A recent BBC investigation has revealed a concerning rise in payroll errors across the NHS. The findings, based on a Freedom of Information request sent to almost every NHS trust in the UK, found that staff were overpaid nearly 50,000 times in 2024-2025, with a record number of staff contacted by debt collectors.
Many of those affected only found out about overpayments when formal letters or court notices arrived. The pay errors have had an impact on the emotional and financial wellbeing of staff, while also damaging the reputation of the NHS trusts concerned, reminding employers everywhere that payroll is one of the most sensitive touchpoints in the employee experience.
The good news is that there is another side to this story. While the headlines show what happens when payroll processes fail, they also highlight the opportunity for organisations to rethink how they approach pay. Where success in payroll was defined by a single outcome, namely paying people accurately and on time, it no longer tells the full story. Today, pay can be a strategic advantage. When pay is clear, predictable and easy for employees to understand, it strengthens trust, supports wellbeing and improves overall confidence in the organisation.
This shift is already happening across the public sector. Employees now expect the same transparency from their payslip that they receive when tracking a parcel, checking a bank balance, or managing accounts online. Pay has become part of the wider employee experience, not simply a monthly outcome, and organisations that recognise this early are already seeing the benefits.
Accuracy is now only the starting point
At Zellis, we speak to public sector customers who understand the risks of payroll errors but also see the opportunity in transforming how pay is delivered. Getting payroll right is the minimum requirement. What drives value today is clarity, consistent communication and the confidence that employees will never be surprised by their pay.
This expectation has arrived at a time when payroll complexity is increasing. Regulations intersect and evolve. Statutory pay, pensions, salary sacrifice, minimum wage rules, real time reporting and payrolling of benefits all interact in ways that create pressure on payroll teams. Small adjustments can have unintended consequences elsewhere, making manual checks harder and raising the stakes for accuracy.
That is why we continue to invest in automation, real time validation and embedded legislative updates. By reducing manual intervention and improving visibility, payroll teams can focus on insight rather than correction. The goal is fewer errors, earlier awareness and more time to deliver a reliable, predictable experience.
Real time pay and reliable reporting are becoming essential
Real time payroll is a crucial part of this evolution. Continuous calculation gives teams visibility throughout the cycle rather than relying on a single deadline. It supports better decision making, highlights issues sooner and ensures pay reflects the most accurate and current information available.
Reliable reporting is equally important. Even when organisations have large volumes of payroll data, it is not always presented in a way that supports confident decisions. When reporting depends on manual reconciliations or retrospective fixes, finance and HR leaders lose clarity. Decision-ready data is essential for budgeting, forecasting and workforce planning.
Payroll teams deserve systems that support this level of visibility and assurance. Employees deserve clarity, not surprises. Leaders deserve data that enables strong governance and forward planning.
The NHS story is a clear example of what happens when systems lag behind expectations. But it also highlights what organisations can gain when payroll is proactive, transparent and strategically managed. At Zellis, we believe pay should be reliable, clear and capable of strengthening every part of the employee experience. When payroll accuracy and clarity come together, they form the basis of stronger relationships and better organisational performance.
What’s next for public sector pay?
Today, pay is about confidence, clarity and support – for employees and payroll teams alike. Organisations that invest in real-time capability, intelligent automation and financial wellbeing are better positioned to reduce risk, improve experience and turn pay into a genuine strategic advantage.
