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PAE
AI and automation set to make a
mark on payroll: but experts need
to differentiate between the two
AI and automation will help to transform payroll technology in the
future, but experts need to be able to differentiate between the two
tools. That’s according to leading payroll specialist, CloudPay.
n a recent survey, CloudPay found that too often we hear of AI-driven solutions that
I43% of respondents said AI and automation are, in reality, automated tools, rather than
payroll technology excites them the most, artificial intelligence.
ahead of real-time payroll processing “I believe there’s real potential for AI to have
(32%), cloud-based pay systems (14%) and a significant impact on payroll as we know it
advanced analytics (10%).
in the future, but it’s still in its infancy, which is
CloudPay’s recent Payroll Efficiency Index where this confusion can stem from. For now,
(PEI) report found that emerging technology organisations need to ensure that they are
is having a positive impact on the sector and investing in data quality and control to set the
contributing to a reduction in error-making, best foundations to benefit from these tech-
as well as more issues being picked up at enhanced tools longer term.”
validation and checking stages. However, “What I would add, though, is that humans
CloudPay has warned that too often, AI and are still, and will continue to be, the critical
automation are confused as the same tool,
when in reality they are two separate entities. element in the pay process and in payroll as
a whole for the foreseeable future. Payroll
John Pearce, Chief Customer Officer at is built on accuracy and while the emerging
CloudPay, commented on the findings. technology is exciting, it’s far too early to hand
it any significant responsibility. Each business
“It’s no secret that AI and automation has the will be different and will have to identify the
potential to be a gamechanger for payroll; ways that they can leverage their technology
it’s already making its mark, but the role to its full extent. They must also weigh up
that these forms of emerging technology some of the existing ethical challenges, but
will play will only expand in the coming on the whole, the future is exceptionally bright
years. Therefore, it’s not a surprise to see for payroll, and that’s partly down to the rise of
respondents list this as the most exciting new forms of technology.”
trend. However, there’s still some confusion
around the difference between the two. Far
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