3 things you might not know about international payroll

Payroll Services Alliance 14th Apr 2018


Payroll is a core part of an organisation, so it’s important that HR and payroll teams have the right processes and providers in place. For multinational organisations, it’s essential that legislations at a local level are met, and that the payroll provider allows a globalised view of your payroll (across various countries).

However, isn’t global payroll confusing and hard to manage? And surely it’s less secure than to have one provider manage an organisation’s data and payroll processes? Here are five things that you might not know about international payroll.

1. Both global and local levels

Just because payroll is ‘international’ or ‘global’, it doesn’t mean it loses touch with local payroll legislations. An optimum international payroll provider thinks global but acts global—encompassing both a local understanding with a global view.

For example, if an organisation has offices in the UK, France, Italy, the US and Asia, international payroll should understand each of the local/regional legislations, while also ensuring global capability. The best global payroll solutions provider can utilise both, and consequently provider the optimum payroll for a multinational organisation.

2. Improve security

With the advent of the General Data Protection Regulation (GDPR), global organisations will need to be particularly careful when processing the data of both employees and clients/customers. With HR and payroll teams handling sensitive, personal data, it is essential that payroll processes and providers are secure and process data correctly. These providers should also not be vulnerable to a cyberattack or breach.

By taking on a global payroll provider, HR and payroll departments can have peace of mind that the provider has the best infrastructure and security technologies to fend against cyberattacks. Because of this, global payroll providers are much more secure that multiple, single providers at a local level.

3. Payroll processes are simpler and more accurate

Although global or international payroll sounds time consuming and confusing, it actually makes payroll processes much simpler and can improve payroll accuracy. For example, organisations that use a single provider for each local country will have to manage multiple processes. By taking on a global payroll provider, HR and payroll professionals will no longer need to manage multiple providers, as the global organisation will have both local and global knowledge.

Accuracy is also improved with global payroll, as global providers can automate tasks that are usually completed manually, and can ensure that processes are seamless and completed on time.

There are various misunderstandings about global or international payroll, but it’s important for organisations around the world to prioritise global payroll and understand the power that it has.

To learn more about what the Payroll Services Alliance can do for your business, please get in touch.

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