It’s easy to assume that a legacy payroll platform isn’t capable of handling the demands of the modern workforce, particularly in the era of hybrid and gig working.
Considering that 70% of executives recently interviewed by Deloitte said that they were planning on a hybrid framework moving forward and that employees are increasingly dictating their terms of engagement – as seen in the Great Resignation – it’s time for companies to plan ahead, and plan their compliance.
Ian McAlister, GM of CRS, points out that the new normal now involves multiple jurisdictions, tax climates, benefits packages and so much more, demanding that payroll be capable of restructuring itself and its capabilities to cope.
“The problem isn’t that companies are ignoring these risks and requirements, but that they’re thinking of ripping out their existing platforms in order to cope,” he adds. “However, it’s not necessary and will only cost more time and money than it should. Instead, organisations should look to solutions that will augment their existing infrastructure.”
Modular and intelligent solutions that can be layered on top of legacy platforms and systems are a far smarter move. This way, a company can bolster very specific systems with relevant technology instead of having to relearn an entirely new way of doing business, and payroll admin. There’s no need for a big bang approach when you can effect incremental change module by module.
“By augmenting your existing setup, you can carefully refine your payroll and human resource functionalities alongside your hybrid working strategies,” says McAlister. “It allows you to adapt your payroll to your employees – a round peg into a round hole. You also bypass the significant expense that comes with the implementation of an entire suite of solutions, half of which you may not need.”
Companies that are struggling with budget constraints and complex payroll demands will benefit from the augmentation approach. They can layer new technology on top of legacy in a methodical way and spread the costs over time to minimise their impact.
“With the right technology partner, it’s easy to slot solutions onto your existing infrastructure by using APIs,” concludes McAlister. “It’s not a huge project if you work with the right company that can offer you modular support over time.”