Employee payroll records include essential information such as employee identification numbers, contact information, and contract types. It also records financial details such as salaries, bank details, and forms of payment. If these details fall into the wrong hands, they represent a risk to the companies and the workers. This is why it is important to maintain payroll security.
In this article, we are going to explain 10 tips to keep your payroll secure.
- Importance of payroll security and personal data of employees
- 10 tips to keep your business data safe
- How can we help you keep your company’s payroll information secure?
1. Importance of payroll security and personal data of employees
Companies see the importance of security in payroll management and the personal data of employees. This becomes important. Since an organization can be affected by different situations when losing personal data, as well as going through computer incidents, either due to its own employees or former employees who may make inappropriate use of company information destined for payroll.
In general, a company must take good care of its data from former employees, old suppliers, current employees, and cybercriminals. These are the main factors that represent a danger for organizations.
In the past decade, as digitization efforts have swept across sectors, data and sensitive data, in particular, have become an increasingly valuable commodity, attracting the attention of cybercriminals.
Data security can easily be compromised by employee negligence: an email sent to the wrong address, a USB left in a public place, or files too large to send as an email attachment and transferred by third-party services with secure practices scarce.
Therefore, companies must beware of both external and internal threats. Since the danger may be outside the offices. Whether intentionally or unintentionally, the damage to the security of the company’s payroll data may be affected by its employees.
On other hand, the data employers collect about workers and employee candidates for a job serve several purposes: obey the law, support the selection of candidates, train, and promotion of staff; safeguard personal and work safety, quality control, the service provided loans to customers, and the protection of assets. There are new ways of collecting and processing data that entail new risks for workers.
1.1 The importance of safeguarding employee information
One of the options that allow companies to maintain payroll management within their facilities, and thus protect their information, are digital systems. Nowadays, having programs for this type of activity is essential. Since it gives autonomy and allows them to continue keeping their employees’ data safe.
Yes, it is true that the software also handles valuable information, they are in the cloud, and it is normal to have doubts about whether they can maintain the security of payroll and employee data. However, over the year implement strong security supports, as well as backups to protect everything that is inside it.
Many companies choose to outsource payroll, which really brings many benefits since you delegate the complex task of managing payroll to a third party. But you have to be careful what kind of company you hire because we are leaving vital information about the company in the hands of other people.
This is one of the main disadvantages of outsourcing payroll. That is why when contracting the services of this type of company, among other things, aspects such as the prestige and years in the market that the provider of this service has must be taken into account, as is the case with our company EOR Middle East, the most prestigious company in this area and with many years in the market providing services to large companies in the region.
Therefore, the subcontracting of external providers for carrying out the payroll can represent a risk of loss of information. It is true that they must ensure the protection of company data, however, the protection will never be complete since third parties are the ones who manage it.
1.2 Implementation of a data breach response plan
Finally, no data protection strategy is foolproof. Even the most stringent security controls do not fully guarantee the security of a company’s payroll data. This is because of how unpredictable security issues are. A new software or hardware vulnerability may be discovered and exploited before it is patched; or a well-trained employee may be tired and make a careless mistake.
The best strategy to deal effectively with a data breach is to plan actions in advance. By developing a data breach response plan and testing it, companies can ensure that if a data breach occurs, its causes are quickly discovered, corrective action is taken, and employees know exactly how to proceed. An efficient response to a data breach can save companies considerable expense and help mitigate the severity of a security incident.
Likewise, as data continues to grow exponentially, it is essential to leverage a variety of data protection strategies through continuous availability, replication, backup, and archiving, creating an effective data protection solution that can scale. For businesses to stay ahead, they must make investing in security measures a top priority and proactively address data privacy rather than waiting to address it after an attack occurs.
2. 10 tips to keep your business data safe
Here are some practical tips for keeping your payroll confidential:
2.1 Control disclosure of information
Make sure your payroll recorders, enablers, and transmitters know who is aware of this information and who should be excluded. In this regard, it is advisable to consider having a policy that lists all your documents and the data that are handled in this process and the names and positions of the people who have direct access to your electronic payroll software to view and operate said information.
Likewise, authorized personnel must guarantee the privacy of their username and password to access the system in which your company’s payroll records are kept.
In the case of presenting express requests by the control entities, to see these payroll records, the policy must establish who will be the main person in charge of downloading these reports and presenting them to these entities.
2.2 Generate electronic payment stub
Consider generating electronic payment slips. This way reduces the use of paper and improves the efficiency of tax processes. With online pay stubs, employees can access their information whenever they want. Similarly, the use of these detachable improves the confidentiality of your payroll information.
Only authorized personnel and each employee individually can access the salary details and the respective news that are registered in each pay period. Do not forget that in this way you contribute to promoting the responsible use of resources by not using paper and guaranteeing the confidentiality of the information.
2.3 Use strong passwords and change them regularly
Using strong, unique passwords reduces the likelihood of the wrong people accessing payroll information. The people in charge of this process must use secure and exclusive passwords both to access the payroll software in the cloud and for their computers. We recommend that passwords for electronic processes meet at least some security standards such as:
- Create a password of at least 16 characters and change it regularly, approximately every three months.
- Do not use names or surnames as passwords.
- Use different keys to access cloud software than to access computers, emails, or other accounts.
- Avoid words that disclose your position or company.
2.4 Use cloud storage solutions
The main advantage of electronic payroll outsourcing is that there are solutions in the cloud to store this information. In this way, you will never again have to worry about physical storage space or on the disks of corporate computers. Online storage is more secure with encryption options and advanced data security features. You can safely store large documents without affecting their accessibility.
2.5 Security of payroll personnel
Payroll staff members must work in secure and confidential areas. Even if you only have one or two payroll staff members, keep them in confidential places. Emphasize the importance of keeping payroll data private and provide ongoing training.
It emphasizes the responsibility and the advantages of carrying out the process in a 100 percent confidential manner. Similarly, ensure that after completing each record in the payroll software you must log out and disconnect from the application.
The person responsible for the payroll data and those who intervene in any phase of the processing of personal data have the obligation to comply with professional secrecy regarding them and the duty to keep them, obligations that will continue even after the end of their relationship. employment with the company.
2.6 Wage and salary discussions
Keeping payroll, a secret is difficult when there are conversations about this topic among employees. Reassure them that your company offers a competitive salary. While employees discussing their wages and salaries may not be very good for employers, it is not something you can ban.
2.7 Clarify payroll security procedures
Maintaining clear payroll security procedures will keep you safe from potential data security breaches. Try to constantly update and train your collaborators who have a task in the payroll process.
Make sure that your electronic payroll software provider updates the system periodically and in a timely manner, guaranteeing the correct storage of the data and changes that can be recorded. This will give you a security payroll.
2.8 Mobile and email security
Regardless of the size of your company, we advise you to have a general security policy that allows you to identify threats through antivirus software and that this policy covers the security of payroll software. Likewise, you must train your collaborators so that they understand it. Make sure payroll clerks adhere to email policies. There should be no risk of employees receiving or sending attachments that may contain private payroll information.
2.9 Establish protocols for external requests
Control entities can carry external requests for payroll information. However, it is important that the employees of your company are sure of the identity of the person making these requests. Make sure that the personnel in charge of registering the payroll know the procedures to follow before disclosing confidential information to third parties.
Maintaining the confidentiality of your company’s payroll information is imperative. Promotes security and prevents sensitive data from getting into the wrong hands; which could lead to conflicts in the workplace or worse, compromise the safety of your employees.
2.10 Perform data audit
Data auditing is the foundation of any proper data protection strategy. By addressing identified risks, companies can also save money by implementing custom solutions for vulnerabilities facing data within their network. Data monitoring can also help companies uncover bad data security practices among employees; allowing them to develop more efficient defined training.
3. How can we help you keep your company’s payroll information secure?
If you are looking for payroll data providers thathave payroll security, EOR Middle East is your ideal ally to register, enable, and transmit the electronic payroll of your company. Therefore, we invite you to learn about our payroll software. We guarantee the cybersecurity you need. And you will also be able to comply without errors with all the requirements and times demanded by the authorities.
Our clients guarantee the quality of our service, placing us as the leading company in cybersecurity in the region. Subsequently, do not think about it anymore and secure your payroll. If your company needs quality service, do not hesitate to contact us about this or our other services:
- Employer of Record.
- Professional Employment Organization.
- Relocation services.
- Remote workers, and more.
Take care of the security of your company’s payroll data. If you wish to contract our services, you can contact us through: [email protected]. In case of doubts related to our organization, services, or any other information that you need to know, we invite you to contact our agents; call us at +971 43 316 688.
Likewise, if your desire is to work for a company in the Middle East, we are the best job option. Send us your CV through: thetalentpoint.com. Or via email through the following address: [email protected]. Our company is looking for the best talents, are you one of them?