Payroll insight
payroll legislations do they come? “These are not just process challenges, but real GDPR and PII data protection risks.” As with any change scenario, business planning is crucial. In most organisations workstreams will be in place to cut potential Brexit workforce scenarios, but there is no clarity to the true impact on the workforce. Besides the emotional factors, there are legalities to be untangled. What percentage of the workforce will be affected in instance A or B? will support be required for applications such as indefinite leave to remain? What’s the cost of repatriation? What future travel be more expensive, not just financially but in terms of time? Will employee contracts and salaries need to be changed? For those organisations where payroll data is accurate and analytics can deliver clear business intelligence, this will have been easier. For those without single data source, the process of workforce mapping has and will continue to be high risk and highly challenging. Salaries and rewards review There has been a fundamental shift towards employee-driven salaries.
According to Index feedback, people don’t just want cash. They want to be rewarded for personal contribution and in a way that supports their individual circumstances – often frequently changing circumstances. Furthermore, people want to move away from the standard working day and contract statuses. Not so many years ago the response might have been, “if you don’t like it here…” However, today, there are employers that see the benefits of opening the workplace, and coupled with greater salary transparency and compensation options, are draining talents from organisations still employing outmoded pay and rewards models. The findings of an independent HR industry research study sponsored by NGA Human Resources, will be published next year. Already, the ‘HR2025’ findings suggest that the move is faster than we thought, but this is not the end of the office, which we might think more outdated. There are interesting times ahead for sure. And, challenging times for HR and payroll teams who will need to get used to the challenges these will bring. Already, many organisations are running
retrospective payrolls almost of the norm now.
Employee leave entitlement Most of us now consider ourselves as equals. Gender pay gap reporting called on huge resource from the payroll and HR departments. Shared parental leave is having the same impact. It’s incredibly complex to administer. According to the Index, take-up in the UK is on the up and paternity leave take-up increased by 15% in the past two years. This very much turns on its head the expectation that the traditional primary carer earns less than the traditional ‘bread winner’. It also points to the reality that a man is as likely as a woman to be the primary carer. This change in workforce dynamics has also been positive for the profile of the payroll department. There’s now clear understanding in the boardroom that the business intelligence needed to keep a workforce performing comes from the payroll process. The data is accurate and can be cut to reveal any retrospective, current or future impact of change there might be. Let’s hope now that we will start to see more investment in payroll processes. n
Have your say on the future of the CIPP AGM19
5 December 2019, London
Voting is open from 2 November 2019 to elect candidates nominated to join the board of directors of the CIPP. Board directors represent members views and influence the strategy and direction of the CIPP, therefore it is important that you, as members, vote for who you feel can best represent you.
View the candidates and vote online at cipp.org.uk/AGM
You will be most welcome to attend the AGM on 5 December in London where you will have the opportunity ask the current CIPP board questions about the financial accounts (which will be available by 2 November) or about the direction of the CIPP. Please book your place online at cipp.org.uk/AGM
Attendance at the AGM is free for CIPP members. Should you wish to attend, please book via our website at cipp.org.uk/AGM
@CIPP_UK cipp.org.uk
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| Professional in Payroll, Pensions and Reward |
Issue 55 | November 2019
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