Assessing the Benefits and Challenges of Robotic Process Automation in Payroll Automation for Retail Organizations

This study examined the implementation of Robotic Process Automation (RPA) in payroll management within the Compensation and Benefits Division of a large retail organization in the Philippines. It aimed to determine the perceived benefits, challenges, and implementation issues of RPA from the perspective of employees directly involved in payroll operations. A descriptive-quantitative research design was used, involving 17 purposively selected respondents who answered a validated 4-point Likert scale questionnaire covering efficiency, cost savings, compliance, employee satisfaction, resistance to change, skills gap, system integration, and job security concerns. Findings show that RPA significantly improves payroll operations, particularly in reducing processing time, increasing consistency, and enhancing overall efficiency. Employees strongly recognize faster payroll completion as the most important benefit, along with improved workflow standardization. Cost efficiency and error reduction are also positively perceived, although broader financial outcomes such as return on investment are rated more moderately. Regulatory compliance and employee satisfaction are generally positive, with respondents noting improved work environments and reduced stress levels. Resistance to change is low, supported by clear communication and leadership alignment, while job security concerns are minimal, indicating strong employee confidence in automation adoption. However, the study identifies skills gaps and system integration as key challenges, particularly the need for continuous training and infrastructure improvement. The findings suggest that RPA enhances payroll performance, but sustained success depends on ongoing capability development and system support.