Professional June - July 2026

Portfolio Insights Levelling Up Payroll:

Why Soft Skills Matter More Than Ever

By Gillian Owen Director, Portfolio Payroll, part of the Portfolio Group

As payroll evolves in an increasingly digital world, conversations often centre on automation, AI and systems transformation. But after years recruiting payroll professionals at every level, one thing remains consistently true: the people who progress fastest are rarely just the most technically capable. They are the professionals who can communicate effectively, build trust and understand the wider commercial impact of payroll. Technical knowledge is expected. Soft skills are what set exceptional payroll professionals apart. For organisations focused on “levelling up” their payroll function, two soft skills stand out above all others: communication and commercial awareness.

difficult conversations and reassuring when employees are anxious about their pay. In recent years, communication skills have become even more important as automation has reduced the burden of repetitive administrative tasks. Even more junior Payroll professionals now have greater capacity to operate as business partners rather than purely transactional processors.

employee experience. They recognise where processes can be streamlined, where automation can save time and where small operational improvements could reduce costs for the wider business.

Importantly, this mindset is not limited to leadership roles.

Some of the most impressive junior payroll professionals we meet are the ones asking questions like: “Why are we still doing this manually?” or “Could this process be simplified?” They understand that improving workflows does not just benefit payroll, it improves the efficiency of the entire organisation. Ultimately, communication and commercial awareness are closely linked. As payroll becomes more visible within businesses, professionals must be able to communicate strategically as well as operationally. Senior leaders increasingly expect payroll teams to provide insight, influence decisions and align processes with wider business goals. Technology will continue to reshape payroll, but soft skills remain the differentiator. The payroll professionals who truly level up their careers will be those who combine technical expertise with the ability to communicate, influence and think commercially - adding value far beyond the payslip.

The role has shifted significantly.

Today’s payroll professionals are expected not only to communicate effectively with employees, but also upward - engaging with senior stakeholders, HR and finance leaders in a far more strategic way. They need the confidence to explain risk, present payroll data clearly and contribute to conversations around workforce planning, compliance and business performance. A payroll professional who can support employees with empathy while also communicating confidently at leadership level becomes incredibly valuable to an organisation.

Communication: The Skill That Builds Trust

Payroll is one of the most sensitive functions in any business. Employees may forget who approved annual leave or who organised the office social, but they will never forget being paid incorrectly. That means payroll professionals are often dealing with people at moments of stress or confusion. A deduction looks wrong. Overtime has not appeared. A payslip includes terminology an employee does not understand. In those moments, technical expertise alone is not enough. The best payroll professionals know how to translate complexity into clarity. They can explain tax codes, pensions or deductions in plain English rather than payroll jargon. They remain calm under pressure, empathetic in

Commercial Awareness: Thinking Beyond the Payslip

The second soft skill separating good payroll professionals from exceptional ones is commercial awareness. Historically, payroll was often viewed as an administrative function. Today, the strongest payroll teams are strategic contributors to business performance. Commercially aware payroll professionals understand that payroll impacts far more than monthly pay runs. They think about efficiency, scalability, compliance risk and

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