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Is payroll management looking to the future?

Accurate and transparent payroll management is essential to the smooth running of any business, especially in times of uncertainty and change. It is crucial to employee engagement, productivity and well-being, ensuring that employees are fairly rewarded for their contribution to the success of the business. However, challenges persist.

According to a recent survey by a global player in centralised payroll solutions, errors in payroll processing are on the rise, with only 33% of companies reporting 90% or better accuracy in payroll processing, down from 52% before 2020. What’s more, almost a third only discover these errors during a payroll audit, while a quarter only detect them when they receive a complaint from an employee.
This situation is worrying because it is leading to an increase in requests for clarification from employees: in fact, almost half of the companies surveyed report an increase in payroll-related requests since before 2020. Yet despite a growing awareness of these issues, only 36% of companies plan to actively tackle them in the next two to three years.

In addition, there is a growing shortage of skilled staff to manage payroll effectively, with almost 48% of employers reporting difficulties in finding the required skills from outside their organisation. This situation is compounded by the fact that payroll teams spend a considerable amount of time on secondary administrative tasks, with more than one in five companies surveyed (22%) estimating that their teams spend more than 30 hours a week consolidating data between payroll and HR systems. Fortunately, there are some promising solutions!

Nearly 70% of companies claim to have introduced more frequent internal audits over the last three years, and 61% have conducted employee surveys to detect payroll errors.
However, it is the automation of payroll processes that could significantly improve efficiency, with only 53% of companies surveyed acknowledging that less than 30% of their payroll processes are currently automated.

This is where outsourcing payroll to specialists such as Ekspert makes real sense.
Outsourcing their payroll management allows companies to be relieved of the current challenges it entails, such as researching and financing innovative technological solutions and training and developing staff.
Using this solution would not only improve the accuracy and efficiency of payroll, but also free up employees’ time so that they can concentrate on higher value-added tasks.
In conclusion, payroll management is much more than a simple administrative task. It is an essential pillar of the company, which deserves all the attention it needs to evolve into the future.
When you turn to Ekspert, specialists in payroll management and an Abacus partner, you can be sure of being surrounded by professionals experienced in this complex and strategic process.

*Source: ADP-The_potential_of_payroll-Global_payroll_survey_2022_CH_EN

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