Even as we cross the one-year mark of the COVID-19 pandemic, organizations are still inadvertently grappling with seamless employee payments. Making it evident that Payroll is still a business aspect that seems to struggle with miscalculations and errors despite the latest technological advancements. There has been a trend reset in the way things operate. 2020 was the year of grand upheavals and new normals, subjecting the HR departments to a myriad of challenges.
As the unprecedented times roll ahead, a good start to understanding what to expect would be to look at the biggest payroll trends in 2021. Listed in this blog are the five most anticipated trends that will do a world of good for payroll and HR professionals regarding management and operations:
- Unlimited Potential in Globalization: The economy has seen the workforce becoming increasingly flexible regardless of the location and the work timing. As per a Gartner study, employees are likely to continue working from home even post-pandemic. Since working remotely is proving to be a successful model, and the trend is here to stay, many organizations have decided to hire talented resources as per the newer pay structures without worrying about geographical boundaries. But this comes with its own set of complications. Companies have to contend with many problems when it comes to payroll as they need to keep up with multi-country regulations making payroll a very tedious process. Companies can easily navigate such minefields if they incorporate a new age payroll software like Alt Payroll. Such software not only helps companies adhere to the location-wise tax and compensation laws but also helps them standardize and centralize the employee experience.
- Constant Regulatory Updates:The continuous introduction of employment subsidies, tax breaks, and revisions will challenge employers to grasp the recent regulatory changes and their effects. HR teams, especially the Legal, Payroll, and Tax departments, will have a busy time staying updated with the new regulations and implementing them quickly. To adhere to the rules while applying the regulatory updates appropriately to their organizations, HR and Payroll professionals would benefit if they leaned on experts and external legal firms to handle such issues.
- Focus on Employee Self Service and Digitization: The pandemic has served as a wake-up call to several organizations to update themselves and introduce more involvement of digitization in the operations. Since the work from home trend will take over by the end of 2021, 48 percent of HR wants to switch to automation.Depending upon paper-based systems and filing is not going to be economically feasible or practical considering the work from home scenario. There is a need for self-serviceability that helps employees access information and make decisions promptly. Enabling payroll systems with automation capabilities not only supports your HR and Payroll teams to get work done seamlessly but also lays the foundation of truly connected systems. Jinie, an AI-powered HR chatbot becomes the centerpiece of all employee systems including payroll, and aids employees with real-time payroll updates and on-the-go documents.
- The uprising of Payroll Analytics: Analytics has the potential of making any department more efficient and overcoming business hurdles.Payroll Analytics has made its entry into the HR-tech foray with its advanced algorithms to identify and eliminate fraud, abuse, and wastage of resources by comparing both public and private data. The in-depth analysis of several payroll activities helps not only eliminate and minimize errors but also guides business decisions by providing accurate forecasts. They offer a complete picture of an organization’s operational costs thus, assisting managers plan and evaluate ways to grow their organizations. Such analytics also help retain key employees by accentuating a positive correlation between performance and pay.
- Need for Integrated HR and Payroll Systems: An integrated HR payroll system software combines payroll and HR activities for maximum efficiency. It integrates all your business management activities into one platform, helping you streamline your HR activities and support your employees from the time they are hired to their retirement. Such software offers a plethora of benefits, including- less paperwork, consolidated reports, a single system of record for employee data, better compliance, and a significant improvement in employee experience.
Real-time data visibility, centralized processes, and automation are helping people realize the importance of payroll software. Advanced payroll management is the key to a successful business in the near future. Organizations need to change how they manage their payroll, as compensating employees accurately and on time is of utmost importance. With the trends of 2021 for payroll in mind, businesses can take the help of automation partners such as PeopleStrong Alt Payroll offers a 100% accurate, transparent, and on-time payroll solution to help you make breakthroughs in the way your HR functions operate.