Payroll systems have seen exponential growth in recent years. From moving to digital systems to now close to being completely automated, payroll providers have explored every possible technology that can be integrated into payroll systems to simplify the process and improve efficiency.
One such feature whose functionality is being explored in the payroll realm is the chatbot.
What are chatbots?
Chatbots are AI-driven conversational interfaces crafted to mimic human interaction. They employ natural language processing and predefined conversational paths and interact with users through text or voice, delivering information, accomplishing tasks, or providing fundamental customer support.
They have gained immense popularity in recent years. So much so that a 2023 survey by Tidio says that in 2022, 88% of the respondents had firsthand experience with chatbot interactions, and all the respondents were familiar with them.
According to Outgrow, chatbots are expected to become the primary communication channel for 25% of MNCs by 2027. It is only the natural course of action that chatbots handle repetitive tasks and employee inquiries and help save time, improve accuracy, and enhance the overall employee experience in the process.
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Streamlining Payroll Processes
Chatbots have proven their ability to benefit HR operations. However, the extent of their implementation in payroll systems is still being explored as it shows promise for easing payroll burdens through automation and self-service.
Payroll chatbots can be digital assistants to answer the full range of common employee questions about payslips, taxes, leave balances, deadlines, and more in real time. Here are a few processes that can be automated using chatbots:
- Request past payslips: After the employee validates details such as their ID number or birthdate, the chatbot can immediately email historical payslips from the system, eliminating the need for payroll staff to fulfil individual payslip requests manually. Chatbots can also be helpful for employees who are inquiring about payslips. Chatbots can be deployed for requests not requiring HR approval to allow employee self-service.
- Check accrued leave balances: Chatbots can provide up-to-date information on remaining sick days, vacation time, personal days, etc. Employees can easily plan time off without awaiting HR confirmation or calculating totals themselves.
- Receive prompt notifications about significant payroll changes and deadlines: Chatbots can automatically remind employees about adjustments to taxes, deductions, submission policies, due dates for timesheets and expenses, etc. Push notifications can replace individual emails and questions fielded by HR.
- Update personal payment information: By enabling self-service changes, chatbots significantly reduce tedious admin work for payroll processors and update data like bank accounts for direct deposit.
By providing 24/7 self-service access and automating routine payroll tasks, bots can relieve workload, minimize errors caused by manual processes, ensure compliance, and enable payroll teams to concentrate on other strategic initiatives.
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Optimizing HR Operations
AI chatbots can also be incorporated to optimize HR processes such as:
- Automate query resolution: Employed for addressing FAQs and recurring employee inquiries, chatbots prove particularly valuable during new hire onboarding. They effectively answer common questions regarding policies, benefits enrollment, company culture, equipment requests, etc. This builds employee self-sufficiency while reducing HR workload.
- Employee onboarding: Bots can also save recruiters hours of administrative work during onboarding by helping to schedule interviews with candidates and confirm their details.
- Company communications: HR chatbots can be used to share company news, policy changes, training opportunities, employee recognition, and other updates through conversational interactions. Such frequent touchpoints can foster greater engagement.
Chatbots can consistently improve their capabilities by leveraging machine learning algorithms and constructing knowledge repositories from employee interactions and feedback. Such enhancements can improve employee satisfaction and free HR staff for strategic talent management initiatives.
The Future with Chatbots
Chatbots are transforming workplace operations with their multi-faceted functionalities. With their ability to handle high volumes of repetitive administrative tasks and provide around-the-clock support, bots provide innumerable benefits that can help organizations improve efficiencies, reduce errors, and enhance the employee experience.
Chatbots are not a threat to personnel. They are simply augmenting existing capacity to enable teams to focus on maximizing productivity, retaining top talent, and working towards strategic goals.
Employers can leverage chatbots to create smoother workflows, share information promptly with employees, and shape more positive employee journeys - from the first interview to the final paycheck.
