New set of benefits.
New compensation management system to understand.
Whether you are a teenager earning a first check from a fast food restaurant or an adult starting a new career after 30 years of previous work, everyone looks forward to payday. And while it may have seemed confusing to calculate the number of hours worked and predict those first high school paychecks, the task does not necessarily get any easier as you age. From those first days of realizing you had to clock out for breaks and understanding that a portion of your checks would go to taxes, every wage earner begins to realize that there is a little bit of guesswork that goes into understanding the exact amount of any upcoming paycheck.
Although many companies email an early statement that indicates the amount of an upcoming paycheck, understanding withholdings, benefits, and other pay day documentation remains complicated. Making sure that your vacation days are correctly granted and that extra pay, bonuses, and other adjustments are made correctly takes both time and patience. Employers that use the most advanced compensation management systems, however, can provide an easily accessible snapshot of all paychecks, benefits and withholdings. Even the smallest of mistake, multiplied by hundreds of employees can create a real problem for a company of any size. For this reason, an increasing number of employers rely on HR technology to provide compensation management solutions.
Consider some of these facts and figures about the increased use of compensation management systems and the impact that they have on not only individual companies and workers, but the nation’s economy as well:
- 40% of millennials select an employer based on their health and wellness benefits, according to Deloitte research.
- 47% of companies have HR software that is over seven years old, a fact that could be problematic as new tax codes and insurance policies change so rapidly.
- Companies that switch to newly upgraded HR systems see cost savings as high as 22% per employee.
- 54% HR professionals who want to replace their HR software in the next year indicate that it is because they need better functionality and capabilities.
- An estimated 2.95 million applications for employment insurance were processed by Employment and Social Development Canada between 2016 and 2017.
Everyone loves a pay day. Making sure that pay day statements are accurate and reflect everything that an employee needs to know, however, is an additional benefit to both employer and employee.