Global payroll, compliance, and tax news: December round-up

The end of the year is typically a rather quiet period in terms of legal updates and regulatory changes. However, that doesn’t mean that the wheels of global compliance come to a standstill nor that there is no breaking news about corporations being fined millions of dollars for non-compliant payroll practices.

Here’s our monthly news round-up covering important developments and regulatory changes affecting global payroll, paired with the latest headlines from the business world about payroll penalties and some fresh resources and interesting reads.

Disney to pay $233m in minimum wage lawsuit

Disney has agreed to a USD 233 million settlement to resolve a class-action lawsuit involving over 50,000 current and former Disneyland employees. Disney allegedly failed to comply with Measure L, a local minimum wage law in Anaheim, California, which was enacted in 2018 and required certain hospitality businesses to pay workers at least USD 15 per hour, with subsequent increases tied to inflation. A California state judge is scheduled to review the settlement in January.

Read more here.

Australian supermarket chain Coles to repay $1.5m for long-service leave discrepancies

Coles, an Australian supermarket chain, will repay AUD 1.5 million to over 10,000 employees after an investigation found long-service leave underpayments due to miscalculations of ordinary pay. The investigation was conducted by the NSW Industrial Relations Inspectorate and revealed that Coles had been overlooking allowances and bonuses which led to discrepancies in long-service leave payments. The remediation amount will reach up to AUD 8,100 per person.

Read more here.

EMEA: UK government tightens sanctions on employers exploiting foreign workers

The UK government has announced stricter measures against employers who violate visa regulations or exploit foreign workers. Businesses found guilty of serious offenses, such as underpaying staff or breaching visa rules, will face a ban on hiring overseas workers for at least two years, hence doubling the current maximum penalty of 12 months. Additionally, action plans for employers committing minor infractions will be extended from three to twelve months to ensure sustained compliance.

Read more here.

North America: IRS announces 2025 mileage rates and vehicle valuation limits

The Internal Revenue Service (IRS) has announced adjustments to mileage reimbursement rates and vehicle valuation thresholds for 2025. The standard business mileage rate will increase to 70 cents per mile—up from 67 cents in 2024. The rate for medical and moving purposes remains unchanged at 21 cents per mile. The charitable rate, set by law, meanwhile stays at 14 cents per mile. Additionally, the maximum fair market value for employer-provided vehicles eligible for the fleet-average and vehicle cents-per-mile valuation rules is set at $61,200 for 2025, a slight decrease from $62,000 in 2024.

Read more here.

LATAM: Colombia announces tax value unit for 2025

Colombia's tax authority, DIAN, has set the tax value unit (UVT) for 2025 at COP 49,799—up from COP 47,065 in 2024. The UVT, adjusted annually based on the retail price index, standardizes tax calculations, affecting penalties, individual income tax brackets, and transfer pricing documentation thresholds.

Read more here.

APAC: Australia enacts 15% global and domestic minimum tax legislation

Australia has enacted legislation to implement a 15% global minimum tax and a domestic minimum tax (DMT), aligning with the OECD/G20 Pillar Two framework. The Income Inclusion Rule (IIR) and DMT will apply to fiscal years starting on or after January 1, 2024, with the Undertaxed Profits Rule (UTPR) effective from January 1, 2025. These measures aim to ensure that large multinational enterprises pay a minimum level of tax on the income arising in each jurisdiction where they operate.

Read more here.

Effective January 1, 2025, Belgium will implement new minimum gross salary thresholds for work permits and single permits for non-European Economic Area (EEA) nationals. These thresholds vary by region and employee category. Here is an overview of the new thresholds for the Brussels, Walloon, and Flemish regions.

Brussels region:

• Highly qualified staff: €3,703.44 per month

• Executive staff: €6,647.20 per month

• European Blue Card holders: €4,748 per month

Walloon region:

• Highly qualified staff under 30 years: €41,290 per year

• Highly qualified staff 30 years and above: €51,613 per year

• Executive staff: €86,110 per year

• European Blue Card holders: €66,738 per year

Flemish region:

• Highly qualified staff under 30 years: €39,129.60 per year

• Highly qualified staff 30 years and above: €48,912 per year

• Executive staff: €78,259 per year

• European Blue Card holders: €63,586 per year

Read more here.

Payroll Guide

The Complete Payroll Guide for Belgium

Read more

Canada: Registration for Digital Services Tax Act until January 31, 2025

Businesses subject to Canada's Digital Services Tax Act (DSTA) must register by January 31, 2025. The DSTA imposes a 3% tax on certain digital services revenues earned in Canada by large businesses. Affected entities should ensure timely registration to comply with the upcoming deadline.

Read more here.

With the current payroll talent shortage, there are plenty of exciting opportunities for payroll professionals. Here is an overview of some current payroll and compliance job openings.

International Payroll Manager, EMEA & APAC - Lawson Chase

Lawson Chase is looking for an International Payroll Manager for one of their clients, a global consulting firm. The key duty is to oversee payroll operations across 11 countries in the EMEA and APAC regions. The role is London-based and involves ensuring payroll accuracy, compliance, and process improvements, with a focus on automation. The position offers a high degree of autonomy and includes managing a team of two, collaborating with US-based operations, and supporting potential expansion into new jurisdictions.

Find more details here.

Global Payroll Lead - abrdn

abrdn is seeking a Global Payroll Lead to manage payroll operations across multiple regions, ensuring compliance, accuracy, and continuous improvement. Reporting to the Head of Global Payroll, the role involves engaging stakeholders, enhancing governance, managing risks, and driving payroll performance metrics. Ideal candidates will have global payroll experience, expertise in Workday (especially UK payroll), strong analytical skills, and the ability to collaborate across diverse teams. The position is advertised for the London area.

Find more details here.

Global Payroll Lead - Rippling

Rippling is hiring a Payroll Support Lead for Germany in a fully remote role. This position focuses on assisting customers with payroll-related issues, leveraging Rippling’s products, and acting as a subject matter expert for German payroll. Key responsibilities include resolving customer issues, documenting product nuances, training global support teams, and collaborating with Product and Engineering to improve features.

Find more details here.

Payroll Specialist, Sweden - GoGlobal

GoGlobal is looking for a Payroll Specialist to lead the transition from outsourced to in-house payroll operations in Sweden. This remote role involves managing end-to-end payroll processes, ensuring compliance with local legal requirements and Collective Bargaining Agreements (CBAs), and maintaining accurate employee data. Key responsibilities include liaising with local authorities for necessary filings, generating payslips, addressing employee inquiries, and supporting HR operations.

Find more details here.

Global Payroll Manager - Turo

Turo is hiring a Global Payroll Manager to oversee global payroll operations, reporting to the Director of Finance Transformation. This role involves managing U.S. multi-state payroll for 900 employees using ADP WorkforceNow, overseeing outsourced international payroll in Canada, Europe, and Australia, and ensuring compliance with tax laws and SOX regulations. Key responsibilities include payroll processing, vendor management, audit support, and developing policies for process improvement.

Find more details here.

Payroll is all about facts and numbers. Here are some interesting facts and statistics from the global payroll space.

• The global HR payroll software market share is expected to reach $55.69 billion by 2031. (Source: newswires)

• 32% of organizations report that it takes two or more pay cycles to correct payroll mistakes, underscoring the need for efficient payroll processes. (Source: ADP)

• More than half of the companies (53%) surveyed in a new study have incurred payroll penalties in the last five years due to non-compliance. (Source: Alight)

GPA Payroll Summit in London

The GPA Payroll Summit 2025 is scheduled for Thursday, March 6, 2025, in London. This event aims to provide Payroll and HR professionals with essential insights to enhance the efficiency of their UK, in-country, or global payroll operations. Expert-led sessions will address challenges anticipated in 2025 and beyond, covering topics such as UK employment law updates, holiday pay compliance, global mobility, EU pay transparency, and the integration of artificial intelligence in payroll.

Read more here.

CIPP Payroll Live South in London

Payroll Live is a free event organized by the Chartered Institute of Payroll Professionals (CIPP) aimed at payroll professionals seeking to enhance their knowledge and skills. Following the success of the first event in 2024, CIPP plans to host two Payroll Live events in 2025, one in the North and one in the South of the UK.

Both events will feature networking opportunities, insightful sessions, and expert speakers, catering to both newcomers and seasoned professionals in the payroll industry. The Payroll Live South event will take place in London on March 5, 2025.

Read more here.

Lano Blog

Top payroll conferences and congresses to attend in 2025

Read more

Ian Giles on the future of payroll and trends to watch in 2025

In an inspiring new piece published on LinkedIn, Ian Giles, Global Payroll Strategist & Advisor, explores key trends that are set to impact payroll in 2025. From AI-driven payroll insights to on-demand pay to biometric payroll authentication, the article covers many highly relevant developments global payroll professionals should have on their radar for the upcoming year.

Read the full article here.

Payroll & Pastries: insightful payroll newsletter (pastry recommendation included)

In his weekly Payroll & Pastries newsletter, payroll influencer Russell Webb provides a detailed round-up of payroll, HR, and finance news. In the latest edition, he not only shares a delicious pastry recommendation, but also walks his readers through upcoming payroll events, interesting business news, and insights from the payroll industry.

Read the full newsletter here.

PayrollBADIes: payroll & tech news podcast with a strong focus on SAP

Not all things payroll have to be serious. #PayrollBADIes is a movement dedicated to delivering insightful content to make the complexities of payroll and HR tech entertaining and relatable. In their podcast of the same name, they engage in lively discussions about SAP-payroll and related topics. The latest episode celebrates payroll heroes and provides insights on SAP SuccessFactors innovations and the threats of ransomware in the payroll industry.

Listen to the latest podcast episode on YouTube.

Have you recently written or read a great article or discovered another great resource we should know about? Write to us and we will include you in our next Global Payroll and Compliance News Update.

Wishing you all a great start to the new year!