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Survey Says: Payroll is the #1 Area of Improvement

Monday January 15th, 2024

Estimated time to read: 2 minutes, 15 seconds


According to isolved’s third-annual HR Trends report, based on findings from a survey of 1,100 full-time employees, payroll is the number one HR activity in need of improvement. With 55 percent of employees living paycheck to paycheck, nothing is more detrimental to the employee experience (EX) than uncertainty surrounding compensation.

EX is not only affected by payroll, but every aspect of the employee lifecycle—from talent and learning management to benefits enrollment and scheduling. To remain competitive in the hunt for talent, it’s essential that your clients consider each one, especially considering our research found that nearly half of employees rate their company’s EX as “poor” or “average”.

But where should they focus their efforts? Here, we examine the top three areas for improvement in HR based on results from our HR Trends survey including payroll, and how you as a trusted business partner can help support your clients.

#3: Talent management

Talent management covers the job application process, onboarding and all tasks related to starting a new job. It is integral to creating a positive and fulfilling EX as it’s the first impression that an employee has of their employer.

According to our survey, it’s the third HR activity in most need of improvement. This comes as no surprise considering other stats our survey revealed: 53 percent of employees would rather take out the garbage than fill out a job application. And 24 percent would rather go to the dentist. Your clients are wise to invest in technology like isolved People Cloud that not only streamlines talent management but also connects other essential HR processes like payroll and benefits administration.

#2: Employee engagement

Employee engagement is crucial for the overall success and well-being of an organization. High engagement levels are associated with increased productivity, higher retention rates, improved job satisfaction, enhanced innovation, and even better customer service.

Your clients may have some work to do since 27 percent of employees say they’re less engaged than they were a year ago. Companies that focus on creating an engaging work environment are likely to reap the benefits of a motivated, committed and high-performing workforce. What would engage employees? According to our research, opportunities for skill development, more collaboration and better communication top the list.

#1: Payroll

According to our survey, payroll was by far the top response, which punctuates the importance of focusing on basic HR processes. Despite being a fundamental HR function, payroll is often overlooked and taken for granted.

Timely and accurate payroll is not only required by law, but it’s also a key driver of employee engagement. In fact, 55 percent of employees would look for a new job after experiencing a payroll mistake. With so much on the line, there’s no room for error. Your clients need a solution like isolved People Cloud that lets them preview and process payroll in a few clicks while reducing the burden of keeping up with employment tax rates.

Supporting Your Clients

Brokers with a deep understanding of their clients’ workforce challenges and the human capital management (HCM) solutions that address them have an advantage because they can take on a more consultative role with their clients. You can deepen ties by partnering with and recommending a solution that is superior in addressing these gaps.

isolved is regularly recognized by independent firms evaluating HCM vendors. Here are a few of our most recent accolades:

  • isolved was recognized as a Leader and second overall in NelsonHall’s Vendor Evaluation & Assessment Tool (NEAT) evaluation of payroll providers.
  • ISG named isolved a Leader in the Managed Payroll Services: U.S. Small Market category.
  • In Sapient Insights’ Annual HR Systems Survey, isolved took the tops spots in the small business categories for HR Management Systems, Payroll, Time and Onboarding.
  • isolved received 33 Leader badges in G2’s Winter 2024 report including small-business Core HR, Payroll and Workforce Management

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To learn more about how you can support your existing clients while growing your book of business, contact your benefit services sales executive or visit us at

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