84% see tech as a payroll talent solution — but what else is needed?

Jan 30, 2025
7 min read

Key takeaways

Frame 1438Over 50% of payroll, finance and HR leaders value technology over personnel
Frame 1569They risk overlooking human skills in compliance, validation and employee relations
Frame 1438 1The best way forward is to apply human expertise in combination with advanced payroll technology
Cloudpay BLOG Payroll tech talent people solution banner

84% see tech as a payroll talent solution — but what else is needed?

Cloudpay BLOG Payroll tech talent people solution banner
Jan 30, 2025
7 min read

Key takeaways

Frame 1438Over 50% of payroll, finance and HR leaders value technology over personnel
Frame 1569Technology enhances payroll, but people ensure its effectiveness
Frame 1438 1The best way forward is to apply human expertise in combination with advanced payroll technology

Did you know that 53% of payroll, finance and HR professionals value technology over personnel? And that 84% feel that leveraging technology such as automation can help them solve the talent shortage in their payroll processes? These are just two striking findings from our recent report into the tech/talent equilibrium within payroll.

Even as leaders in global payroll technology, we at CloudPay have always felt that tech and talent are complementary, which is why our Global Payroll Engine is combined with our in-house expertise. Nevertheless, many organizations struggle to find the right balance between technology and human skillsets (often due to attraction and retention struggles) within their approach to payroll. 

Here, we’ll explore the areas where top talent delivers the most value, and how a balanced approach to tech vs talent investment can be developed for long-term success.

The allure of the tech-only approach

It’s easy to understand why so many organizations have been keen to invest heavily in payroll technology — there are plenty of solutions out there in the marketplace, and the cost and tech skill barriers to access can be relatively low.

Using CloudPay’s global payroll platform as an example, our advanced automations, use of artificial intelligence for predictive analytics, and APIs for market-leading data integrations are transforming payroll efficiency. This helps make end-to-end data processing more effective, improves outcomes for payroll teams and employee experience alike, and supports wider HR technology integration and stronger real-time transparency.

Some 63% of the respondents to our report consider payroll technology to be very important, and there are a number of reasons why:

  • Supporting payroll timeliness: 47% said that technology has an extreme influence on payroll timeliness, thanks to its ability to keep payroll processes operating 24/7 through advancements in automation, system integration, and robotics.

  • Easier compliance: 46% of respondents say that technology has an extreme impact on streamlining compliance, through real-time identification and response to potential issues, and automation of key compliance procedures. Given how complex compliance can be, removing the risk of delay or human error from year-end taxes, preparing and filing forms, and other associated admin can be a real benefit.

  • Addressing talent shortages: some 77% of respondents at very large organizations say they’re feeling the effects of the payroll talent shortage. This is leading some organizations to turn to technology to compensate for their inability to attract, recruit and retain the human payroll skillsets they need. Much of the shortage is down to payroll still being used as a stepping stone into accounting or human resources careers, and a lack of awareness around the value and potential of a payroll career.


Where technology excels — and where it needs support in payroll processes

The common thread that combines all of the benefits above is process automation. This explains why in our report, it gained the highest satisfaction rate of all areas of payroll technology (81% of respondents saying they are satisfied or very satisfied).

However, this doesn’t mean technology is a catch-all solution to all payroll challenges and complexities. Our report also uncovered a number of limitations in relying solely on payroll tech, and it’s no coincidence that they are in the areas where human expertise can make the biggest difference:

  • Integration: only 24% of respondents are very satisfied with how their payroll technology integrates with other systems such as HCM software.

  • Reporting: just 28% of respondents said they were very satisfied that they have sufficient data reporting capabilities in place, with many citing that they needed human experience to ensure the right data points are being analyzed and reported on.

Anecdotally, we’ve also found that organizations that rely too much on technology can end up feeling disempowered and spending more than they should on outsourcing support to fill the gaps. This further underlines the need to apply human and technological capabilities in the right areas.

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Tech-talent equilibrium in Payroll

Learn more about why payroll excellence requires the best of both tech and talent by downloading our full report today.

Follow the link below to download your free copy.

The shifting role of human expertise

So where can human skills be applied in practice to the best, most value-adding effect? The answer to this question has gradually evolved in recent years as technology has come to the fore, but skilled payroll staff still have much to contribute in six key areas:

1. Keeping things up to date

With the payroll landscape and regulations changing all the time, it’s payroll professionals who can help organizations keep pace with their requirements, take advantage of new opportunities, and make sure that payroll systems are properly adapted as required.

2. Stepping in when technology fails

No technology is 100% reliable, and so every organization needs to have some contingency plans in place when things go wrong. In payroll, it’s human expertise that can pick up the pieces, assume greater responsibility and put temporary measures in place to minimize disruption.

3. Providing the human touch

Many employees still prefer to speak to people when they have issues that need resolving, or just need some friendly advice. This is where humans have a natural edge over technology in building employee satisfaction and trust within payroll processes.

4. Analyzing data and taking action

Modern technologies like automation and AI can process huge volumes of payroll data and employee data. And while those solutions can suggest ideal actions, it’s up to people to interpret results and make strategic decisions based on those insights.

5. Enabling business growth

Having an empowered, creative payroll team in place is instrumental for driving new ideas and payroll operations innovations, whether that’s improving efficiency, or adopting new technologies or payroll software.

6. Delivering strategic advice on payroll processes.

With so many changes in payroll and the wider business world, payroll management leaders can lend the benefit of their experience to advise on the best way forwards, such as upgrading solutions or dealing with expansion into new territories.

Finding the right balance with the CloudPay approach

What the above use cases for payroll staff demonstrate is that there is absolutely still a role for them in leveraging technology in the right way. Developing tech-centric skills, alongside their experience and knowledge in compliance, employee relations and data validation, can help ensure that the value of automation is maximized across payroll processes and payroll services.

Repositioning human payroll endeavors in this way is something we at CloudPay feel very strongly about. Our integrated, managed service approach that blends multi-country payroll expertise, insights, and High-Performance Payroll Solutions ensures that organizations like yours have all the building blocks in place to get the best of people and the best of technology.

Get in touch with us to discuss your specific payroll circumstances with our high-performance payroll people.

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