TECHNOLOGY
“These advances mean human resource and payroll teams can focus on the people who depend on their functions, rather than being bogged down by administrative processes”
UK in recent years. Generally referred to as early earned wage access, on demand pay allows employees to access their earnings as they earn, rather than waiting for a traditional payday at the end of the month. These solutions give employees more financial freedom and offer support with unexpected costs before payday, meaning financial stress is reduced. On demand pay can also help staff avoid credit card debt or expensive short-term loans, which can worsen financial well-being. “It’s vital that changes are properly communicated to all staff at an early juncture, so they’re fully consulted and feel like they’re an instrumental part of the process” It’s not just employees who experience the benefits of on demand pay, though, as employers gain an attractive benefit to help attract and maintain skilled talent. Seen as a financial well-being benefit, on demand pay can be a great competitive advantage for businesses looking to rise above the competition. And supporting employees with financial wellness can increase well- being by decreasing the time spent worrying about financial issues, a major cause of stress and ill-health for UK employees, as
noted here: https://ow.ly/ZRzn50QGanN. With the benefits for both employee and employer in mind, it’s important that these schemes are implemented in a holistic way, with a lens on the future of work. On demand pay can be combined with autonomous payroll to support the streamlining of payroll processes, reducing administrative tasks and increasing accuracy
what future job roles might look like and in highlighting the skills needed in those jobs. And for payroll, this is no different. Leaders should have more insight into market trends and the company direction on AI / associated tech, along with knowledge of how that translates into business operations. This directly feeds into how AI may impact workforces, so employers can use these resources to inform their staff. With the right conversations and outlook, employees won’t view AI as a threat to their jobs. In fact, they’ll take the opposite stance. Moving into a more empowered, strategic role rather than being bogged down by administrative tasks is a tremendous development opportunity for payroll professionals. The future of payroll is exemplified by the type of continuous innovation we see in areas including AI and on demand pay. As these technologies advance, and as payroll continues in its role as a strategic business function, its role in the future of work will become even clearer. Businesses must see the advantages of the new payroll to attract, retain and engage workforces more effectively than ever before. Adapting to developments and making use of these resources can assist organisations in maintaining a leading edge in this evolving field. n
and precision – all while supporting employee well-being and retention.
The interesting new role of the payroll professional These new advancements have fundamentally changed the payroll discipline. Beyond traditional tasks like processing, payroll now includes strategic responsibilities such as ensuring global compliance and aligning payroll with broader HR and people strategies. Payroll teams should be supported through these new technological implementations to ensure rollouts go smoothly. As with any organisational changes, leaders must also tread carefully alongside the excitement. It’s vital that changes are properly communicated to all staff at an early juncture, so they’re fully consulted and feel like they’re an instrumental part of the process. Employers must lead the way in outlining
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| Professional in Payroll, Pensions and Reward |
Issue 99 | April 2024
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