Modulr, a UK-based payments automation platform, has partnered with HiBob, an HR, finance, and payroll solution provider, to integrate automated payment processing directly into HiBob’s workflow for executing salary and HMRC payments.

This integration simplifies the process by automating file exports, eliminating the need for separate bank portal access, and reducing the complexity of cross-system reconciliation. The partnership targets scaling businesses and aims to enhance payment accuracy, operational efficiency, and reliability throughout the approval-to-payday cycle.

Addressing persistent payroll challenges

The UK continues to grapple with manual payroll processes, where up to 25% of UK employees report experiencing payroll errors. These issues often stem from fragmented, manually intensive payment workflows, impacting employer-employee trust and the timely delivery of salaries.

Incorporating Modulr’s automation within HiBob’s payroll environment streamlines the process, providing a single, connected flow covering approval, payment execution, and settlement without navigating through multiple systems.

According to Melek Pirgon, Chief Product Officer at Modulr, this partnership is aimed at reducing friction while boosting accuracy and reliability for finance and payroll teams. Pirgon highlighted that it addresses high-impact payment challenges faced by scaling businesses.

Bobby Chadha, Senior Product Director at HiBob, noted that customers are benefiting from the integration with significantly less time spent on payday tasks, resulting in more accurate and timely payments. Chadha emphasized the importance of a reliable payments infrastructure for maintaining trust between employers and employees.

This partnership underscores growing demand for integrated financial workflows within HR and payroll systems as businesses seek to simplify and reduce operational risk associated with pay day cycles. Modulr also recently partnered with FIS, joining their strategic collaboration to scale operations in the US through their Money Movement Hub, a cloud-native platform designed to integrate major payment networks via a single API.