Global Payroll is not just about Technology: Just ask an SME

laptopbreakFor the global HR professional at a large organization, yes, when it comes to global payroll, identifying the right technology is at the top of the list, along with compliance, consistency and global analytics.

Now, let’s ask an SME the same question. When it comes to global payroll, what’s most important to you?

I’ve got a few problems at the moment, and none of them have anything to do with technology.

First of all, we don’t even have a full time HR manager to manage our small but growing global staff. Like many high-growth organizations, we are all wearing many hats and don’t have a dedicated resource to help with this overwhelming task of finding and hiring workers around the world.  

I have a handful of global workers but I had to engage them as Independent Contractors and to be honest, I’m not 100% sure they are completely compliant, especially in a few specific countries where I don’t feel confident that I have been exposed to all of the local  requirements. I know that some countries have strict rules about termination, for example, a frightening thought, should I need to terminate a worker and find that either we can’t terminate (because we didn’t follow proper protocol) or we have to pay severance fees which, of course, were never in our budget.

On top of that, I have just identified a few more candidates in Asia and Europe and I’m reluctant to engage them as Independent Contractors, just in case it exposes us to local HR risks. I need to know that my existing workers are compliant before I go off and start engaging more. 

There is one country where we will need dozens of workers so we are seriously considering establishing a local entity but this is not easy to do without having a person on the ground, who speaks the language and understands the legal requirements in-country. I’m considering hiring an Independent Contractor just to help us set up our entity. I hope that wouldn’t be breaking any rules!

I’ve heard there are VMS solutions out there that I may be able to use to help me with recruitment, so I guess technology could be helpful from that perspective but I don’t have time to implement something like that just yet, not until I get some of these key positions up and running. My hiring managers are getting impatient. Getting these workers on boarded is my top priority.

Our global growth strategy is very clear. Engaging global workers to sell and manage our services abroad is a fundamental part of that strategy and we are committed to it. I look forward to the day when we have those workers on boarded and fully compliant in all of the countries we are investing in.

Once I can check that off my to do list, I will start thinking about technology to help me implement employee engagement strategies and global payroll analytics. Right now, I just need to find the right talent and get them onboarded.

That’s why global payroll is not just about technology.

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