CIPP FUTURE OF PAYROLL REPORT 2019
2. Payroll investment – to improve payroll’s influence there should be a change of focus so that payroll managers and their teams, actively look for best-in-class technology, processes and automation. All too often the decision makers aren’t payroll professionals and it’s either the HR director or finance director who have the final say. 3. Role clarity – to ensure that HR, payroll and finance are clear about their roles when it comes to changing legislation. For example, the focus on working hours for instance. Payroll frequency Not much has really changed over the last few years regarding how often employees are being paid; however, with the potential advent of people being paid on demand on the horizon (which we will address later), it’s possible that over the course of the next few years this will change. Looking at the data from the survey it appears that the primary payroll frequency is still ‘monthly ( 87% ), closely followed by ‘weekly’ ( 7% ), ‘four weekly’ ( 2% ) and ‘fortnightly ( 2% ). Keep a close eye on the fifth placed item which was ‘daily’ ( 1% ) as the CIPP will keep one eye on the trend and continue to advise and guide you on this
Payroll frequency pay dates Taking this a stage further it appears that there hasn’t been much change over the years from the traditional pay days:
Frequency First, second and third top answers Monthly *
Last working day of the month (35%), 28 of the month (20%) and 25 (20%)
Weekly
Friday (84%), Thursday (28%) and Wednesday (12%)
Fortnightly
Friday (80%), Thursday (25%) and Monday (5%)
Four Weekly
Friday (82%), Thursday (18%) and Monday (7%)
NB - You probably have noticed that the percentages add-up to more than 100% but this is because some employers have multiple payrolls that operate a different frequency in their company and this has never been aligned for whatever reason.
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