Recent data from UKG highlights significant concerns among the UK’s frontline shift workers regarding payroll accuracy.
A substantial 60% of these workers believe they have been underpaid, while 44% worry they have missed out on overtime pay. These findings underscore the growing complexities and potential pitfalls in managing payroll for fast-paced shift work environments.
The survey, conducted by Censuswide in August 2024 with 1,000 UK shift workers, revealed that 38% of respondents reported receiving their pay late, and 23% claimed they had not received their pay slips at all. The research emphasises the need for better integration between shift planning and payroll systems to ensure real-time accuracy and reduce the risk of these ‘pay slip ups.’
Payroll Issues Undermine Worker Confidence
Nearly half of the surveyed workers (47%) indicated that their constantly changing shift patterns make it difficult to keep track of the hours they’ve worked, leading to uncertainty about whether their pay is accurate. Furthermore, 44% of respondents believe that overtime hours are either missed or not recorded correctly, while 36% attribute their pay discrepancies to the inaccurate capture and recording of worked hours by their employers.
These ongoing payroll issues have led to increased vigilance among workers, with 49% of respondents checking their payslips for accuracy more than once a month. Despite the frustration, many workers are hesitant to report issues directly to HR or payroll departments, possibly due to a lack of confidence in receiving a timely resolution. Instead, over half (52%) of shift workers compare their payslips with colleagues to determine if they have been paid correctly. This approach indicates a broader issue of trust and communication within organisations regarding payroll matters.
Shift Work Complexity Affects Pay Accuracy
The inherent complexity of shift work contributes to payroll inaccuracies. According to the survey, 43% of respondents find it difficult to determine if their pay is correct due to the variable nature of their working hours. Neil Pickering, Senior Manager of Human Insights at UKG, emphasised the challenges faced by the sector: “With over 3.5 million people in the UK doing shift work, the challenges of managing the complexity of their payroll are huge. Only 12% of the 1,000 frontline workers we surveyed haven’t taken any action with their payroll, so we can assume that 88% have felt the need to check or share something to do with their pay.”
Pickering noted that workers in shift-based industries often feel that they have little control over their pay accuracy, with responsibility lying predominantly with employers. He argues that payroll systems should not be part of the problem but instead be part of the solution to keeping employees engaged, happy, and productive.
The Broader Impact of Payroll Inaccuracies
Beyond the immediate frustration of payroll inaccuracies, the survey highlighted other significant impacts on worker satisfaction. While correct and timely pay remains a top priority for 63% of shift workers, other factors such as workplace culture (48%), work-life balance (43%), and respect from managers (38%) also play crucial roles in job satisfaction. This suggests that while payroll issues are critical, they are part of a broader spectrum of challenges faced by shift workers.
The financial consequences of payroll inaccuracies are also concerning. The survey revealed that 14% of respondents had to resort to payday loans to cover the shortfall caused by late or incorrect payments, further emphasising the need for reliable payroll systems.
Pickering stressed the importance of implementing the right technology to streamline and simplify the processes involved in shift work, including scheduling, shift swapping, and monitoring worked hours. “Businesses must ensure they have the technology in place to make the planning, monitoring, and execution of work more efficient, effective, and engaging for everyone,” he added.
As the UK continues to grapple with the challenges of managing shift work in industries such as manufacturing, retail, and logistics, ensuring accurate and timely payroll is essential for maintaining worker morale and productivity.
