The future of pay Exploring the evolution of worker pay and talent management Contents 13 12 7 6 3 23Conclusion Contents The evolving payment landscape around the world ConclusionIntroduction The state of pay today: a global view The future of pay: security, speed impacting how employees are able to manage their finances, how they feel about their pay levels, about their jobs and even about themselves. For employers, providing payment options that reflect the needs of their employees not only has clear, quantifiable cost benefits, it also offers less tangible benefits in terms of employee perceptions and financial wellness. In a tight labour market, payment options can help employers differentiate themselves in hiring and retaining top talent. Newly emerging trends like the gig economy and an increase in unconventional employment arrangements are further driving the desire for more flexible payment options, including both methods and frequency of pay. Demographic and generational trends are also expected to drive a shift in worker pay preferences. Millennials, for example, are accustomed to the immediacy technology provides and the flexibility of digital payment options. By 2025, this age cohort will make up 75% of the global workforce. As Generation Z (those born after 1996) enters the workforce, employers will witness the final cross-over to a fully digital world - one whose employees were brought up alongside smart phones and social media. 1 The future of pay Exploring the evolution of worker pay and talent management Contents The evolving payment landscape around the world ConclusionIntroduction The state of pay today: a global view The future of pay: security, speed perhaps signalling the start of a global shift. The evolving payment landscape around the world Contents The evolving payment landscape around the world ConclusionIntroduction The state of pay today: a global view The future of pay: security, speed 81% of all Asian employees are paid by this method. Singapore and Australia resemble North America and Europe in preference for direct deposit, but in a sign of potential change to come, nearly all employers in the region expect non- traditional methods to be used 10 years from now. 88% 32% 49% 83% 11% 44% 43% 13% 88% 73% 6% 66% The state of pay today: a global view Contents The evolving payment landscape around the world ConclusionIntroduction The state of pay today: a global view The future of pay: security, speed 66% of MNC vs. 51% of non MNC) Balancing new technologies capacity to absorb financial shock; and financial freedom to make choices that allow individuals to enjoy life.” Balancing new technologies % selecting strongly / somewhat agree ER ER 84% 87% 88%64%81% ER EE EE 79% 79% 88%62%74% EE The good news is that employees are looking for financial wellness support at work, and employers who provide this support could improve talent acquisition and retention. Nearly 80% of employees say they want to work for an employer who cares about their financial wellness. Financial wellness entails budgeting and tracking finances, and 30% of employees say the availability of budgeting and money-tracking tools would make a difference in their decision to accept a job offer. They consider this perk as attractive as off-cycle pay options, telecommuting and other popular perks. Moreover, a similar percentage say their employer is a trustworthy and credible source of information about how to manage their money (second to a bank in many countries). More than half are comfortable with their employer using their personal data to provide advice and recommendations on this topic. Global total North America Europe Asia Pacific Latin America Employees want financial wellness at work Balancing new technologies in some regions, perceived benefits are higher than risk Balancing new technologies & security concerns North America Europe Asia Pacific Latin America Contents The evolving payment landscape around the world ConclusionIntroduction The state of pay today: a global view The future of pay: security, speed & tracking Balancing new technologies & security concerns 23 Conclusion the future of pay The world of work is changing. As workers, as employers or as consumers, the desire for greater speed, security, flexibility and financial security has driven people worldwide, regardless of age or nationality, to question long-held assumptions about how they work, why they work and how they are paid. In short, when examining the evolution of work and of the workforce, while there are universal values and priorities shared among employers and employees worldwide, in the quest to fulfil those needs no stone is being left unturned. No assumption is left unchallenged. Everything is up for re-examination. Employers have many compelling reasons to explore alternative payment options, with cost savings being one of many drivers. Payment options, off-cycle payments and financial wellness support can help differentiate a company competing to attract and retain talent. In the end, when an employer can help employees improve their financial health, everyone benefits. The same holds true for the evolution of pay. For employers seeking to embrace change, who want to elevate their workforce and adapt to the new world of work, considering how employees are paid is just an important a consideration as how much they are paid. 2. 1. 3. blog.shrm/workforce/personal-financial-worries-plague-workers-worldwide 4. consumerfinance.gov/data-research/research-reports/financial-wellness-at-work 5. pewtrusts/en/research-and-analysis/articles/2018/03/09/faster-payments-system-could-give- consumers-and-businesses-better-access-to-their-money About ADP (NASDAQ ADP) 领先技术、卓越服务、非凡体验，ADP始终致力于创造更好的工作方式，帮助人们尽情发挥职场潜能。 从人力资源、人才、社保福利、薪酬到合规管理，以数据为基础，为人力而设计。更多信息，请访问 About the ADP Research Institute The ADP Research Institute provides insights to leaders in both the private and public sectors regarding issues in human capital management, employment trends, and workforce strategy. ADP、ADP标志和Always Designing for People是ADP, LLC在美国及其他国家的注册商标。所有其他标志都是其各自所有者的财产。版权所有 2019, ADP LLC。