COMPLIANCE
Empowering payroll professionals to say
Karen Thomson MSc ChFCIPPdip FHEA, partner and head of payroll at Armstrong Watson, shares insights into how and why payroll should refuse requests for compliance purposes and to maintain its integrity
I n the dynamic world of payroll, professionals often find themselves at a crossroads when it comes to compliance and client /employer / employee demands. The ability to say “no” when necessary is crucial to maintaining the integrity of payroll processes and ensuring adherence to regulations and guidance. In my early payroll career and sometimes even now, especially when a curve ball is thrown, I doubt myself. I’m sure that will resonate with many of my peers, but here’s how we can empower payroll professionals to confidently make decisions and provide that crucial advice. Why we do need to say no sometimes Saying no isn’t about being uncooperative, although it can make us feel like that; it’s about safeguarding the organisation, internal or a client and its employees from potential legal and financial repercussions. Compliance with payroll regulations is non-negotiable and payroll professionals must be equipped to enforce these standards. We might not fall under a regulatory body – yet – but that doesn’t mean we shouldn’t act like we do. Strategies for empowerment confidence Education and training: continuous education on the latest payroll legislation and best practices is essential. Regular
training sessions can help payroll professionals stay updated and confident in their knowledge. I always look forward to the CIPP Annual Conference and Exhibition for my dose of news, along with the weekly News Online , as well as other professional gatherings held by the CIPP and other professional bodies. Clear policies and procedures: establishing clear, documented policies and procedures will provide a solid foundation for payroll professionals to refer to when making decisions. This clarity helps in justifying their stance when they need to refuse a request. Don’t forget to keep these updated too. Support from leadership: having the backing of senior management reinforces the authority of payroll professionals. When leadership supports compliance efforts, it empowers payroll staff to uphold standards without fear of backlash. Sometimes it can be difficult, especially when your client / employer wants you to give a different answer, but you can’t. Effective communication skills: training in communication can help payroll professionals articulate their reasons for saying no in a constructive and professional manner. This includes explaining the potential risks and consequences of non-compliance. Where a client might not want to budge on an issue, highlighting the impact of not taking action could have in a professional manner can make a big
difference. One such example would be around noncompliance with the national minimum wage (NMW), not so much related to rates, rather when trying to educate people on what is believed to be a voluntary deduction but would have an impact on NMW. As soon as you share the naming and shaming list or provide examples of penalties and how arrears are arrived at, compliance follows. Evidence to support decisions Many moons ago making sure you had evidence would have been difficult, but in today’s world where everything is available at our fingertips online, it is much easier internal or a client and its employees from potential legal and financial repercussions” “Saying no isn’t about being uncooperative, although it can make us feel like that; it’s about safeguarding the organisation,
| Professional in Payroll, Pensions and Reward | November 2024 | Issue 105 44
Made with FlippingBook - Online magazine maker