How Payroll Works In Temp & Recruitment Agencies

November 8, 2022

Categorised in: News, Payroll

Whether you’re a temporary worker or a recruitment agency, payroll works the same as in any other business, but with some nuances that are unique. Partnering with a company that specialises in temporary staffing payroll services ensures that all payroll rules and regulations are adhered to at all times.

Temporary and agency staffing payroll services

Temporary work and recruitment agencies still have the same obligations as any other business regarding payroll. However, depending on the volume of temporary workers and the various kinds of contracts that staff are on, payroll can become time-consuming and extremely complex.

Some of the responsibilities when handling temp staffing agency payroll include:

Analysis of timesheets, then verifying and cross-checking them to ensure they are accurate
Production and distribution of all staff payslips
Ensuring that all staff data is accurate within your payroll and HR system. Temp agency staff change regularly, so you must keep on top of new starters and staff no longer working to minimise errors
Making payments and filing reports each payday, including HMRC RTI (Real Time Information)
Managing all employment documentation, such as P45s and P60s
Managing the workplace pension auto-enrolment administration process for all workers
Ensuring that national minimum wage requirements are met
Staying on top of ever-changing payroll legislation and compliance
Arranging your payroll schedule to suit each employee’s payday; this is particularly important in temp work, as many employees have different paydays
Calculating deductions, and ensuring all tax and NI is paid
Managing all holiday, maternity, paternity and sick leave

As an agency grows, the demands on the payroll team grow with it. Outsourcing temporary staffing payroll services is an excellent option to save time, help you to scale your growth more efficiently, reduce overhead costs, boost efficiency and ensure compliance.

What to expect when you outsource temporary staffing payroll

If you choose to outsource to an agency payroll specialist, your service provider will fulfil their legal obligations by paying employees on time and correctly on your behalf, based on hours worked.

For temp staffing agencies, outsourcing payroll minimises the risk of errors and ensures that payroll tasks are carried out accurately and efficiently by experts in payroll administration. This efficiency can have a significant impact on staff retention and becoming the recruiter of choice in a highly competitive industry. When you factor in the operational savings you gain from handing over the time and workload burden to a specialist partner, the proposition becomes even more enticing.

As well as boosting your bottom line, temporary staffing payroll services can also enhance staff morale and improve productivity. HIVE360’s complete recruitment and temp agency payroll services include crucial pay communication, staff benefits and wellbeing support, all included as standard in one handy app.

Temporary staffing payroll services From HIVE360

As your outsourced payroll provider, HIVE360 will be able to cover all aspects of temp staffing agency payroll, from digital payslips to pensions administration, compliance with legislation and HMRC, plus additional staff wellbeing and support.

We offer so much more than just a temp payroll solution, reducing overheads, boosting profitability, streamling processes, and improving your staffs working experience. Speak to us or book an exploratory meeting here today!