SOURCE: American Payroll Association

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October 05, 2009 11:56 ET

More Employees Want to Be Paid Electronically

SAN ANTONIO, TX--(Marketwire - October 5, 2009) - More employees favor electronic payments over traditional paychecks than in 2008, according to results from the recent "Getting Paid In America" survey. The survey, conducted by the American Payroll Association, showed that ninety-two percent of employees are paid by either direct deposit or paycard, up two percent in just one year.

"There are many benefits to more automated payroll technologies," said Keith Strodtman, executive vice president and general manager, Ceridian HRO & Multinational Solutions. "Both direct deposit and payroll card technologies make use of enhanced security features, and both are cost effective, convenient, flexible and environmentally friendly green technologies."

Electronic payments also pave the way for more environmentally friendly payroll options. The process, known as "paperless payroll," allows companies to virtually eliminate paper by giving employees access to their paystub and other payroll data through an online portal.

Of those paid by direct deposit or paycard, more workers would rather not even get a paper paystub. About 68 percent of respondents said they would rather view their pay online, up five percent over 2008.

"Streamlining payroll systems with paperless programs benefits all stakeholders including employees, employers and the environment," said Laura Kelly, senior vice president Global Prepaid Management and Development, MasterCard Worldwide. "Direct deposit and prepaid payroll cards offer businesses a way to cost-effectively and efficiently pay their employees and also provide employees with the ability to immediately access their funds in a safe and secure manner without wasting time -- or money -- on check cashing or depositing."

The "Getting Paid In America" survey asked "How do you receive your pay?" Ninety-two percent indicated either direct deposit or paycard with the remaining eight percent being paid by paper paycheck.

The survey also asked "How would you feel if your company no longer gave you a paper pay statement but instead provided a breakdown of your paycheck through an online portal?" Sixty-eight percent responded either "would like it" or "my company already does it and I like it." An additional 23 percent were open to paperless payroll, responding that it "wouldn't matter." Only 10 percent said they would not like such a program.

The "Getting Paid In America" survey is part of National Payroll Week, founded by the American Payroll Association. For complete survey results, visit www.nationalpayrollweek.com.

The APA is the professional society for payroll management. Visit APA at www.americanpayroll.org.

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