Technology and digitalization have made it increasingly difficult for company executives and decision-makers worldwide to keep up with the pace of change in the global economy. Despite this, planning is becoming increasingly challenging in a continuously changing environment. The future is more unpredictable than ever, particularly considering the significant disruptions generated by the coronavirus epidemic. Global payroll will be no exception.
In the wake of COVID-19, payroll executives worldwide are presented with a slew of unanswered issues that need to be answered: What innovations are expected to affect global operations in the future? What are the most significant changes in the world’s payroll that we should be aware of? In 2022, where do you think the worldwide payroll will be?
Planning for the future means company leaders need to consider several essential elements. This subject will be discussed further here.
In 2022, the payroll business will be influenced by several global developments.
The impact of COVID-19 on businesses and the workplace has been significant. Although the epidemic is nearing its end, its legacy is predicted to have a lasting effect on the way companies operate in the future. As a result of the epidemic, there has been a rise in the use of intelligent and artificial intelligence technology and cloud-based solutions. According to several industry analysts, working from home or remotely is expected to remain popular in the next year. Employee satisfaction is now more vital than ever because of the pandemic’s profound effect on employees’ perspectives. In 2022, these global changes will heavily influence the global payroll environment, which may be seen on an industry-wide level.
1. On the road to next-generation payroll
Next-generation technology is steadily finding its way into every industry and business sector. And the payroll industry is no exception. According to the 2020 Deloitte Global Payroll Benchmarking Survey, 15% of businesses have already implemented next-generation payroll systems. Furthermore, another 49% of companies hoped to deploy innovative technology in three years. It was a typical response from corporate leaders when asked which technologies they were planning to implement in the future: engagement platforms, robots, and automation. Hyper-automation and machine learning, such as continuous payroll processing and fraud detection, is getting much attention early on.
2. Cloud-based solutions will be prevalent.
Cloud-based technologies will be a critical component in making global payroll appropriate for the “new normal.” the use of cloud-based solutions to support payroll activities is another technological development that is predicted to become even more critical. According to the Deloitte survey, 57 per cent of the firms polled had already implemented or planned to deploy a payroll cloud solution over the next three years, while another 27 per cent had already implemented or were preparing to implement one.
3. Data will be critical.
An essential takeaway for company executives concerning payroll is that access to consolidated, real-time data for their whole global workforce is vital to making educated business choices and managing global payroll expenditures. According to Gartner analysts, global payroll data has become a significant resource for labor management after COVID-19.
4. Alternative payment methods are on the rise.
Shortly, payroll processing will be fully automated, and data driven. However, what happens when the payroll computation is completed? According to the experts, there will also be a significant shift in the way employees are paid. Currently, on the horizon, new payment methods such as earned wage access are projected to be adopted on a broader scale in places like the Asia-Pacific. Alternative forms of paying employees are the same. The use of digital wallets and other alternative payment methods is expected to rise dramatically in the global payroll sector as a solution to delayed and costly cross-border payments.
5. Employee satisfaction is more important than ever.
It’s no surprise that improving the employee experience (EX) is a significant priority for company executives in the wake of the pandemic’s continued struggle to attract and retain top-tier employees in 2022. It’s becoming more and more common for employees to ask for time off, change their personal information, or see their pay stubs online. Payroll plays a critical part in the active effort to create a good experience for workers. However, this is only one part of fulfilling the aim of ensuring that worldwide teams get paid on time and in the correct currency.