Finding, becoming the ideal job candidate

While most employers in Canada are not looking to hire additional payroll staff this year, those who are recruiting say it is challenging to find the right candidate, a new report says.

The Payroll Salary Guide 2018 by staffing firm Hays Canada, found that despite a strong economy and expected continued business growth, 80 per cent of employers expect their payroll headcount to remain the same as it was last year.

The annual report, which surveys payroll professionals and employers about recruitment, retention, salary, and workplace issues, found that only 17 per cent of employers plan to increase their permanent payroll staff this year.

While the low percentage may give the impression that there is not a big demand for payroll professionals in the job market, staffing experts disagree. In addition to employers who opt to add headcount, they say there will always be those who need to replace staff because of terminations or need temporary help to cover absences or handle short-term workload increases.

“Payroll professionals are in consistently high demand, which is underscored by the steady annual salary increases we see for payroll positions,” said Michael French, Toronto branch manager for staffing firm Robert Half.

Robert Half’s 2018 Salary Guide for Accounting and Finance Professionals lists payroll managers as one of its “hot positions.” It also includes payroll professionals in its list of sought-after candidates for jobs in  a number of provinces.

Among employers hiring, the Hays survey found that 71 per cent reported having moderate to extreme difficulty recruiting payroll employees, with 78 per cent saying junior to mid-level staff were the most difficult to find.

Low turnover in payroll and fewer people entering the field could be reasons for the difficulty, said Antony McElwee, director of sales and client relations at Hays Canada.

“When you ask managers how hard it is to hire? Most of them said: ‘It is hard to hire, but it is easy to retain people,’” he said.

To attract payroll professionals in this environment, it is important for employers to tailor their job ads towards the specific type of candidate that they want, said McElwee.

“If you are looking for an up-and-coming, very progressive candidate, you would be writing an ad in one particular way versus if you were looking for someone who is happy doing the same job for the next five years,” he said. “You have got to find a way to communicate clearly why does someone want to work for you. How are you positioned in the market?”

Employers need to promote a strong corporate culture when advertising payroll positions, said French.

“Show candidates what makes your company a great place to work (for) and make it easy for them to envision contributing to the success of the business.”

Pay and benefits remain essential elements for recruiting and, in an environment where it is challenging to hire, McElwee suggests employers look closely at what they are offering.

“Compensation is the most important thing that payrollers consider when they are considering a job, but it is pretty closely followed by benefits and work-life balance,” he said.

The Hays’ report showed that 33 per cent of survey respondents listed compensation as the chief factor they look at when considering a job, followed by benefits package (18 per cent), and work-life balance (17 per cent).

“Money is not everything and, at the end of the day... if you are competing on salary alone, that is not a great way to compete,” said McElwee.

The top three benefits that payroll professionals said they valued in the Hays survey were health/dental, extended health, and pension/RRSP contribution/matching. Flexible work hours and training and/or certification support rounded out the top five.

However, the survey results also showed that only 41 per cent of employers offer all of the top three benefits and only 19 per cent offer all of the top five, said McElwee.

“Less than one in five are offering the five top things that payrollers really want. I think there is a fairly easy way to try to differentiate yourself in the market,” he said. “If, at the very least, you can do the top three things, then you are going to get yourself way ahead of the competition, given that less than half the market offer those things already.”

When making a job offer to a payroll candidate, French advised employers to ensure that their pay and benefits package is a strong one.

“Always start with your best offer. It is likely that candidates will be entertaining multiple opportunities. Offer enhanced benefits packages with additional perks, like gym memberships or healthy food options, to demonstrate their wellbeing is a priority, and make the position that much more appealing,” he said.

“Do not keep great candidates waiting long during the hiring process. Talented payroll professionals are in demand, and you need to act quickly to keep them engaged.”

While an in-demand market for payroll may make it easier for payroll professionals looking to change jobs, they still have to make sure that they have the education, skills, and experience that employers want.

“Great payroll candidates are certified (PCP or CPM) and often have their diploma in accounting or HR,” said French.

“The ideal candidate is up to date on new regulations and recognizes how important these are to keep the payroll function compliant within the business. Ideal candidates are also very savvy with payroll software and emerging technology,” he said. “Ideal candidates will also have experience with payroll regulations across multiple provinces.”

Beyond payroll experience, it is essential that payroll professionals have strong communication skills, said French.

“They must be able to discuss and explain payroll concepts to employees at all levels and areas of the business. They are often the front-line for fielding questions from staff,” he said.

“They need to be patient and take the time to provide employees with details around their pay, or how to use back-end systems. But beyond patience, payroll professionals need to have strong listening skills, to understand and adequately answer questions or concerns.”

Communication skills will become even more important as payroll continues to evolve from a back-office function to a strategic role within organizations, said McElwee.

“They will be answering more queries around, ‘Can you explain my pay to me? Can you tell me why I do not qualify for overtime? Can you tell me about the averaging agreement and what that means to me?”

They may also be spending more time analyzing payroll data and making recommendations on business process improvements, he said.

“Ideally, I think (employers) are looking for progressive candidates as opposed to those who just want to clock in and clock out and run the pay. They are looking for people who can look objectively at a situation and say, ‘Are we working the most efficient way possible? Can we change what we are doing here and how would we do it?’” said McElwee. “I think we will see payrollers performing more of that type of function and needing to be better qualified to do it. What I think we will see is actually an elevation of the profession, which is a great thing.”

Finding the right job is also about finding the right fit. Before embarking on a possible job change, McElwee advised payroll professionals to think about what they are seeking to get out it.

“Are they looking for career progression? Is it better work-life balance? Is it a higher salary? Do they want to report to HR instead of finance? They need to be clear in their mind about what it is that they are looking for,” he said.

Without considering these issues in advance, payroll professionals could end up unhappy in a new job, said McElwee.

“Generally speaking, I think that people who do not go and do that, end up making a move and then six months later realize that the grass is not necessarily greener and they have not really gotten what they were looking for.”