Payroll teams worldwide are facing a moment of transformation. ADP’s latest global payroll survey, ‘The potential of payroll in 2026’, reveals a profession under pressure, but also rising to the growing demands placed on payroll leaders and their teams.
The survey finds organisations are navigating skills shortages, regulatory complexity, cybersecurity risks, the rise of AI, and increasing expectations for global visibility and employee experience. Yet, there is an opportunity for payroll leaders to treat these as catalysts for accelerating the function’s transformation.
What is the potential for payroll teams in 2026? Discover payroll’s potential
KEY FINDINGS FROM THE SURVEY
43%
OF PAYROLL LEADERS ARE RUNNING A STANDALONE PAYROLL FUNCTION
This autonomy signals a significant move away from payroll’s historic positioning under finance departments.
72%
ARE EXPLORING WAYS TO RUN PAYROLL WITH FEWER PEOPLE
The need for certain skills and professional capabilities will remain highly relevant in 2026.
41%
OF LEADERS WANT THEIR TEAMS TO SPEND MORE TIME ON COMPLIANCE OVERSIGHT
Organisations are building deeper compliance expertise and investing in technology with embedded controls and real-time insight.
70%
OF ORGANISATIONS HAVE EXPERIENCED A PAYROLL-RELATED CYBERSECURITY INCIDENT IN THE PAST TWO YEARS
Many cite data protection as a critical priority, and most report that they have invested in new policies, safeguards and continuity plans. Yet there is still a lot to be done.
1/3
ARE CURRENTLY USING AI TO SUPPORT PAYROLL PROCESSES
Automation, AI and other innovative technologies are quickly becoming permanent fixtures in the workplace, and payroll leaders are exploring how to integrate these technologies strategically.
62%
OF COMPANIES DON’T YET HAVE A FULLY DEFINED INTEGRATION STRATEGY BETWEEN PAYROLL AND OTHER BUSINESS SYSTEMS
Integrating payroll data with other business systems is a mixed bag with different countries, business systems, and vendors often operating in parallel.
‘The potential of payroll in 2026’ report looks into areas high on payroll leaders’ agendas, including better availability and visibility of global payroll data and continuing to improve the employee experience. Executives increasingly view payroll as a driver of trust and engagement. Teams are prioritising accuracy, faster response times, seamless communication and self-service options, as well as accessibility with features like payslips for visually impaired people.
The 2026 edition provides:
- Global insights from payroll leaders across 20 countries
- Perspectives from 1,816 senior leaders responsible for global payroll
- Data on automation, AI, integration, compliance, reporting and security
- A clear view of where organisations are prioritising investment and capability building
- Evidence of how payroll maturity is progressing and where gaps remain
Discover what senior leaders have to say about the future of payroll.
Download ‘The potential of payroll in 2026’ report now.
