Five questions to understand the electronic payslip

"With the French El Khomri Act, new digital uses, etc. 2017 promises to mark a crucial stage for accelerating the adoption of the electronic payslip. We offer the latest information about this major transformation through five key questions."

Eric JAMET  -  Director of Marketing & Innovation, Tessi documents services

Since 1 January 2017, companies no longer need prior consent from employees to implement an electronic payslip. This is a new simplification step that promises to speed this digitisation in an area where France is lagging behind its neighbours. According to a report by the French National Association of HR Directors, only 15% of French companies have begun a process to digitise payslips, compared with 95% in Germany and 73% in the United Kingdom.

1. What are the advantages for the company?

There are many quantifiable advantages for organisations. The first is financial. According to the experts queried by the French National Assembly in its 2016 impact study, digitising payslips could lead to a saving of 32 euro cents for each payslip. This estimate only takes into account direct costs. The indirect costs of paper payslips also need to be added: processing time, storage space, etc.

In addition to the economic gains, electronic payslips also play a part in the company’s brand image as an employer. At a time of online opinion websites and new generations of employees who are used to everything being paperless, a company that offers a digital pathway will be more likely to come out on top. All the more so in the context of a fight for talents. Finally, eradicating the paper and envelopes offers real environmental gains that the HR Department can highlight in its Corporate Social Responsibility reports.

2. What are the points for vigilance?

Digitising payslips does not just mean sending a pdf by email. The company must offer employees a means to keep their payslips for 50 years. Even if this date is subject to debate (technologies may be obsolete after five decades), the idea is to offer employees a digital safe to centralise the payslips. There are many solutions for digital safes on the market, but HR Departments must take care to opt for an offer that includes an interface with a personal activity account, in order to optimise the employee’s experience.

3. What are the advantages for employees?

For employees, the personal activity account centralises access to all payslips, from any company. This offers employees simplicity and security. In a few clicks they can access their documents and no longer run the risk of loss, theft or destruction in any kind of occurrence, as digital safes have drastic security standards.

4. What will the El Khomri Act change in France?

Since 2009, companies have been able to implement electronic payslips for their employees, but they needed the employee’s prior consent. This is a brake that has been removed since 1 January 2017, when the El Khomri Act came into effect. However, if an employee makes the explicit request (in writing), companies must revert to a paper payslip specifically for them.

The whole challenge therefore is to simultaneously manage the publication of paper and electronic payslips, at least initially. These are two very different processes that can prove a real headache for HR Departments. This is why Tessi RH simplifies the administration of these two lines on one platform.

5. How can you assist companies with this change?

By making electronic payslips and paper pay slips coexist companies offer progressive assistance for the change. What is the aim? Avoiding any sudden break in the routine for employees who are less open to change, whilst meeting the expectations of new “digital native” employees.



Portrait Eric Jamet Directeur Marketing & Innovation, Tessi documents services

Advantages

  • Optimising costs (direct and indirect)
  • Centralising payslips
  • A new communications channel with employees
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