Irrespective of size and orientation, the successful execution of the Human Resource management (HRM) function of any business is a challenging task. HR for any businesses is embroiled with issues of recruitment, training, redundancy, and resolving the grievances of employees.
Effective HR management in small businesses requires a system that allows for HR to monitor the attendance, performance and productivity of employees.
Payroll outsourcing can be an inexpensive strategic option that complements the HRM function and help avoid 3 major HR-related issues that affects every business:
1. Incorrect Employee Evaluations
This is one of the major challenges every business faces. Employee attendance and performance is a vital factor when considering performance appraisals, promotions, training and other professional development needs of the employees.
A cloud-based all-in-one Payroll Processing Suite that includes Employee Time Management & Attendance, Unlimited Custom Reporting, Calculating Taxes, Accounting & System Integration features can help in the following ways:
- Provides an integrated system that records employee attendance to the nearest second.
- Payroll software also measures employee productivity, providing you with critical insights to support performance evaluations.
- Adjustments for lunch breaks, sick leaves, paid leaves and other contingencies are easily incorporated, providing a more transparent and best-practices approach for processing payroll.
- As pay is a sizeable and important motivator, accurate and on-time payroll motivates employees, moderating need for investment in activities associated towards boosting morale in the workplace.
2. Compliance with Labor Laws
HR management is also concerned with keeping up-to-date with latest revisions in employee/labor laws and tax regulations. For small business owners, this means detail research and scrutiny of the legislation and/or seeking expertise/consultancy. This only adds to their costs.
Payroll outsourcing provides your business with a system that is continually updated with respect to changes in labor laws. This protects your business from any penalties/fines imposed that may be imposed. Integrated payroll systems also provide accommodation for various retirement and insurance options for employees to choose from.
3. Employee Grievances
Statistically, a number of employee grievances business encounter are pay discrimination related. From attendance issues to incorrect payroll calculation and tax deductions, employees get frustrated easily when it comes to inaccurate pay.
Payroll outsourcing helps businesses mitigate pay-related employee grievances through:
- Accurate calculation and timely disbursement of payroll
- Timely attendance and productivity recording
- Deduction of tax at source, in accordance with tax codes
To learn more about the effective ways of managing payroll and achieving savings straight to your bottom-line, please click here.
About SimpleX Payroll
SimpleX Payroll is a full-service payroll company that specializes in delivering unparalleled service standards to small-medium sized businesses in all 50 States. SimpleX Payroll is built on providing a cloud-based all-in-one premier Payroll Processing Suite that includes Employee Time Management & Attendance, Unlimited Custom Reporting, Calculating Taxes, Accounting & System Integration features.