In today’s workplace, the term “business-critical” is overused. It’s perfectly appropriate in the context of payroll.
Paying employees correctly is vital and contractually required. will fuel employee stress, and attrition will rise if you don’t do this. It is important to provide excellent payroll experiences not only for retaining and attracting talent but also for the future success of both payroll operations as well as wider business.
The shortage of these knowledge experts is a major problem. The pool of payroll talent is also shrinking due to an ageing workforce demographic and legislation changes.
What can employers do, beyond offering flexible working hours, value-added benefits and generous holiday allowances, to retain and attract payroll talent in this difficult environment?
Develop a culture that encourages learning and growth
LinkedIn’s 2024 Workplace Learning Report shows that 90% of organizations are concerned with attrition. Their number one retention method? Enabling learning opportunities. In the previous year’s report, it was described that younger generations (18-34 year olds) have a “craving for learning and career development”. This is especially true among younger generations.
The studies highlight the importance of L&D for retention, but also that it is crucial for recruitment. This is especially true in areas where talent is scarce. According to Gallup, 87% of millennials cite development opportunities as a key factor in their decision to accept a job offer or not. In light of this, and as legislation and new technology continue to evolve, it is essential that payroll professionals receive effective training and are upskilled in order to maintain compliance and continuity.
The ability to gain access to continuous learning is also a vital way of retaining and tapping into the tacit knowledge held by more experienced payroll professionals. It is important to have formal, informal and blended learning, access to subject experts, and learn in the flow. This way, organisations create a culture of active learning that encourages talent to stay and join an organisation.
Use technology to make your work easier and less stressful
Technology is transforming the experience of payroll talent in a positive way.
Payroll admins have become accustomed to the increased stress that comes with the end of each pay cycle. Payroll admins are used to the frenetic days where they work against the clock in order to verify data prior cut-off. Realtime Payroll (RTP), which is now available, has finally helped to alleviate this long-standing pattern of stress.
RTP reduces end-of cycle stress by spreading workloads evenly over the month. The software also ensures accuracy, updating the pay calculations every time new data is received. This allows payroll administrators to address anomalies immediately, instead of having to deal with a long list of tasks at the end.
Automating data entry also allows payroll teams to concentrate on strategic initiatives that are more valuable. AI, for example, can accurately read common HR forms such as P45s and automatically enter data into employee records. This will not only reduce the administrative burden on payroll teams but also soon eliminate manual data entry from the payroll history books.
Investing for the future of Payroll
Payroll professionals serve the needs of their colleagues, but the exceptional experience that HR and business leaders strive to achieve today must also include these critical business colleagues.
Open communication, feedback and recognition are the foundations of exceptional experiences. These experiences are characterized by opportunities for growth, innovation, and learning. They also reduce stress and increase productivity.
This is one way organisations can make the prospect of a career in payroll more attractive to new recruits, so that it is future-proofed.
