In this era of high employment, employees feel confident about walking into a new role easily, so will not put up with sloppy administration from their employer, with one in five workers having quit their job after being paid late or inaccurately.
According to a recent survey, 20 per cent of employees said they had changed jobs after payroll errors made by previous employers, which adds up to an incredible 7 million workers on a national scale.
Shockingly, almost 40 per cent of UK workers have been paid late on at least one occasion, causing nearly half to suffer undue levels of stress and worry, while two in five faced financial risk.
Moreover, almost two in five said they had missed payments on direct debits, just under one third said they have gone into their overdraft, and around a quarter have incurred bank charges or suffered damage to their credit rating because of being paid late. Unsurprisingly, because of this, almost half believe that their employer does not care about their wellbeing.
As a spokeswoman for the Chartered Institute of Payroll Professionals (CIPP) commented, employees play a significant role in providing the payroll department with accurate and timely information. Without it, the payroll department is unable to fulfil its core objectives.
However, she added that payroll processing is becoming increasingly complex, with additional duties introduced every year, so employers must keep up to date with all the changes to legislation.
Meanwhile, the increased chance of breaching employment legislation and, consequently, of facing severe penalties and reputation damage, is another significant risk of running an inefficient payroll system.
Smailes Goldie Group
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