfaction through benefits, engagement, and a people-first HR strategy.