CloudPay’s latest report, The Tech-Talent Equilibrium in Payroll, sheds light on how businesses value payroll technology and human expertise. The research reveals that while technology is slightly more valued than payroll personnel, companies are facing challenges with both areas. The right balance of technology and human talent can optimize payroll functions and offer strategic advantages to organizations.
- Technology vs. Personnel: A Delicate Balance
- Technology: 53% of respondents value payroll technology more than personnel.
- Personnel: 47% of respondents believe human expertise is of equal or greater importance.
- Grant Tasker’s Insight: CloudPay’s Senior Director emphasizes the push and pull between technology and expertise, stressing that the ideal solution involves both technology innovation and skilled personnel to ensure efficiency, accuracy, and compliance.
- Challenges with Payroll Technology
- System Integration: 94% of respondents struggle with disconnected systems and integration challenges.
- Updating Solutions: 40% report difficulties keeping solutions up-to-date and connected.
- Data Reporting: Only 65% of respondents are satisfied with their payroll technology’s data reporting capabilities.
- Payroll & HCM Integration: Just 67% of respondents are somewhat satisfied with their payroll and Human Capital Management (HCM) integration.
- Talent Shortage in Payroll
- Expertise Gap: 94% of respondents face challenges due to a lack of payroll expertise, with 38% citing this as a significant issue.
- Impact by Organization Size: Larger organizations (77%) feel the skills gap more acutely than small and mid-sized firms (67%).
- Top Talent Expectations: Key competencies for payroll talent include compliance knowledge (30%), technology skills (14%), and management/analytical skills (13% each).
- Global Compliance Challenges
- Compliance Hurdles: 40% of respondents report global compliance as a significant challenge in payroll management.
- Technology’s Role: 76% agree that properly configured payroll technology plays a crucial role in maintaining compliance.
- Human Expertise in Compliance: 78% say payroll personnel have a significant impact on ensuring compliance with global standards.
The Tech–Talent Equilibrium in Payroll report underscores the critical need for organizations to strike the right balance between payroll technology and human expertise. While technology is essential for efficiency and global compliance, the shortage of skilled payroll professionals remains a significant challenge for businesses, especially larger organizations. Moving forward, companies must focus on integrating cutting-edge technology while also investing in highly skilled payroll professionals to navigate the complexities of a rapidly changing global payroll landscape.
Business Wire, a Berkshire Hathaway company, is the global leader in press release distribution and regulatory disclosure. Public relations, investor relations, public policy and marketing professionals rely on Business Wire for secure and accurate distribution of market-moving news and multimedia. Founded in 1961, Business Wire is a trusted source for news organizations, journalists, investment professionals and regulatory authorities, delivering news directly into editorial systems and leading online news sources via its multi-patented NX network. Business Wire’s global newsrooms are available to meet the needs of communications professionals and news media worldwide.
