Worldwide statistics indicate that payroll is the most challenging back-office process for most companies. For instance, according to The Workforce Institute
, 49% of employees would begin searching for a new job after two issues with their paycheck. Even one small mistake in payroll may affect the well-being of employees and ultimately their efficiency in the workplace. Everyone wants salary to be paid on time, so it's vitally important for employers to make the payroll process absolutely accurate. Diverse legislation
When it comes to payroll, there are federal and local authorities with diverse, country-specific rules and serious penalties. Moreover, European labor legislation is quite intricate — it's quite hard to keep up-to-date with the law permanently. So, HR and legal departments are caught in the middle and have to comply with all requirements on different levels. Time-consuming process
Another complexity with payroll is that it is a great time-waster for your HR department and one of the most expensive operations for a company. The source
shows that an average HR team dedicates 35% of the time to payroll and correction of errors. The third of HR's working hours is spent on this overwhelming process that now can be easily outsourced and highly automated.