As we move further towards 2026, organisations across the globe are facing mounting challenges
As we move further towards 2026, organisations across the globe are facing mounting challenges - especially from a payroll and compliance perspective. From AI implementation to changing legislation HR practitioners are facing something of a complexity crisis – one which isn’t going away.
According to Dayroll’s Payroll Complexity Survey, top pain points are compliance challenges (45%), managing the complexities of multijurisdictional payroll (33%), and inefficient processes (25%). With that in mind Dayforce is hosting an exclusive webinar on October 8th on ‘Mastering HR & Payroll Compliance’ - a step by step guide on proven strategies for managing HR and payroll compliance in today’s fast-changing landscape
Changing legislation
One of the biggest challenges for Australia leaders is navigating the ever-changing web of regulations they must follow to continue operating. While laws and regulations can seem straightforward in theory, the challenge lies in interpreting these laws and how they align with internal company policies.
“For leaders, it’s about ensuring the organisation is on the same page regarding these laws is important, but it can be tedious and burdensome, especially if there are no resources dedicated to monitoring these changes,” added Dayforce’s Team.
Innovative technology
According to Dayforce’s report, payroll technology continues to confuse practitioners and heir people. Dayforce’s data found that just over half of payroll pros are currently using cloud-based technology in their organisation, with 89% adding that they have ongoing issues with their systems. And, worrying, 74% actually have issues with their payroll data.
Because while technology can help speed up routine processes, it can also come with compliance risks – especially when you add AI into the mix.
“AI is a hot topic across the industry nowadays, and everyone is interested in seeing how they can leverage it to increase efficiencies,” added Dayforce’s Team. “However, many questions are still up in the air with the use of AI, especially in terms of regulation and ethical use. The rapid advancement of AI technology is sometimes faster than regulation, and organisations are understandably facing a fear of missing out and messing up regarding this.”
Emerging workforce trends
While it’s hard to predict where workforce trends are going, but there are clear ones that will introduce, or have already introduced, more compliance complexity. Workforce flexibility, hybrid and remote work, hiring and operating across borders, contingent work, are just some of the trends that are impacting payroll compliance.
“And there is always the discussion about employee wellbeing - at a time when burnout is rampant and labour shortages continue to rise, financial wellness and pay can greatly impact employee retention and attraction,” added Dayforce’s team.
The future of payroll in 2026
In order to thrive during this challenging and increasingly complex times, Dayforce’s team of experts have a selection of top tips to keep Australian payroll pros on top of their game.
Ensure leadership commitment and training
Leaders play a critical role by owning the strategy, promoting compliance, and demonstrating commitment. This will help motivate employees to also take compliance seriously.
Education, communication, and collaboration
Managing compliance is not just for HR and payroll, but for the whole organisation. Investing in training and fostering a culture of communication can help employees stay informed and aware of the changes and help train them to recognise risks before they become an issue.
Strategically streamline data and systems
Nearly all executives surveyed in ANZ approve of investing in technology that helps make compliance easier to manage. It can be hard to know where you stand when you rely on manual processes and disjointed systems. Using a single HR and payroll solution can help give leaders better visibility into the business.
Establish a compliance framework
While having the latest workforce technology can help support compliance, even the most advanced solutions can produce incorrect calculations if employees inadvertently enters the wrong information. Organisations should evaluate current processes to develop policies, collect feedback, and hold individuals accountable for their roles. Engaging and partnering with local, third-party professionals to run audits and assist in interpreting laws may be helpful, too.
Be ready for change
Having a change-ready mindset can help employers take a proactive approach to navigating the complex regulatory landscape, so they can better operate with confidence, realise their people potential, and unlock more value.
Want to get ahead of your competitors and really help your people thrive in 2026? Join Dayforce’s exclusive webinar to;
- Get up to speed on current HR and payroll compliance requirements
- Learn how to build and sustain a compliance-focused culture in your workplace
- Discover practical strategies for identifying and resolving compliance issues before they escalate
- Access a comprehensive compliance checklist to benchmark and improve your HR processes
- Gain expert tips on making a strong business case for HR and compliance initiatives
To learn more on the best ways to thrive in 2026 and beyond, register for Dayforce’s upcoming payroll webinar here.
