As an employer in the Middle East, you likely know that payroll processing in the region comes with its own set of challenges. Diverse business environments, compensation and benefits management for expatriates and nationals, compliance with country-specific laws, and the increasing complexities surrounding bank regulations in an emerging market — to name a few. For these reasons, you may be wondering whether outsourcing is the way to go, which is why we compiled this handy list.
According to a 2018 study by Deloitte, the North American region, Europe, the Middle East, and Africa, surpass all other global territories when it comes to the breadth of payroll services outsourced. One of the biggest payroll obstacles for global companies in these regions is regulatory compliance.
For example, the Middle East is home to millions of expatriates and payroll laws for these workers differ by jurisdiction. The Middle East is also a hotbed for multinational businesses, operating in various countries in the region — and each country has its own set of payroll rules. These payroll laws aren’t easy to interpret or keep up with.
At OPS, we’re versed in regulations impacting the UAE, Oman, Qatar, Bahrain, Saudi Arabia, Kuwait, Jordan, Pakistan, and Egypt. We will help you make compliance the cornerstone of your business.
In payroll, accuracy is paramount. If your payroll is off the mark, a slew of issues can occur, such as disgruntled employees, labor disputes, incorrect financial reporting, and legal repercussions.
However, administering payroll meticulously can be difficult to achieve without a knowledgeable payroll team and sufficient resources in place. Entrusting your payroll to OPS relieves you of this burden, giving you more time to focus on core business functions that drive revenue growth.
In Deloitte’s 2016 Global Outsourcing Survey, employers rank “Cost Cutting Tool” as their #1 reason for outsourcing.
For multinational employers in the Middle East, maintaining an in-house payroll system can be expensive. Providing salaries, benefits, and training for your payroll team; acquiring technology that streamlines workflow and fuels innovation; plus implementing security controls are some cost considerations that come into play when you do payroll in-house.
By partnering with OPS, you can cut payroll costs without sacrificing quality. Potential areas of savings include overheads, direct and indirect labor, payroll technology, regulatory compliance, consultancy, data management, data security, and system maintenance.
Note that outsourcing is more than just a cost-cutting measure. As shown next, it’s also a strategic tool used to power an array of business needs.
What makes payroll so peculiar is that although it’s universal, employers tend to have varying payroll needs. Whether you’re located in UAE, Oman, Qatar, Bahrain, Saudi Arabia, Kuwait, Jordan, Pakistan, or Egypt, your payroll needs will differ based on your location, business size, employee population, and a host of other factors.
What’s extraordinary about payroll outsourcing with OPS is that it enables you to choose from a suite of options. Our core offering is end-to-end payroll processing, but we also know there’s a lot more to payroll than meets the eye.
Besides managed payroll services, we offer payroll audit, salary benchmarking, compensation and benefits restructuring, payroll mapping, payroll training, and more. Instead of being bound to a single service, you get to choose from a menu of solutions.
You could work with multiple payroll experts or vendors, each representing a certain specialty. However, this fragmented approach could make your payroll even more convoluted, not to mention pricey. Alternatively, you can go with a single, full-service vendor — such as OPS — that has everything you could possibly need for your Middle Eastern payroll.