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Friday, October 30, 2026

Payroll compliance errors persist despite high business confidence - hcamag.com

Citation Group's chief operating officer says onboarding gaps and disconnected systems are driving the payroll errors most businesses don't see coming

Nearly nine in ten Australian businesses believe their payroll is accurate, yet almost half have uncovered an error at some point – a gap that Citation Group chief operating officer Renee Roussety says reflects a false sense of security rather than genuine payroll compliance.

The finding comes from The Workforce Pulse 2026, a national survey of 510 Australian business owners and leaders conducted by Citation Group. It found 87 per cent of businesses are confident their payroll accurately reflects current award rates, classifications and entitlements, while 42 per cent have found a payroll error at some point and 43 per cent worry about getting pay or entitlements wrong.

"Every business feels confident in their payroll, but if you're not running proper checks, that confidence means nothing," Roussety said.

Confidence is not the same as accuracy

According to the report, confidence is often a reflection of how carefully payroll was set up initially, rather than how consistently it has been reviewed since. Businesses using outsourced payroll providers reported lower confidence (83 per cent) than those managing payroll internally (93 per cent), and pressure points tend to emerge as businesses grow past 10 to 20 employees, when payroll complexity increases faster than processes can keep pace.

Roussety said the root cause is rarely...



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