Global Payroll Newsletter – January 2022

The January 2022 Blue Marble newsletter is focused on global payroll support and service, worker rights in third world countries, and global payroll vendor challenges.
Business Recovery and Global Expansion Black Mountain Group HR Payroll Services

The January 2022 Blue Marble newsletter is focused on global payroll support and service, worker rights in third world countries, and global payroll vendor challenges. 

Don’t miss out on global payroll trends and the latest news – follow us on Twitter @BlueMarblePay to get country facts, global payroll tips, and more!

Global Payroll Support and Service

No one talks about customer service until you need it and it’s not there. When it comes to global payroll, a delay in getting a question answered could be the difference between paying an employee correctly or causing a compliance issue. What happens when something goes wrong in the payroll process, or you have a compliance question? This is a familiar problem for many companies managing a global workforce.

Service and support are 2 different aspects of the global payroll process. Service is when you have a question or a problem processing your payroll and need someone to help you fix it. Support is when you are looking for help with compliance, in-country changes, or statutory requirement updates. There is nothing worse than not being able to figure out a solution to a problem that can quickly multiply across countries.

If you find yourself struggling with global payroll service and support, start with your payroll vendor. Are they available in your time zone and dedicated to your team? Do you have direct access to in-country providers to discuss tax or payroll questions or changes? With employees all over the world, you need answers quickly before a payroll is processed incorrectly or you could face fines and penalties.

Blue Marble saw a need in the market for dedicated service and in-country support – that is why we developed our hybrid service model that is unique to the industry. We provide a dedicated US-based service team as well as direct access to our in-country partners to help with compliance, tax, and payroll questions. You can avoid the wait and get instant answers to country-specific questions. See why our service and support is miles ahead of the rest

Worker Rights in Third World Countries

While globalization has created economic growth and improved international relations, it has sometimes been detrimental to those working in developing countries. There has been a significant rise in employment opportunities, but there has also been a cost. Despite labor laws imposed by the International Labor Organization worldwide, working conditions in third-world countries continue to be less than ideal. What are the standards mentioned in the Charter of Labor Laws published by the ILO, and how does it promise to protect the rights of workers in developing nations?

Worker Rights and ILO Labor Laws
According to a study by the International Labor Organization, approximately 9.5 million employees work in slave-like conditions in the world. The ILO Declaration on Fundamental Principles and Rights at Work seeks to change that, which is why it mandates all state members to comply with all standards provided in the following four categories:

  • Freedom of Association: the recognition of the right to collective bargaining, workers are free to join unions and vocalize their concerns
  • The elimination of Forced or Compulsory labor: labor is not a commodity that can be auctioned off or purchased
  • The abolition of Child Labor: no minors are to be employed in factories or other working sites
  • The elimination of Discrimination: in employment or occupation, no employee is to be subjected to any kind of unjust treatment or discrimination based on any demographic features

Governments as Enforcers
The Labor Rights Declaration is fully realized with the cooperation and interest of governments. Therefore, most developed countries are far better at abiding by labor law standards. In addition to the state’s involvement, capital is a critical factor needed for labor rights implementation which is the fundamental reason why third-world countries often overlook the importance of worker rights.

Most underdeveloped countries need an inflow of investment in order to boost their economies. This goal can be realized with the help of foreign exchange, which comes when international conglomerates want to reduce their labor costs. So, naturally, when financially struggling states are offered handsome remuneration in exchange for cheap human resources, they often sign the deal. But to maintain higher profit margins, little of the revenue generated is spent on the well-being of workers. As a result, the working conditions in factories continue to be dangerously unpleasant.

Increased Exports in Developing Countries
As surprising as it may be, unsafe factory environments and low labor costs often lead to increased exports, resulting in the expansion of growing economies. Exports in Bangladesh and Vietnam increased when labor costs were reduced, leading to trade deals with first-world countries.

The Way Forward
The only way to better the working standards for the labor force in third-world states is to strictly enforce the Declaration of Workers’ Rights, and that’s only possible if governments begin to take an interest in the issue. To learn more about labor law and compliance in 150+ countries, visit Global People Strategist

Global Payroll Vendor Challenges

What happens when your global payroll vendor cancels your service because your employee count is “too small” for them? One of my clients was in the midst of a divestiture from their parent company and facing cancelation from their global payroll vendor at the same time. They needed a global payroll solution for a small number of global employees and wanted to simplify their US payroll as well, since they were using multiple systems in the US for different functions. There was a lack of data, and no insight or integration across the multiple systems and countries.

As we reviewed all of the challenges they were facing, we decided to tackle each problem and determine the best solution. Since integration and reporting were key issues for this client, we were able to offer US and global payroll through the Paylocity/Blue Marble partnership to provide single-sign-on functionality and consolidated reporting across all countries. The next hurdle was service – their current provider had a call center with very unclear global compliance measures in place. Blue Marble has a dedicated US-based project manager for each client, along with direct access to in-country experts in each country to help with compliance questions.

This client was also looking ahead to growth in the future – they didn’t have an option with their current vendor and wanted scalable solutions for US and global payroll. Blue Marble has a global consulting services team that can help them enter new global markets, hire employees, and manage global HR compliance when the need arises. This client can now start planning future growth because their payroll can keep up.

There will always be challenges managing a global workforce, but your payroll and compliance shouldn’t be an obstacle in the way of company growth. Our cloud-based, integrated tools can help you scale your business overseas while ensuring compliance for your global payroll and HR. If you are struggling with multiple vendors, reporting or lack of data, we can help. Talk to our team and simplify your global process in 2022.

Author – Blue Marble Payroll

Black Mountain Group

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