WorkED podcast #11 – Payroll’s ‘New Normal’ Looks Very Familiar

The world of payroll professionals is often hidden from view, until it finds itself on the front page of newspapers when something goes wrong. We’ve seen that happen recently with employee underpayment issues affecting some of our nation’s largest businesses and brands.

The truth is, however, that payroll is something that happens all the time in all businesses with employees, though it is often not given the attention and prominence it deserves. After all, we’re talking about hard-earned income being paid on time to our greatest asset – our people.

It’s something I covered recently with Australian Payroll Association (APA) CEO Tracy Angwin on the latest episode of the WorkED podcast. Tracy is clear she thinks payroll should be understood as a critical business function – rather than tucked away somewhere in the corner of the office.

Payroll should also be understood as a profession. Rather than taking a ‘set and forget’ approach and thinking a system will solve every payroll problem, businesses need to consider investing in trained or experienced people able to analyse issues, interpret awards and make decisions.

There’s one clear reason why this will only become more important into the future. And that’s change.

Payroll has been through a lot of change in recent times. Changes to Fair Work and award rules, the technology evolution of Single Touch Payroll (STP) and now support for JobKeeper payments, it's been a period of continual and at times, hard to predict, change.

And the change continues. In 2020, new ‘annualised salary’ clauses commended in a number of modern awards, once again demand payroll professionals understand the implications and complexities and adapt their operations (by requiring the recording of start and finish times, for example).

This pace of change is unlikely to abate. With a background in technology prior to heading up the APA, Tracy says she has witnessed change as a constant through her career. While the change of 2020 feels like a ‘new normal’ to some, in fact, to others it looks and feels very familiar.

And we can only expect more to come.

So what further changes are in store for payroll in 2020 and beyond? And as businesses who want to do the right thing by our people, how can we manage it and take a more strategic approach? For an entertaining deep dive into payroll’s present and future, be sure to listen to my conversation with Tracy Angwin on WorkED.

I’ve also got more great conversations coming up on the podcast up on the future of work and education so be sure to subscribe on Apple Podcasts and Spotify or access at https://www.readytech.com.au/worked-podcast/.

Marc Washbourne, CEO, ReadyTech - www.readytech.com.au