New Research into Payroll Errors
Payroll errors can have serious negative impacts on a business, affecting everything from company finances to the morale of employees, not to mention the possible legal implications. New research from leading finance expert MHR has revealed the true extent of such errors and the problems they can cause.
Data collected during the study revealed that a massive 91% of businesses in the UK and Ireland admit to making errors in their payroll calculations every single month. In an company with 500 employees, such a large amount of errors could end up with an annual cost to that company of over £150,000.
A major part of the problem is that outdated manual payroll processes are still being used by 72% of companies. 36% of the surveyed businesses said that such manual systems 'distracted them from critical business tasks', meaning that even more precious time (and thus money) is being wasted.
Far from just affecting the business itself, payroll inaccuracies and errors can also have serious implications for employees. The MHR research showed that, among respondents who had received late or incorrect wages in 2021, 25% of them had found themselves unable to pay crucial bills. 35% of these respondents had borrowed money in order to make sure these bills were paid. A full 50% of these employees said that they would consider seeking alternative employment if they 'experienced repeated payroll errors'.
Nine out of ten of the organisations who responded to the MHR survey said that their payroll operations were managed in-house. When asked what they thought the best solution to improving payroll operations would be, 50% said that they would choose to use an outsourced payroll management service.
If your business is one of the 91% which admit to making payroll errors every month, resulting in the may serious issues described above, then you could definitely benefit from the world-class payroll management service offered by Bachmann Group.
Working in close conjunction with Multiwage, a leading BACS-approved payroll bureau, our carefully-chosen team of payroll specialists utilise advanced, award-winning payroll software to deliver an ultra-reliable payroll management service to our diverse array of clients around the world. We are responsible for handling many thousands of payments every month which together total well over £90 billion annually.
Please browse the Bachmann Group website to find out more details about our gold-standard payroll management services. For further information and advice, please get in touch with a member of our knowledgeable customer service team who will be more than happy to assist.