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PrestigePEO Acquires O2 Employment Services in California


PrestigePEO Acquires O2 Employment Services in California
  • by: Source Logo
  • |
  • January 30, 2026

PrestigePEO, a leading professional employer organization (PEO) providing HR and employee benefits solutions nationwide, has acquired O2 Employment Services, a premier PEO and HR outsourcing firm based in Redding, California. This marks PrestigePEO’s sixth acquisition and significantly strengthens its footprint in the western United States while enhancing its nationwide capabilities in premium benefits, advanced HR technology, and comprehensive outsourcing services.

Quick Intel

  • PrestigePEO acquires O2 Employment Services, its sixth acquisition, expanding its presence in the western U.S. and bolstering service offerings for employers nationwide.
  • O2 Employment Services, founded in 2001, is a respected California-based PEO known for full-service HR solutions, compliance expertise, and strong client relationships in regulated labor markets.
  • The O2 team remains in place to ensure seamless continuity for clients, while the combined entity scales capabilities and value delivery across the region.
  • PrestigePEO holds elite industry credentials: IRS CPEO certification, ESAC accreditation, and CI Workers’ Compensation Risk Management certification—ensuring financial stability, compliance, and security.
  • The acquisition aligns with PrestigePEO’s growth strategy through organic expansion and strategic partnerships focused on employer support in complex regulatory environments.
  • O2 Employment Services operates under a unified brand (formerly Teamwork HR and O2 Staffing) and is recognized as a regional leader and Best Place to Work.

The acquisition combines PrestigePEO’s national scale and robust benefits offerings with O2 Employment Services’ deep regional expertise and client-focused approach. Together, they will provide employers with enhanced HR outsourcing, payroll management, risk mitigation, and compliance support—particularly valuable in California’s heavily regulated labor market.

“PrestigePEO is thrilled to partner with O2 Employment Services. The company’s strong leadership and talented team of professionals have built an impressive West Coast presence and reputation,” said Andrew Lubash, Founder and CEO of PrestigePEO. “We look forward to joining forces to expand our service delivery to employers and brokers throughout the region.”

“O2 has built trusted, long-term relationships through its client-focused approach and holistic employment support,” said Heidi Pond, Co-founder and CEO of O2 Employment Services. “Joining PrestigePEO allows us to scale that mission, expand our capabilities, and deliver even greater value to businesses in California and beyond.”

Lubash added, “Heidi Pond has built a strong company with a community-focused, service-oriented culture. As PrestigePEO continues to expand organically and through acquisitions, this partnership is a powerful opportunity to align values and support employers navigating the complexities of the country’s most regulated employment environments.”

The combined organization will continue to prioritize client continuity, service excellence, and innovation in HR outsourcing, positioning PrestigePEO as a leading partner for businesses seeking scalable, compliant, and high-value employment solutions.

 

About PrestigePEO

PrestigePEO is one of the nation’s fastest growing PEOs, providing employers with outsourcing solutions that include Fortune 500 employee benefits, payroll management, HR and compliance support, and risk management. PrestigePEO is ranked among the top 1% of PEOs by maintaining all three major industry credentials: IRS Certified Professional Employer Organization (CPEO) status, Employer Services Assurance Corporation (ESAC) accreditation, and Certification Institute (CI) Workers’ Compensation Risk Management certification. This elite distinction ensures financial stability, compliance, and security for payroll, taxes, and employee benefits. PrestigePEO has been repeatedly named to the Inc. 5000 list and recognized by Crain’s as a top workplace. To learn more, visit www.prestigepeo.com.

 

About O2 Employment Services 

Founded in 2001 by Heidi Pond and Chris Corrigan, O2 Employment Services assists employers with managing the complex administrative responsibilities associated with human resources, payroll, benefits, and staffing. Originally established as Teamwork HR and expanded with the addition of O2 Staffing in 2009, both divisions operate under the unified O2 Employment Services brand. O2 Employment Services is a leader in the California market, helping businesses attract qualified talent, mitigate HR-related challenges, reduce workers’ compensation claims, improve efficiency, and maintain compliance with ever-evolving labor regulations. O2 Employment Services is a leading employer in its region and proud to be consistently recognized as a Best Place to Work.

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