REWARD
BUILDING Inclusive cultures through sensitive payroll and reward strategies
Tahir Idris, Lead Partner for Respect and Inclusion, Housing 21, delves into why pay is never simply just about money, and how payroll professionals can play their part in ensuring every employee feels valued and fairly treated
L eading on the inclusion agenda often means involvement in many people-based activities – recruitment, development, operations, recognition – but, strangely, the pay and reward function is often overlooked. Pay is more than a transaction. It’s a symbol of value, recognition and belonging. For organisations, it’s a cornerstone of attraction and retention, and for employees, it reflects how much their contribution is respected. For payroll professionals, it represents both a responsibility and an opportunity: to ensure every individual is paid accurately and on time, while also contributing to workplace culture and navigating the diverse relationships different cultures have with pay. In this article, I’m going to explore how pay, reward and recognition take on cultural significance across different parts of the workforce, why it’s dangerous to assume a ‘one-size-fits-all’ approach and how payroll professionals sit at the heart of building trust in inclusive and transparent pay systems. Pay, reward and recognition as central to attraction and retention In the competition for talent, pay is often the first touchpoint between an individual and an employer. A clear, competitive and transparent pay structure signals to prospective employees that their time and effort will be respected. Yet, pay alone is rarely enough to keep people motivated long-term. Recognition, both financial and
“Payroll professionals sit at the heart of building trust in inclusive and transparent pay systems”
non-financial, plays an equally vital role. Reward strategies increasingly combine salary with broader benefits: pensions, flexible working, wellness allowances or performance-related incentives. These packages reflect an understanding that employees look, not just for financial security, but for signals of respect, fairness and investment in their wellbeing. Payroll sits at the junction where these promises become real. A late payment, a miscalculated bonus or inconsistent deductions can quickly undermine confidence. Conversely, a seamless, transparent payroll process reinforces the organisation’s reliability and respect for its workforce and, importantly, builds trust. Cultural perspectives on pay and recognition Not every workforce views pay and recognition through the same lens. Cultural backgrounds, industry norms, generational expectations and even regional economic realities shape how people interpret the meaning of pay.
prized over individual achievement, such as in the Far East. Recognition may be better received through team bonuses or shared celebrations rather than individual performance-based pay. In contrast, individualist cultures, like in the United States of America, often equate personal salary growth with career success. Our workforces are increasingly diverse, so have we thought about these subtle but important differences? Generational shifts Younger employees may value flexibility, wellbeing support and career development alongside pay, while older employees might prioritise pension security or healthcare benefits. Diverse cultures Within different cultures, many may not leave the family home until marriage and often caring for elderly parents is a cultural norm, so flexibility may be valued over pay. Nevertheless, contributing to global family finances is often a hidden burden on some of our colleagues, so any strategy which maximises income will be appreciated.
Collectivist vs. individualist cultures In some cultures, collective success is
| Professional in Payroll, Pensions and Reward | November 2025 | Issue 115 52
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