30 JanEnsuring accurate payroll records: a reminder for the new year
As we embark on a new year, ELAA would like to highlight the importance of maintaining accurate payroll records. Ensuring accuracy in record-keeping not only promotes transparency but also guarantees compliance with essential regulations. Below are some key considerations for effective record management.
Updating Employee Details
When any changes occur in an employee’s status, such as alterations in working hours or adjustments in pay rates due to incrementing to the next pay point, it is imperative to promptly update this information in the payroll system. By doing so it also ensures that leave accruals align with any modifications. This proactive approach aids in maintaining a reliable and up-to-date reflection of leave entitlements.
Organisations must have a system that alerts them of employees’ increment dates under the VECTEA or relevant award or enterprise agreement. It is crucial to track these dates and promptly update the payroll system to reflect any changes in pay rates resulting from such increments. This proactive approach ensures that employees are compensated accurately in line with their years of service, fostering a fair and compliant payroll system.
Record of Leave Accruals
A fundamental requirement in payroll management is maintaining a record of an employee’s accrued leave. This encompasses both annual/additional leave and long-service leave. A comprehensive log of leave balances not only serves as a safeguard for both employers and employees but also contributes to effective workforce planning. Timely access to accurate leave accrual data enables organisations to make informed decisions and ensures that employees are duly compensated for their entitled time off.
