Employers’ fears over providers’ RTI readiness

More than half (52%) of employer respondents expect payroll providers to supply the support needed to be real time information (RTI) compliant, according to research by PricewaterhouseCoopers (PWC).

Its survey of 197 HR and payroll professionals found that 99% of respondents will need some level of support to ensure they are ready for RTI reporting when it starts in April 2013.

The research also found:

  • One in four respondents believe that their payroll provider has not yet finalised its RTI-compliant software.
  • 53% are unsure if their provider has any RTI-compliant software.
  • 34% of respondents are most concerned about the need for system changes and interfaces in order to be compliant.
  • 22% are concerned about data collection, storage and transmission.
  • 24% are most concerned about resource constraints.

John Harding, human resources director at PWC, said: “RTI is more than simply the payroll software; the quality of the employee data and the processes for collecting and maintaining that are critical to compliance.

“Our survey reveals a worrying mismatch between what employers expect from their payroll providers for RTI implementation and the resources available. The majority of employers are relying on their payroll provider for support, despite concerns that they have not yet finished their compliant software.

“With more than half of employers looking to their payroll provider as their first port of call for RTI enquiries, there is a real risk that the payroll industry will not have the capacity to fully support all organisations. There is a real danger that over reliance on payroll providers may mean that many employers may struggle to be ready for implementation in April.”