Professional March 2024

Employment

“For payroll departments, there can often be a negative starting point as we’re aware that interactions often only arrive when something isn’t right, and we all understand the emotive nature of pay”

to represent the brand positively, thus enhancing the overall reputation of the company. We know how important it is to ensure that when individuals leave, they still have a great leaving experience wherever possible. This is because they’ll most likely be the voice to talk about working at the organisation on social media and recruitment microsites. Employees are statistically likely to work for multiple employers during their working life and this number is increasing as: ● the desire to seek out new challenges and experiences has increased ● the process of looking and applying for roles has been simplified as an experience on its own due to technological advancements. So, as the organisations we work for adapt to changing trends and technologies, the significance of providing exemplary customer service within payroll departments has risen exponentially to ensure the right behaviours are being role modelled by the team and supported through the technologies that deliver the services. A shift in attitudes toward payroll Traditionally, payroll departments were primarily associated with the processing of salaries, deductions and the occasional benefit – an area often seen as technical and transactional. However, the paradigm has shifted. Today, payroll functions are recognised as integral components that not only ensure accurate compensation but also serve as a critical interface between employees and the organisation. This is often created through: ● the delivery of multiple employee benefits ● the operation of different saving vehicles ● the processing of expenses ● delivering the administration and promotion of the wider employee offering. The essence of good customer service lies in fostering a positive relationship between the payroll function and the recipient employees. In the context of payroll, this translates to establishing trust, reliability and efficiency. Employees expect more than just timely payroll processing; they seek understanding, transparency, accessibility and responsiveness from their payroll department. One key aspect driving the increasing

importance of customer service in payroll is the complex nature of modern pay structures. Compensation frameworks are often complex, including bonuses, performance incentives and flexible benefits, so employees often require personalised attention to understand and manage their earnings effectively. This necessitates a shift from a one-size- fits-all approach to a more tailored and empathetic interaction with employees. Ways of delivering this may include the ability to make one-to-one drop- in sessions more of the norm or to interact with communications to your self-service platform or an individual’s email account, so they feel the message is more focussed on them specifically, rather than being generic. This also highlights the importance of being more ‘data-driven’ with our communications and segregating the audience to specific messages. For example, tailoring different communications based on whether an employee is in a pension scheme or not. Moreover, technological advancements have revolutionised payroll processes, offering automation and self-service options. While these innovations streamline operations, they also elevate the role of customer service within payroll departments. Employees may encounter technical issues, have queries about using new systems or require assistance navigating complex tax regulations. “Feeling like an integral part of delivering a great customer experience can enhance an employee’s connection to their work”

Providing accessible and knowledgeable support becomes indispensable to ensure a smooth experience. This means different skill sets are required within the team, which are focussed on developing the tools we use rather than just using them. The impact of exceptional customer service in payroll departments goes beyond individual satisfaction. It directly influences employee morale, engagement and overall organisational culture. A responsive and proactive payroll team contributes to a positive work environment, reinforcing the employer- employee relationship and fostering a sense of belonging and appreciation among employees. New skill sets If an organisation is to thrive with a motivated workforce in the future and be able to attract new colleagues to the ‘brand’ and experience, then a reputation for outstanding payroll service contributes to the employer brand, creating a competitive edge in the talent market As the importance of good customer service in payroll departments continues to ascend, functions must invest in training, technology and a customer-centric approach. Cultivating a customer service culture means not only equipping the team with technical skills but also instilling empathy, communication proficiency and problem-solving abilities. In summary, the evolving dynamics of the workplace demand a holistic view of customer service, transcending conventional boundaries and extending its influence into functions like payroll. Recognising and prioritising the significance of exceptional customer service in payroll departments is no longer just a value-add; it’s a strategic imperative that impacts employee satisfaction, organisational reputation and overall success in today’s competitive landscape. The customer may not always be right but in finding that out, they can still receive an outstanding experience! n

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| Professional in Payroll, Pensions and Reward |

Issue 98 | March 2024

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