FUTURE OF PAYROLL SURVEY REPORT 2020
Taylor’s Review had identified four key areas of concern, relating to employment status, increasing transparency, agency workers and enforcement. Within the survey, we asked ‘from the choices provided in the Matthew Taylor report, what would you, as a payroll professional, like to see in the future in terms of making employment fairer?’ Out of the three options provided, higher National Minimum Wage / National Living Wage rates, more rights for ‘workers’ and contractors not deemed as employees, and more security for zero-hours workers, the most popular response related to higher levels of protection for those working on zero-hour contracts. Zero-hour contracts have long been a cause of concern for many, due to the extremely low levels of stability for those working under this contract. This was followed by 58% who agreed that there should be a higher rate of National Minimum Wage (NMW) / National Living Wage (NLW). This is for those, again, who have non-guaranteed hours, and ties in with additional protections for flexible workers, zero-hours and anyone within the gig economy. 41% maintained that more rights for ‘workers’ and contractors not deemed as employees are crucial for the future. Taylor’s report most definitely raises a range of questions about employment status and the rights awarded to workers not classified as typical employees.
ZERO-HOUR CONTRACTS HAVE LONG BEEN A CAUSE OF CONCERN FORMANY
DLME also discussed the possibility of a Single Enforcement Body (SEB) to give greater powers to separate authorities to enforce items such as National Minimum Wage and holiday payments. It would combine the Employment Agency Standards Inspectorate (EAS), Gangmasters and Labour Abuse Authority (GLAA) and HMRC National Minimum Wage (HMRC-NMW). When asked the question of how individuals would see this impacting the roles of those working within payroll in the future, the response was positive, on the whole, with 64% confirming that it would have a positive impact, 28% stating it would have no impact, and 8% believing it would have a negative impact. The notion of combining separate authorities to enhance their power and skills seems plausible, and hopefully it will help enforcement action in the future, and ensure that companies and payroll departments act in compliance with legislation, and pay employees and workers accurately. There is much to be said on the topic of the future of working, and it is clear to see that changes to traditional, nuclear ways of working patterns and styles will continue ahead into the future. As there becomes more focus on balancing a home and a working life, new trends will continue to emerge, and payroll departments will need to keep up to date - another strong reason to free up time by using automation for the more routine and repetitive tasks. The government is committed to improve modern working practices and increase flexible working take up to maintain a healthy work life balance, and the resounding message is to watch this space. Juggling a job with a home life still disproportionately affects women, so government work is being carried out in this field to ensure that the gender pay gap can be reduced, and so that women and men are treated equally within the workplace.
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