Payroll is challenging. The constantly evolving intricacies of data entry, integration, automation, and compliance are becoming increasingly difficult for many businesses to keep up with.
After meeting with a number of staffing agencies at the Recruitment Agency Expo in London, our team gathered first-hand insight into the most troublesome aspects of these agencies’ current payroll processes – often finding that these issues would fall onto the rest of their organisation, resulting in less time for productive tasks, lower staff satisfaction, higher costs… The problems were endless.
With each encounter, we concluded that there was one common denominator – each of their payroll challenges could be eliminated with an automated all in one payroll system.
In this article, we’ll discuss the top 5 most common payroll problems faced by staffing agencies, providing practical and effective solutions for you along the way.
1. Manual Data Entry
Surprisingly, and regardless of which payroll system was being used, many recruitment agencies are still relying on manual data entry for their payroll processing, which can be time-consuming and error-prone. This can lead to payroll inaccuracies, compliance issues, and, ultimately, unhappy employees.
mywage was founded on the firm belief that an absolute payroll transformation is mandatory for the future of work, and, after countless encounters with staffing agencies dissatisfied with their current payroll processing system, the memo has never been clearer; it’s officially time to say goodbye to manual data processing!
mywage is here to empower your workforce, giving users the ability to streamline the entire payroll process by leveraging hyperautomation, ensuring total data accuracy and legislative compliance. This reduces payroll time by up to 60%, leading to higher efficiency, productivity, and employee satisfaction. Workforce satisfaction is our priority – a payroll revolution cannot be successful without customer obsession, which is what we’re here to offer.
2. Integration Issues
Payroll software often needs to integrate with the rest of your tech stack, such as ATS’s, time and attendance, benefits administration, and accounting software. Many agencies face challenges with integrating their payroll software with the rest of their tech stack, leading to data inconsistencies and errors. We know as well as anyone how much of a headache integrating HR, for example, into your payroll systems can be – because of this, we’ve put everything you need, all in one place.
3. Lack Of Automation
Recruitment agencies often struggle with automating their payroll processes, resulting in a lack of efficiency and increased costs. This can be due to outdated payroll software systems that do not integrate with other HR tools.
mywage leverages hyperautomation, which significantly reduces the amount of valuable time spent validating data, allowing you to allocate your time to more productive tasks. According to Spend Journal “approximately 35% of HR time is spent correcting payroll errors”. Avoiding these mistakes could decrease your business’s costs by up to 60%, all by simply selecting the right payroll automation software for you. Not only this, but the mywageHR platform diminishes the concern for integration errors and empowers your workforce through self-service.
4. Lack Of Visibility
Recruitment agencies may not have real-time visibility into their payroll data, making it difficult to identify potential errors or compliance issues. This can lead to delayed payments, unhappy employees, and potential legal liabilities.
Payday is a great festivity for many of us and, speaking from experience, nothing quite matches the disappointment and frustration when the anticipated day comes around with nothing to show for it, especially for those living paycheck to paycheck. As a matter of fact, over half of gig economy workers live as such – their livelihood depends on a reliable payment system.
mywage offers the ultimate in real time data visibility, empowering workers by providing them with total transparency into the payroll process. Our reporting & dashboards function provides you with AI driven data insights right at your fingertips, making identifying trends and spotting potential issues easier than ever. As a result, with mywage, you can be ensured that delayed payments, legal liabilities, and employee dissatisfaction (along with those pesky passive aggressive payroll complaints) will no longer be a burden.
5. Compliance Challenges
Payroll compliance can be complex, especially when dealing with multiple clients and jurisdictions. Payroll teams must ensure that they are adhering to local regulations for tax withholding, benefits, and employment laws. Therefore, it’s crucial for payroll professionals to stay in the loop regarding changes in payroll laws and regulations to avoid large fines, penalties, or even complete dissolution.
For businesses of all sizes, non-compliance concerns are a leading cause for belief that automated software will soon be considered a necessity in maintaining abidance with tax laws and regulations. Our decades of staffing and payroll expertise at mywage have prepared us for this. Having been in your shoes, we understand how critical compliance is in the safety of a business, and we’re here to protect you. Our platform is HMRC compliant; it’s entirely in our hands, allowing you to focus on growing your business.
What does this mean for the future of work?
It’s evident that an effective payroll and HR system capable of handling the ever-evolving intricacies of payroll is vital for businesses. Soon, manual data entry, integration issues, lack of visibility, lack of automation, and compliance challenges will become obstacles of the past – and the last thing any business wants is to be left behind. Without tackling these challenges, your business runs the risk of falling behind in payments, making avoidable errors, and losing the trust of your workforce.
Not only this, but the knock-on benefits of top quality payroll automation are often overlooked – reduced costs, higher productivity, greater employee satisfaction, improved company reputation. The list goes on!
If this is what you’re looking for, the mywage team would love to chat! The world’s first all-in-one payroll solution serving the flexible workforce, powered by the most secure platform in the world.
Piqued your interest? Book a demo now.
© 2023 mywage
