Grady Health System, an Atlanta-based health care system with 6,000 employees, needed to quickly eliminate manual labor in the payroll department to cover lost resources. By implementing an electronic paystub solution, Grady Health saved labor equivalent to 2 FTEs working 2 full days per pay cycle. By including automated W-4 updates and direct deposit updates, Grady Health eliminated an additional 1 FTE working 2 days per pay cycle and 1 FTE working ½ day per pay cycle. In addition to these labor savings totaling 52 hours of work per pay cycle, Grady Health saved $22 per employee in paystub printing costs and boosted direct deposit participation from 83% to 93%.

Grady Health’s Assistant Controller discusses the implementation steps for the paperless pay project, including file development process, communications, recruiting departments for the pre-rollout pilot, value of word-of-mouth among employees during the pilot, and management response to the project.

Many legal changes have occurred in recent years that improve the environment for employers who wish to provide paperless pay services to their employees. A TALX legal expert discusses recent legal and regulatory developments on the state and federal level in key paperless pay subjects including paycards, access requirements for electronic paystubs, mandating direct deposit for existing employees versus new hires, and mandating electronic paystubs.