[UK] Poor Payroll experiences lead one in five Brits to quit

New research suggests one-fifth of British workers have changed their job after late or inaccurate pay, Yahoo Finance reports.

Zellis surveyed 2,000 British workers about their experiences. One in five said they changed jobs because they were paid late or inaccurately by their employer. On a national scale, this equates to nearly 7 million employees.

Mistakes are reportedly being identified on payslips by around 60 per cent of employees.

In addition, two in five (39 per cent) employees surveyed have been paid late at least once, causing nearly half (47 per cent) to undergo increased levels of stress and worry. Two in five faced financial risks.

As a result of such errors, half (48 per cent) of these British workers believe their employer does not value their well-being.

This perception is bad news for British business as well as its workers while the nation is living through a productivity crisis. A quarter of employees who were paid late say they were less engaged at work as a result.

Those surveyed emphasised the direct impact of late payment on financial wellbeing. Nearly two in five (37 per cent) said they have missed direct debit payments. A little under a third (31 per cent) have gone into their overdraft. A quarter incurred bank charges (26 per cent) or suffered damage to their credit rating (24 per cent).

As the trend continues to move towards employee self-service, the question of who takes responsibility for payroll accuracy “lacks a firm answer”, the workers said. 47 per cent believe it is the shared responsibility of the employer and the employee. Only 3 per cent more than the 44 per cent who believe it is the sole responsibility of the employer.

Yet only 24 per cent of workers surveyed said they check their payslip every month and thus might not always be conscious of the mistakes that are made.

Helen Hargreaves - associate director of policy at the Chartered Institute of Payroll Professionals (CIPP) - believes it is a shared responsibility, “Employees play a significant role in providing the payroll department with accurate and timely information. Without it, the payroll department can’t fulfil its core objectives,” she said.

“But payroll processing is becoming increasingly complex, with additional duties introduced every year. It’s crucial that payroll practitioners keep themselves up to date with all the changes to legislation.

“The increased chance of breaching employment legislation and, consequently, of facing severe penalties and reputation damage, is another significant risk of running an inefficient payroll system,” Ms Hargreaves added.

According to data from the Department for Business, Energy and Industrial Strategy (BEIS), UK employers paid nearly £30 million in penalties and arrears last year as a result of non-compliance with national minimum wage requirements.

New research suggests one-fifth of British workers have changed their job after late or inaccurate pay, Yahoo Finance reports.

Zellis surveyed 2,000 British workers about their experiences. One in five said they changed jobs because they were paid late or inaccurately by their employer. On a national scale, this equates to nearly 7 million employees.

Mistakes are reportedly being identified on payslips by around 60 per cent of employees.

In addition, two in five (39 per cent) employees surveyed have been paid late at least once, causing nearly half (47 per cent) to undergo increased levels of stress and worry. Two in five faced financial risks.

As a result of such errors, half (48 per cent) of these British workers believe their employer does not value their well-being.

This perception is bad news for British business as well as its workers while the nation is living through a productivity crisis. A quarter of employees who were paid late say they were less engaged at work as a result.

Those surveyed emphasised the direct impact of late payment on financial wellbeing. Nearly two in five (37 per cent) said they have missed direct debit payments. A little under a third (31 per cent) have gone into their overdraft. A quarter incurred bank charges (26 per cent) or suffered damage to their credit rating (24 per cent).

As the trend continues to move towards employee self-service, the question of who takes responsibility for payroll accuracy “lacks a firm answer”, the workers said. 47 per cent believe it is the shared responsibility of the employer and the employee. Only 3 per cent more than the 44 per cent who believe it is the sole responsibility of the employer.

Yet only 24 per cent of workers surveyed said they check their payslip every month and thus might not always be conscious of the mistakes that are made.

Helen Hargreaves - associate director of policy at the Chartered Institute of Payroll Professionals (CIPP) - believes it is a shared responsibility, “Employees play a significant role in providing the payroll department with accurate and timely information. Without it, the payroll department can’t fulfil its core objectives,” she said.

“But payroll processing is becoming increasingly complex, with additional duties introduced every year. It’s crucial that payroll practitioners keep themselves up to date with all the changes to legislation.

“The increased chance of breaching employment legislation and, consequently, of facing severe penalties and reputation damage, is another significant risk of running an inefficient payroll system,” Ms Hargreaves added.

According to data from the Department for Business, Energy and Industrial Strategy (BEIS), UK employers paid nearly £30 million in penalties and arrears last year as a result of non-compliance with national minimum wage requirements.