CIPP PAYSL IP STATISTICS REPORT 2018
CONCLUSION
This report provides a fascinating insight into the trends affecting payroll and payslips over the last ten years. But it also prompts further questions which will be explored further in forthcoming research; details of which will be published on the CIPP website later this year.
The content of this report is a more in depth look at the results arising from the payslip statistics section of the CIPP’s Future of payroll report 2018 .
Want more? Read the CIPP’s Future of payroll research survey report 2019 for further insights into a variety of payroll topics such as technology, recruitment and payslip distribution.
CIPP FUTURE OF PAYROLL REPORT 2019
Demographics and additional data Future of payroll Research survey report 2019
CIPP FUTURE OF PAYROLL REPORT 2019
Key issues facingyourpayroll departmentnow
TheCIPPs future of payroll report has beenmade possible through the collaboration of a high number of payroll professionalswithin the UnitedKingdom, and the support ofDatagraphic andWorkday.
Whatare thekey issues? Gender The payroll profession appears to be still dominated by females ( 71% ). This percentage is consistentwith the Office forNational Statisticswhich states that 75% of individuals in the profession are female. In an agewhere diversity and equality are important, it is encouraging to see that 40% ofwomenwho responded are in payrollmanager positions, versus 38% ofmenwho responded. Sector Almost all the sectorswere covered in the answers to the survey. The highest percentages (rounded) came from: ● Accountants/auditing/book-keeping/tax consultants (16%) ● Manufacturing ( 7% ) ● Education ( 6% ) ● Retail/wholesale/distribution ( 6% ) ● Local government ( 5% ) GDPR and theData ProtectionAct Automatic enrolment Holiday pay calculations 38.50% 32.50% 31.75%
Expenses and benefits
29.50%
Automation of business processes Thiswas cross-referenced against theCIPPmembership and industry data and is typical of the demographics overall. 28.75%
Gender pay gap reporting
24%
Implementing a new system
21%
Given the recent excitement around the implementation and go-live ofGDPR on 25May 2018, therewas no surprise thatGDPRwas at the top of the list (38.5%).With the impact of substantial fines (up to € 20million or 4% of global turnover,whichever is greater) payable by companies if there is a non-report of data leak/breach e.g. sending an emailwith personal datawhich is un-encrypted to awrong email address, someone receiving thewrong payslip; ensuring that your data is protected and controlled is nowmore critical than ever to every payroll team. The second-place issue is ‘automatic enrolment’; this is surprising given that this is not a new government initiative. The formerWork and Pensions Secretary EstherMcVey recently stated in her online article (https://www.gov.uk/ government/news/automatic-enrolment-breathing-new-life-into-britains-retirement-prospects) thatmembership of occupational schemes has gone-up by 49% in the last five yearswith a staggeringmembership of those schemes being 41.1million in 2017. Is it the sheer volume of people now having the opportunity of joining the scheme/s or , is it the complexity around themechanics of understanding if someone is in or out or , is it that the payroll systems aren’t helping payrollers by reducing the issues around automatic enrolment? It could be both the phasing of contributions and that employers are not aware of their obligations, especiallywhen outsourcing that has resulted in automatic enrolment still being a key issue for payroll departments. It could also be a key issue for organisations now facing their three year re-enrolment and having to enrol employeeswho have previously opted out. Thiswill cause additional administration, particularly around communications to assist employees in understandingwhy they have been put back into a pension schemewhich they previously opted out of.
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Holiday pay calculations ( 31.75% )was the nextmost common cause of concern facing payroll departments, unsurprising given the number of Employment Tribunal caseswhich have affected the rules formaking these
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