CIPP future of payroll survey report 2019


CIPP foreword

Now in its second year, the future of payroll report has delved further into trends and technology enhancements which could impact on the future of our profession.

Payroll is such a fundamental business function, but typically has had a ‘if it ain’t broke don’t fix it’ attitude from outside of the department within business. There are risks associated with updating software and this leads to organisations often using dated legacy systems. However, we are in a time of change. Technology is advancing quickly and payroll is embracing the advancements. People coming into our businesses have different attitudes towards pay, and that is influencing the way we pay people and the solutions we are looking to in order to automate payments. Terms such as ‘pay on demand’ and the ‘gig’ economy are becoming widely used and accepted, and this is challenging the traditional pay system. Whilst these things won’t change things overnight, they are certainly providing payroll with food for thought and ways of making their pay and reward package more attractive to the new employees entering the workforce.


The changes to technology will also lead to changes in the skillset required of payroll professionals. Whilst software will enable more automation, the number of enquiries coming into the payroll department will not decrease, and payroll professionals will need to understand the calculations and legislation behind the software to answer these queries. The future of payroll will become more people focussed, those working in the department will need to be educated, skilled and knowledgeable so that they can answer queries and support their organisations employees in understanding their pay and reward. As we look to the future it would be remiss not to mention ‘Brexit’; but it was interesting that this was not a current concern for the payroll department. Presumably as there is still so much uncertainty so it is not a priority until things have been clarified? This report will provide some insight into the direction of payroll for the future, and over the coming months we shall delve deeper into some of the topics contained within this report, so make sure that you visit and follow us @CIPP_UK on Twitter for further content and updates. I would like to take this opportunity to thank all of the payroll professionals who took the time to respond to this survey, your feedback and views have helped to shape the report and provide some context around the predictions. I would also like to thank our sponsors, Datagraphic and Workday who have provided their own insights into the future of payroll, specifically aligned with technology and payslip distribution. Finally, I would like to thank Chartered Member Glenn Jones MSc, FCIPD, ChFCIPP, our contributing author who has taken the time to analyse the results and provide insight into the results.


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