Companies with payroll disbursements in more than one country face many risks like salary payments being on time, secure and compliant. There is a solution – Payroll Treasury Services.
What is a payroll treasury service?
How www.dictionary.com describes ‘treasury’, really sums it up: “treasury[trezh-uh-ree] noun, plural treasuries. A place where the funds of the government, of a corporation, or the like are deposited, kept and disbursed.”
A Payroll Treasury Service allows a company to make a single currency payment into a treasury account, normally in a ‘foreign’ country/ies. Their elected payroll provider is then responsible for disbursing the net employee salaries from the treasury account. In some instances where country laws permit, these payments can include statutory and third-party payments. The disbursement can include multiple currencies, multiple country payments.
What are the advantages of the service?
Over the years, OPS have found that Clients have benefited from the Payroll Treasury Service in many areas, including:
1. Time efficiency
Outsourced services like treasury payments are about freeing up the Client’s time. This enables them to spend time on other value-added activities.
2. Cost cuts
Due to the volume of transactions and amount of payroll payments that OPS make, we have been able to negotiate better than market rates for exchange rates and transaction fees. These benefits are passed on in full to our customers and/or their employees.
3. Error reduction
OPS’ automated processes are well established, meaning there is less likelihood of error.
4. Audit trail
Payroll Treasury Services are available for audit. A record of all transactions is maintained as they occur, meaning a statement of account on the Client’s account, including treasury transactions, is available at any time. An added advantage of the audit trail is Anti Money Laundering compliance.
5. Part of comprehensive service
The Payroll Treasury Service is part of an end-to-end service that OPS offer from the time of joining to termination, incorporating all payroll processing and payments and the maintenance of HR records.
6. Payroll specialists
Knowledgeable, experienced staff processing salaries e.g. if a salary does not reach an employee’s bank account, OPS establishes the reason for the non-delivery and corrects; staff paid on time; planning a Client-centric calendar; working around multiple time zones and public holidays etc.
With the total payroll payment being made in a single fund transfer, there is less likelihood of employees viewing other staff remuneration packages across the company unless authorised by the company to do so.
Outsourced Payroll Solutions (OPS) were established in January 2008, and work in partnership with our Clients to develop, implement and manage an end-to-end, cloud-based payroll management solution across the Middle East. If you want to know more about our Payroll Treasury Services, please contact us.