Onboarding is the structured process of bringing a new employee into the organisation - introducing them to their role, team, systems and culture, and completing the administrative steps needed to employ them properly. It is sometimes called induction, particularly for the initial orientation activities.
What it means
Good onboarding extends well beyond a first-day welcome; it typically runs over the first weeks or months and is designed to get a new hire productive and engaged faster. Administratively, it includes capturing the employee's details, contract, banking information and tax documentation so every downstream system, including payroll, has what it needs.
Where it fits in
Payroll cannot run correctly for a new employee until onboarding has captured the basics - start date, pay structure, banking details and tax reference number. Take-on values matter too if the hire starts mid tax year, so the year-to-date figures carry over correctly.
Key rules
- The structured process of integrating a new hire into the role and organisation.
- Runs over the first weeks or months, not just the first day.
- Must capture the data payroll needs before the first pay run.
- Mid-year hires need take-on values captured so YTD figures are correct.