Payroll outsourcing agencies evidently exist to help companies better manage the way they pay their employees. Of course, in order for their business to thrive, employers must financially take care of their workers. However, calculating and distributing payroll is not easy.
In this day and age, having a payroll outsourcing partner is not enough, especially if they’re still employing traditional processes and systems to get things done. Integrating technology in business operations is more important than ever in the age of COVID-19 as well when most companies have remote work arrangements and employees rely on every penny they can get from rendering services for their employers.
In this blog, we’ll tackle the various reasons why payroll outsourcing agencies need to partner with HR technology providers and employ technology to better calculate wages and ultimately better serve their clients.
Improve and speed up processes
It goes without saying that over the past few decades, technology has improved almost all aspects of life. Microsoft founder Bill Gates said it better, “The advance of technology is based on making it fit in so that you don’t really even notice it, so it’s part of everyday life.” Of course, the successes that companies have amassed through technology would not have been possible without the help of tech experts as well.
When it comes to payroll distribution, traditional payroll outsourcing agencies can enhance their processes by partnering with an HR tech expert, which already has the necessary knowledge, skills, and equipment needed to improve HR solutions. Through the offerings of these HR tech experts, payroll computation and distribution will be easier and more efficient than ever, thereby helping payroll outsourcing agencies fulfill the needs of their clients. Working with an HR tech expert also helps reduce costs as they already have the resources to guide their partners about their solutions.
Gain more clients
In the world of business, partnerships are considered one of the strategic ways for companies to thrive and boost their operations. Not only can partnerships help companies access a wider range of expertise for their business or save on costs, but enable them to amass more clients and high-quality leads. This matter can apply to payroll outsourcing agencies when they partner with HR tech vendors.
With a tech partner, payroll outsourcing agencies will be able to gain more referrals of potential clients. HR tech vendors also have a wide range of clients themselves who could possibly be looking for payroll outsourcing services as well. It’s all just a matter of making relationships and forging partnerships.
Reduce errors or mistakes
Errors in the computation of salaries can lead to delays in payroll distribution. According to Hong Kong’s Employment Ordinance, employers should pay wages to an employee not later than seven days after the end of the wage period. If employers do fail to pay an employee within those seven days, they are required to pay interest on the outstanding amount of wages to the employee or, in severe cases, be liable to prosecution and, upon conviction, to a fine of $350,000 and to imprisonment for three years.
In order to avoid these penalties, payroll outsourcing agencies can rely on an HR tech provider to digitize their operations, reducing the chances of human errors or mistakes to happen. As mentioned before, integrating technology into business operations can help improve and speed up processes.
Having an HR tech partner offers more advantages than disadvantages. For payroll outsourcing agencies that want to experience the benefits mentioned above, they need not look further as they can easily team up with Workstem through their robust Partnership Program. Workstem supports HR service providers such as payroll outsourcing agencies, accounting and recruitment firms, and business advisory service providers in matters related to revenue, marketing, business referrals, technology training, and other business concerns.
Workstem partners, especially payroll outsourcing agencies, can also avail the HR solution provider’s payroll system to digitize their traditional and often erroneous processes. In this way, payroll outsourcing agencies can better meet deadlines, comply with labor laws, and improve their customer service.
Companies can do so much with the right partner, even more so with the right technology. It’s all just a matter of taking the next step towards digital transformation and business improvement.