04:05
ISSUE 2
has an intricate web of legal and regulatory requirements, and failure to comply with them can lead to expensive consequences. “It’s one thing to recognize how important compliance is and understand that it requires deft management of hours, health, tax, benefits and so much more; it’s quite another thing to create an ecosystem within the business that meets these compliance requirements.” According to Research and Markets, juggling all these balls is a daunting endeavor and very likely one of the primary reasons why the payroll services market has grown so significantly. The anticipated growth for 2024 is $77.63 billion with a compound annual growth rate (CAGR) of 3.2%. This growth is due to the rise of innovative and effective solutions designed to help companies prioritize compliance, cost savings and payroll efficiencies, providing a safety net for businesses in the complex world of regulations.
Maintaining compliance fosters trust among stakeholders, including employees, investors and customers. It enhances your reputation and credibility in the global market, allows you to implement proper controls and processes that improve operations and administration and provides a solid foundation for navigating local laws and cultural subtleties. Compliance also helps to mitigate risk, maintain ethical business practices and tackle the complexities of global workforce management with proactive strategies. Now, the real conversation comes down to how you build this foundation. It’s one thing to recognize how important compliance is and understand that it requires deft management of hours, health, tax, benefits and so much more; it’s quite another thing to create an ecosystem within the business that meets these compliance requirements. The first step is to ensure you know all compliance standards in each country across core areas, including working hours, minimum wage, employee benefits, leave, pay equality, data protection, trade regulations and legal expectations. Then, you must create an operational ecosystem with clearly defined processes, policies and approaches designed to ensure compliance and reduce non-compliance risks. This means a dedicated team focused on sifting through the compliance expectations within each region, so payroll is constantly updated and compliant. You also need a functional and capable legal team with insight into the legal
Made with FlippingBook - Share PDF online