Businesses struggling to adapt to payroll changes as Employment Rights Bill amendments take effect

Businesses struggling to adapt to payroll changes as
Employment Rights Bill amendments take effect

The recent changes to statutory pay under the Employment Rights Bill reforms are among a host of new legislative shifts that payroll teams will have to adapt to over the coming months and years. But new analysis from CloudPay, the specialist global payroll provider, shows that businesses that fail to modernise their tech now will only face growing challenges.

While the new Statutory Neonatal Care Pay legislation and changes to Statutory Sick Pay rulings have already been rolled out, CloudPay has warned that many firms aren’t yet prepared for future legislative amendments.

According to its recent Tech-Talent-Equilibrium Report, more than 40% of businesses are facing significant challenges with their payroll technology. Despite widespread recognition of its potential and benefits, which include the ability to more easily amend processes and payments, many businesses either have insufficient payroll technology in place, or are struggling to maximise its capabilities.

As John Pearce, Chief Customer Officer, at CloudPay explained, it’s crucial that payroll tech investment is prioritised before more changes are rolled out:

“The latest legislative changes in the UK may now be in force, but there’s still much more to come, and the administrative burden that payroll teams face when such amendments are announced shouldn’t be underestimated. Technology – delivered alongside the right balance of high-performing payroll people – can streamline a large proportion of this burden, but unfortunately many businesses are still struggling to find this equilibrium.

“It’s now more crucial than ever that payroll functions innovate, rather than wait. Taking a reactive approach to changes that are happening across the globe is simply unsustainable and puts professionals on the back foot. Having the right balance between people and technology in payroll will provide the foundations to be agile.

“Payroll needs to be nimble, adaptable and so much more in the current market. While we are seeing some innovation, there are also far too many businesses that are yet to properly invest resources and funds into the appropriate payroll technology. The return on investment on best-in-class payroll technology is significant, both financially and in terms of employee experience, which is why immediate action is needed now, to mitigate unnecessary errors and stress.”



About CloudPay:

CloudPay leads the way in global pay innovation, delivering industry-leading solutions spanning payroll, payments and on-demand pay.

With a proud heritage of 25+ years, we serve over 2,000 companies globally in 130+ countries handling $24bn+ of payments in 110+ currencies. Our unified, end-to-end pay solutions enable payroll teams to pay their global workforce with outstanding accuracy and minimal risk, more efficiently than ever before.

We use advanced technology to offer seamless API integrations, powerful automations, and AI-driven insights with real-time analytics — all designed to empower businesses with enhanced decision-making and better, faster processes.

Our unparalleled managed service is tailored to each client with dedicated personalised support and guidance, while our in-country knowledge and global regulatory expertise unlocks unparalleled expansion opportunities for businesses to grow and thrive, compliantly and efficiently.

Working with CloudPay means gaining a strategic partner that harnesses the latest technology to drive growth and optimise the payroll and pay experience.

Together, that’s High-Performance Payroll, from CloudPay.