Blockchain and HR: Trust, Speed and Control

Here’s a question I get a lot, and I love answering it: ?What do you think of crypto and ?blockchain in general and does it have an application in business, HR and mobility? First, before I start, a disclaimer: I have a clear bias! Two of my children work with blockchain and payments, and one has been at the center of the crypto ecosystem for many years.

But whether my kids were involved in this technology or not, I would understand it and gravitate to it.

So many innovations in recent years revolve around digitization. Speeding things up, putting information and control into the hands of the user, integrating activity directly with other activity…all are important to managing people.

Because HR is highly involved in identifying, interviewing, verifying, hiring, contracting and paying people, there are three things at the heart of improving these processes: trust, speed and control.

There’s no faster or more secure way to manage money transfer than using blockchain: it supports document walleting, keeps the sharing of information in HR’s or an individual’s control, and the movement of money and information – whether payroll or contractual - is rapid. In a 24/7 business world, everything must happen quickly, accurately and safely. Blockchain is a solution!

Listing out the top benefits, I’d include...

Payroll and Payment Advantages:

-- Because mobility and HR rely so strongly on a global workforce, we can coordinate quicker and more cost-effective cross-border payments, bypassing the need for currency conversion, and reducing transaction fees. We also won’t be slowed down by complex systems when hiring out of country talent.

-- Our employees can expect instant salary transfer, without reliance on traditional banking processes.

Transparency and Security: With blockchain technology, we can be sure that every record of contracts, transactions, and employee information cannot be manipulated, and is legally sound. Blockchain’s transparent and fixed ledger reduces the risk of payroll fraud and other financial discrepancies. Data security is heightened, and data breach risks are minimized, so personal and sensitive information can be securely stored.? Candidate background checks are facilitated by using blockchain, which offers secure storage and verification of credentials, work history, and educational qualifications.

Smart Contracts: The use of smart contracts can automate various HR processes, such as payroll, benefits distribution, and compliance checks, reducing administrative burden and overhead. And automated contract execution can further build trust between employers and employees by ensuring compliance with the terms of the employment agreement.

Blockchain can also simplify compliance and reporting requirements, because it maintains a clear audit trail for all transactions and changes. We have a lot to learn yet – with all its benefits, it’s being closely assessed and considered from regulatory, security, and operational perspectives.

Still, like a lot of sweeping technology, blockchain is putting the power back in people’s hands. And while I am a staunch advocate of modernization, and an early adopter and investor, I know we’re in a “both/and” situation. We still need our traditional financial institutions even as we look toward a future of change. It’s all about where we find trust and security within and between these two worlds.?

But don’t take my word for it! I’ll ask a few people to weigh in, too. Bill Mulholland SCRP, GMS , what’s your experience been? Susan Benevides , what’s your take on this? Hunter Horsley , where do you see blockchain going in HR? Emily M. Dickens , can you share your lens? Erik Eccles , you’re a great early implementer and observer: what’s the future of blockchain in HR circles? Josh Bersin , what are you telling your clients and followers about blockchain?

Check out this illustrative and easy-to-understand video about crypto and blockchain!: https://www.youtube.com/watch?v=6Dy9MQxcLPU