04:05 AMERICAS
How will questions from HR regarding compensation issues (i.e., types of pay beyond salary and any related tax or labor law compliance issues) be addressed? Administering a global payroll from any country can be quite challenging. For those in the U.S., outsourcing global payroll can seem overwhelming at times. Lack of familiarity with local payroll laws, time zone differences and potential language barriers add to the complexity already inherent with outsourcing payroll. Having a good understanding of your company’s current payroll processes and a realistic understanding of the capabilities of different service providers will help to mitigate these challenges. Gradually, your payroll operations will grow along with your company’s overseas operations, and your payroll team will benefit from the new experiences and opportunities.
In certain situations, the employer may need to separately engage intermediary service providers to “bridge” the processes between the company’s current payroll functions and the local or overseas payroll administrator’s processes.
Adhering to local customs and cultural norms when communicating is extremely important. U.S. payroll professionals will need to rely more on written communications so that the service provider can translate from English to their natural language. Phone calls and web- based meetings (Zoom, Teams, etc.) may require a translator. Additionally, payroll professionals should consider: How will they be able to manage the service providers and audit payroll output? How will employee questions and issues be resolved?
38 I 04:05
GLOBAL PAYROLL MAGAZINE ISSUE 8
Made with FlippingBook - Online magazine maker