Payroll is evolving faster than many of us could have anticipated. At the 2024 Cintra Conference, Tom Nokes (Head of Sales at Cintra) was joined by leading experts in the fields of HR, payroll and legislation. They discussed the changing landscape of payroll, shedding light on 3 emerging payroll trends in 2025.
In this discussion, the panel (Laurell Hector, Managing Director at McManus HRD; Anita Lettink, Partner and Founder at HRTechRadar; Mathew Akrigg, Policy and research officer at CIPP and Jess McEvoy, Head of Product at Cintra) explore evolving employee expectations, flexible and remote working, and pay transparency.
If you want to know about some of the main challenges and opportunities payrollers will face in 2025, you’ve come to the right place.
3 emerging payroll trends in 2025
Evolving employee expectations
By staying adaptable and open to change, you can create an environment that meets the needs of your employees.
Here are some of the main expectations they have when it comes to payroll trends for 2025:
Reliability and accuracy
One of the foundational expectations of your employees remains the same: reliability and accuracy in payroll. Your employees expect to be paid correctly and on time without any administrative hiccups.
Online access and ease of use
Your employees expect easy online access to their payroll and HR information. They desire systems that are intuitive and easy to use. Any friction in these processes can lead to frustration and disengagement.
Employee engagement and co-creation
Gone are the days of command-and-control leadership. Your employees want to be actively engaged in their work environment. They want to have their voices heard and contribute to decision-making processes. One of the simplest ways to do this is implementing workshops and forums where your employees can express their needs and co-create solutions is vital—this not only enhances engagement, but also builds loyalty and improves retention.
Flexibility in work arrangements
Flexible working arrangements are becoming a day-one expectation. Changes in legislation, like those proposed in the Labour manifesto, aim to make flexible working a standard practice. This shift is crucial, especially for employees with specific needs, such as childcare. But more on flexible and remote working later.
Immediate wage access
While immediate wage access hasn’t yet become universal, it represents a significant shift in employee expectations. There is a growing interest in on-demand pay, though this feature comes with considerable administrative costs and challenges. By providing these benefits you may gain a competitive edge.
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Flexible and remote working
Flexible and remote working has become a defining feature of the modern workplace. This shift, accelerated by the COVID-19 pandemic, has brought about challenges and opportunities for both you and your employees.
Let’s take a closer look:
The challenges of remote working
Maintaining productivity and accountability
Some managers believe that physical presence in the office leads to increased productivity. This is a myth—you can sit at a desk all day and achieve nothing. Productivity is about meeting standards and delivering results, not about where you work.
Here are some recommendations for you to consider:
- Set clear goals: define what success looks like for each task or project.
- Regular check-ins: schedule brief, daily or weekly check-ins to keep everyone on track.
- Use productivity tools: implement tools like Trello, Slack, or Asana to monitor progress and stay organised.
Limited learning opportunities
In an office, learning and development often happens through spontaneous interactions and observations. Remote work can limit these opportunities.
Try these suggestions to make sure your remote employees aren’t missing out:
- Introduce structured learning programs: provide access to webinars, online courses, and virtual workshops.
- Mentorship: pair your employees with senior members of your teams for regular catch-ups and idea sharing sessions.
- Encourage knowledge sharing: use platforms like SharePoint or Google Drive to share resources and insights.
Building personal relationships
Remote work can make it difficult to build personal relationships. Non-verbal cues like body language and tone are harder to convey through screens, making it harder to form strong, trust-based relationships.
Why not try:
- Virtual coffee breaks: schedule informal video calls to chat about non-work topics.
- Team building activities: organise online games or challenges to build rapport.
- Being more transparent: encourage open communication within your team and be open to employee feedback/constructive criticism.
The opportunities of remote working
You have access to a global talent pool
Remote work removes geographical barriers, allowing you to tap into a global talent pool. This can significantly enhance the quality and diversity of your workforce.
Increased employee satisfaction and retention
Giving your employees the flexibility to work from home can lead to higher job satisfaction. It sounds simple but it’s true. When your employees are happy, they’re more likely to stay with your company.
Cost savings
Remote work can be a cost-saving solution for both you and your employees:
- You can save on office space, utilities, and other overhead costs.
- Your employees can save on commuting, work clothes, and meals.
Increased employee autonomy
Remote work empowers your employees to manage their schedules and work environments. This autonomy can lead to increased productivity and a more balanced work-life situation.
Pay transparency
Pay transparency is a topic gaining traction globally, even in the UK, where discussing money can be a bit awkward.
Let’s look at some of the reasons why pay transparency is gaining momentum in workplaces worldwide:
Legislation and compliance
Countries are introducing laws mandating pay transparency. Regulations like the UK’s Gender Pay Gap Reporting and the EU’s Pay Transparency Directive are pushing organisations to disclose salary information, ensuring compliance and reducing legal risks.
Competitive edge
By adopting pay transparency, you can attract top talent. Job seekers increasingly value transparency, and by sharing salary information, your organisation can gain a competitive edge. Clear salary structures will also help you retain employees, reducing turnover costs.
Organisational maturity
Transparent pay practices show that you’re a mature and stable company. They demonstrate your commitment to fairness and accountability, which can enhance your reputation. Investors, stakeholders and potential clients are more likely to support/partner with organisations with clear, ethical practices.
Do you want to know more about payroll trends in 2025?
If you want to learn more about how the payroll landscape is changing and how to keep up with payroll trends, watch the full panel discussion.
Payroll Legislation Guide
The facts, figures, thresholds and allowances for 2024/25 spanning tax, National Insurance, pensions, statutory payments and more.
