Managing payroll worldwide is a challenging task … Papaya Global Team…
publicly announced and it was 100 million dollar settlement that Uber made with the state of New Jersey one state in addition to the openly revealed settlements there’s also significant legal expenses there exists’s other penalties there’s other costs behind that as well so the total cost can be extremely considerable in the tens of millions of dollars or more and and those amounts are growing uh the reason companies are getting it so wrong is really simply the rules are complicated and they’re changing all the time believe ir-35 in the UK which has been an ongoing advancement for a number of years now and and still a lot of uncertainty amongst business on what it actually means and how you deal with it most companies are just not knowledgeable about the guidelines and and act as if the the rules are the same everywhere which they’re not so so motivate you to to be extremely proactive as you’re engaging uh workers from a category point of view fine thank you Stephen and returning to yourself Ray it’s not only the business that suffers in the long run what effects can this have on the worker Papaya Global Manager International Postcode especially when it comes to their own tax liabilities social security and advantages for example jury and clearly the workers the other side of the coin
How much revenue does the company make? Papaya Global Team
Over the last 5 or 6 years …Papaya Global Team… functions on the service provider side and also on the supplier side from a payroll point of view so actually anticipating this discussion today um and yeah thank you very much for your time everyone alright thanks Johnny uh we’ll simply give everybody another couple of uh well one of the 30 seconds or two to join we all work back to back these days so we’ll sort of let them do that so it ‘d be quite interesting and I can see it going on already just to hear where everybody is um it’s nice to to sort of like see where everyone comes from and I actually do hope it’s much sunnier than it is in the UK today definitely not the peak of the sunshine is it it’s not no it’s it’s drizzling here it’s very really dreary and I wish I was somewhere else at this moment in time fine so let’s get started our program for today is as follows um we are going to be looking at the obstacle years of managing International payroll why business keep separate
savings account payroll virtual wallets versus payroll checking account payroll payroll uh sorry papaya payroll payments forecasting payroll expenses utilizing virtual payroll accounts streamlining papaya Worldwide payroll payments as a tactical possession uh we’ll likewise review a wrap-up and that needs to leave his time at the very extremely end for a q a session so as the title of the webinar suggests payroll officers on relocating to Virtual payroll accounts and here is why as dispersed to remote and International labor forces end up being more and more typical and handling them ends up being more and more complicated Worldwide companies are looking to find Solutions and brand-new methods to enhance procedures especially from a payroll and cross-border payment viewpoint many organizations maintain different savings account just for payroll while some have several accounts in different nations does it make sense for companies to maintain separate bank accounts in some cases in various countries it does but just for payroll is there a better method what function do virtual accounts and digital wallets also called virtual wallets play in assisting international companies improve the episode complex processes of
making payroll payments precisely effectively securely and on time throughout this webinar we’ll stroll you through the global pros and cons of a payroll wallet versus a payroll bank account how business properly forecast their payroll costs to increase working capital and how streamlining Worldwide payroll payments can turn them from a siled pane into a strategic possession so payroll can be difficult in sufficient in one nation however when you’re doing it globally it’s next level and Beyond it ends up being complicated for a range of reasons most notably policies compliance information security and banking rules then there are the large numbers they add further complexity the international Workforce is presently three and a half billion individuals by 2030 it’s estimated that in Africa alone they will contribute and further 1.1 billion individuals that number is currently 500 million just for for a scale then consider that there are some 230 million organizations and growing all doing their own thing around the world in the traditional payroll model there’s frequently an overwhelming number of different systems resulting in lengthy manual procedures and silos the number of Combinations could be non-existent in large amounts and or really really fundamental there’s no genuine consistency structure we’re living in a period of tech however payroll has actually been sluggish to get on board in fact as much as 25 of payroll is still done by hand typically with pen and paper and that simply blows my mind every time I I think
about it to provide you an idea of how far there still is to come according to Deloitte just 11 of businesses state they have Labor force data in real time that’s another number that provides me sleepless nights and rather honestly the more a company spends on global payroll the less of an image they see a lack of visibility likewise encompasses payroll payments and inability to properly track these payments can result in compliance mishaps in the last mile of the deal nearly half of worldwide companies have expressed that they don’t have the level of standardization they require in their processes or desire and as a result eighty percent of errors are because of time reporting poor HCM information information entry mistakes improperly interacted hires and terminations along with lack management and system setups and after that when you round it all off and the data is delivered to the wrong location the average expense of a global information breach at this moment is 3.9 billion dollars when payrolls are done we still need to move the money worldwide payroll and payments do not run smoothly if they depend on the necessary numerous processes systems and partners it is simply not possible so Johnny from a payments point of view and in your experience what else requires to be factored into the difficulties service face when they’re making payments to employees or otherwise that’s a good concern I always throw this back and state what is it what does not require to be included ideal and what does
it require to be thought about there’s differing Bank details so the length of an eye band a swift an account number routing code per country there’s payment amount of time there’s payment abilities so can you pay it from International or do you have to pay from an in-country account do you need to pay from the client’s own in-country account so there’s complexity any place you look right eventually building a knowledge base is absolutely important but all over you look with payroll payment they are like very payments no if however some babies about it you are all superheroes processing payments for payroll if you look at the sort of link between fintech and payroll it’s closer than ever I think there’s now a bit more recognition that payroll payments are definitely basic and technology is permitting us to kind of progress with that it also as well to add to that payroll and financing require to work closer together um with varying Savings account Details differing banking requirements and setup processes is definitely vital that payroll and finance groups work closer together than ever um I’m always surprised when individuals say I’ve divided payroll and payment um if you stroll down the street and asked anyone what is payroll who does not work in the payroll profession would they split the payroll payment from estimation I would say no so why do we as a market accept that why our payroll and payments so frequently split and cut up um eventually it’s payroll is an end-to-end procedure it’s the point of information collection all the way through to paying people anywhere they are however likewise paying statutory authorities and on statutory 3rd parties so with the
The contemporary world positions a high value on wellness and the compensation landscape is ending up being progressively detailed. Businesses are constantly presenting brand-new advantages and payment options, which adds to the general complexity. Large corporations often divide their payroll and payment processing into different teams, which can cause inadequacies and traffic jams. In my viewpoint, this does not have to be the case. In today’s technologically innovative age, there’s no reason for maintaining troublesome procedures. Payroll, the company’s most significant expense, should be processed properly and on time. Even minor hold-ups can negatively affect employees’ well-being and have significant repercussions. Therefore, it’s vital to prioritize precise and timely payments.
payroll group get um so I’m unsure anyone on this sort of webinar has been informed thank you for processing my payroll correctly if you have it ‘d be fantastic to hear your success story and whether that’s been from all workers or not um however ultimately payroll is such an important cycle we all find out about it when it goes wrong everybody jumps up and down when it goes wrong however when it goes right it’s simply a tick box exercise and I think that’s how it’s seen from the external view as well um so yeah it’s likewise like why WI-Fi Global why all of this things is definitely crucial that all of this things is done properly so leveraging the very first Global Payments first payroll payment option is a fantastic initial step um offering an end-to-end payroll service for your staff members globally again I think is another huge um process once again lining up and ensuring you have standardization International processes all of those things are absolutely key to success success of companies and lowering the variety of tools platforms and checking account they need for their Global payroll too couldn’t agree with you more and on the the front in terms of of the thank yous for getting payroll done I’ve never had a hundred thousand of them within a payroll cycle don’t expect to you do get the odd five or ten or whatever it might be with the with the the complaints where things have not gone quite where they’re suggested to be um I do not believe any of us are really doing that for for the thanks
anyway we understand how how important a role it is and that’s why we do it that’s why we get on with it and this is why we’re talking today about making it as simple as possible for everyone that’s involved in those processes and likewise so picture sorry I’m just I was just gon na state imagine the quantity of thanks you got if you might cover the quantity of people that we cover within this webinar I make sure we’re talking about hundreds of thousands potentially Millions envision getting that many thank you notes um I indicate it ‘d be interesting to see how many Post-it notes you got but it would certainly be an interesting task trying to clean up all those up for sure oh absolutely I can’t think of the size of my my Outlook inbox if that held true um you ‘d require days of the week to attempt to check out them and in fact see what was going on and type of shot to get back to everybody so moving on look why do business choose to main different savings account there are Papaya Global Team organizations out there doing exactly this for specific nations and I have actually worked in an organization or many businesses doing precisely that I can state it doesn’t always feel effective and it does develop more work I know we’re not purposely doing that we’re not producing extra work for any person where we don’t have to and any person that’s managing that process I ‘d be interested to hear your thoughts Johnny why do you think that we’re doing that in in the in the quantity that we are I think lots of reasons one is it’s the requirement I believe people have got so used to we need a brand-new checking account we open an entity and appropriately so you require it for payroll functions but there are a number of markets where it’s not a requirement so I believe it’s just been the requirement and the standard individuals have embraced and continue to do over years and years gone past to contribute to that people have looked at things like trust accounts and lots of other methods um to to sort of do it so I think there’s a range I think this is a procedure that needs taking a look at it needs altering however ultimately individuals are extremely stuck with what they recognize
with ideal um modification is a hard thing all of us don’t like modification um so I think it’s just kind of moving far from the norm as we have actually said so yeah so it keeps a lot of track of things um I comprehend clearly the advantages of having maintaining multiple bank accounts however there’s a huge amount of complexity goes with establishing a bank account maintaining it guaranteeing it can send International transfers guaranteeing it’s set up with the right user accesses for private individuals so the intricacy is substantial but I think the sincere answer is change um people have not been able to alter or have not had necessarily the knowledge to really make that change into alternate Solutions other than opening a checking account I think you have actually hit the nail on the head I believe it is understanding you know and there is a component of resistance to alter however we’ve constantly done it that way is no genuine reason for not looking at the the advantages and the possibilities of moving on and moving into you understand what could practically be identified to be the next Century approximately there is a lot to keep an eye on and this technique does present numerous challenges um so Johnny could you tell us about those challenges yeah naturally so there’s a range right there is so
I just did you changed our Enterprise to OS so now we can do our payroll and payments operation on a single platform yes it resembles our CFO got a CFO for their CFO and now that I bulletproof payments to our 10 000 International staff members you deserve a corner office with a closer parking space because I mastered Worldwide payroll and payments with Papaya payroll OS did you Papaya Global Team
I discover time and time again the workers typically misclassified unconsciously they don’t comprehend the conditions of work or agreement and are informed by the client why it’s optimum primarily to the customer why you should be employed or engaged in this fashion the employee may owe taxes and Social Security to the authorities the future pension and health care opportunities of the employee can be affected and a number of times it can be years before this all falls out and by that time it’s far too late years have actually passed they haven’t added to pensions Etc so it’s a big effect that they never knew they were strolling into you couldn’t agree with you more if you say the UK for example hmrc can return as much as 10 years um Kathy business are securing insurance coverage against misclassification however usually premiums are just covering the expense of legal charges whilst the typical claim examined against employers relates to to 40 or half of the base pay of employee exists any point in securing insurance and what is the alternative yeah to your point um you do need to read the small print it is not covering the taxes penalty and interest most of the times I haven’t seen it at least so uh the the other location that I do believe if you managed to get the protection what we are saying is is that if your compliance program is not up to stuff you could be denied coverage on the basis of the reality that you were not in compliance with laws um in the UK