Here's why delaying HRIS platform modernization leads to service disruptions, budget strains, and workforce instability.
Article Highlights
- The Workforce Crisis Facing City Managers
- The Hidden Costs of Outdated HRIS Platforms in Government
- A Smarter, More Efficient Approach: Modernizing HR Operations
- The Future-Proof Workforce: Where Should City Managers Invest?
- Overcoming the Barriers to HR Modernization
The Workforce Crisis Facing City Managers
City management is a balancing act. In your role, you oversee critical services, manage tight budgets, and ensure compliance with ever-evolving regulations. And typically, your outdated systems for managing all of this important employee information platforms aren’t helping.
Paper-based processes and fragmented HRIS (human resources information system) tools slow down hiring, create payroll headaches, and leave both employees and candidates frustrated.
The result? High turnover as employees seek better-managed workplaces and workforce gaps that delay essential services—not to mention budget overruns from continuous system inefficiencies.
Investing in a modern HRIS platform designed specifically for the public sector is definitely a technology upgrade—but doing this now is strategic. If you want to slow turnover and increase retention, secure operational stability for your agency, and improve compliance with shifting regulations, opting into a system like this is the best decision you can make. Here’s why.
The Hidden Costs of Outdated HRIS Platforms in Government
Service Disruptions Due to Workforce Gaps
From public safety to sanitation, cities rely on fully staffed teams to keep operations running—so it would make sense to ensure hiring processes are as smooth and efficient as possible. Yet, many government agencies still rely on paper or disjointed, outdated programs to fill roles, leaving vacancies open for months.
The Problem: If you’re a city manager, you already know. Problems that delay new hires from stepping into critical roles include:
- Manually processing job applications
- Duplicating data entry between disjointed systems
- Relying on disconnected hiring workflows
The longer a position remains vacant, the more strain it places on current employees, increasing the risk of burnout, turnover, and service degradation.
The Fix: A human resources information system that automates hiring workflows, centralizes applicant data, and accelerates the onboarding process, reducing vacancy times and service disruptions. With automated candidate tracking and electronic document management, HR teams can focus on finding the right talent rather than getting bogged down in administrative inefficiencies—even for complex, government roles.
Budget Drain from Inefficient HR Administration
Every aspect of manual HR administration—payroll errors, redundant data entry, and compliance missteps—adds unnecessary costs and inefficiencies to city operations.
The Problem: Payroll processing mistakes, such as miscalculations and late payments, lead to financial discrepancies and employee dissatisfaction. The issue here is that when employees receive incorrect or delayed paychecks, it affects their financial stability, reduces trust in the city administration, and can lead to grievances or even legal disputes—as well as employee turnover.
Manual data entry increases the risk of duplicate records and plain incorrect information. That means HR teams must spend time correcting errors instead of focusing on strategic and organizational initiatives.
Meanwhile, compliance tracking requires constant monitoring, and without automation, cities risk costly penalties for missing deadlines or misreporting labor data. Non-compliance with labor laws, union agreements, or tax regulations can result in hefty fines, legal challenges, and reputational damage.
The Fix: A modern HRIS platform keeps data consistent across categories and automates payroll and compliance tracking. Centralized digital record-keeping minimizes redundancy and errors, while automated payroll helps make sure employees receive accurate paychecks on time, every time.
Additionally, built-in compliance tools continuously monitor labor laws, union agreements, and tax regulations, helping cities avoid fines and legal risks while maintaining operational efficiency.
Employee Turnover and Low Morale
Top talent and high-performing employees expect modern HR tools that streamline their work experience. If your agency is using an outdated, cumbersome HRIS, you’re directly contributing to employee frustration, burnout, and turnover.
The Problem: When employees struggle with outdated portals (or worse, paper processes) to access pay stubs, request leave, or update their benefits, they experience higher levels of dissatisfaction. A lack of transparency in HR processes can also erode trust, making it harder for agencies to retain top talent.
The Fix: A modern HRIS platform provides self-service tools, empowering employees to manage their information effortlessly, increasing satisfaction and retention. Features like automated benefits management and digital employee records improve accessibility and give employees more confidence in the efficiency and reliability of their workplace.
A Smarter, More Efficient Approach: Modernizing HR Operations
Consolidating HR Data in One Central System
Even when cities have modern software solutions for HR processes, many use separate systems for payroll, benefits, and employee records.
The Problem: This creates data silos and inefficiencies. HR teams must waste time duplicating data entry efforts into multiple systems and reconciling inconsistent records when errors inevitably occur. These errors are time consuming, but they can also lead to compliance risks, which have stronger repercussions for City Managers and their teams.
The Fix: A centralized HRIS platform is an all-in-one solution for payroll, benefits, records, and the entire employee lifecycle. These software solutions keep workforce data all in one place, improving accuracy, reducing redundancies, and streamlining all your HR operations.
With a single source of truth, HR teams can manage employee records more effectively, ensuring all departments have access to the same, up-to-date information and reducing compliance risks.
Automating Payroll & Compliance to Avoid Costly Errors
Payroll issues don’t just cause frustration—they expose cities to financial and legal risks as well as increased employee turnover.
The Problem: Delayed paychecks, incorrect deductions, and compliance errors create grievances and potential penalties. Payroll mistakes can also lead to employee dissatisfaction, negatively impacting workplace morale and engagement.
The Fix: Automated payroll systems deliver timely and accurate payments, while built-in compliance tools keep up with labor laws, union contracts, and tax regulations. This type of payroll processing also reduces administrative burden on HR teams, so they can focus on strategic workforce planning and other organizational initiatives rather than correcting avoidable mistakes.
Streamlining Hiring and Retention with Self-Service Tools
A long, complicated hiring process can turn away top candidates before they even start.
The Problem: Manual onboarding processes, excessive paperwork, and limited access to personal HR data discourage new hires and overburden HR teams. This isn’t a small issue. A poor onboarding experience can set the tone for an employee’s entire tenure, increasing the likelihood of early turnover from the very beginning.
The Fix: HRIS self-service portals allow employees to complete onboarding digitally, update personal details, and access HR resources without needing to get in touch with HR at all. This reduces the administrative workload on HR teams, and it also empowers new employees, helping them feel confident and secure in their new role.
This type of HRIS platform also improves retention by providing a convenient way for employees to access and engage with their pay and benefit details, including desktop and mobile-friendly HR tools.
The Future-Proof Workforce: Where Should City Managers Invest?
Cloud-Based HR Systems for Greater Flexibility
City governments need adaptable systems that scale with workforce needs and budget constraints.
Why It Matters: A cloud-based HRIS eliminates expensive IT maintenance, enables real-time updates across departments, and supports seamless operations—even during emergencies or budget freezes. With a cloud-based system, cities can also benefit from increased security, enhanced data protection, and compliance support.
Timekeeping & Payroll Analytics for Better Decision-Making
HR analytics provide the insights needed to optimize staffing, predict shortages, and track labor costs.
Why It Matters: With an HRIS platform developed for government use, City Managers have workforce data at their fingertips. This helps them make informed decisions, control overtime costs, and keep departments fully staffed. Analytics can also move City Planners from being reactive to proactive in their workforce planning, allowing them to anticipate future hiring needs.
Overcoming the Barriers to HR Modernization
Addressing Budget Constraints
Budget concerns often delay technology investments, even when the inefficiencies cost more in the long run.
The Solution: While the initial investment in a modern HRIS platform may seem high, the cost of staying with an outdated system is even higher. Consider the ongoing costs of correcting errors and duplicating work efforts—not to mention finding, hiring, and training new employees when the old ones experience burnout and leave.
Automating HR functions reduces long-term costs by eliminating errors, streamlining compliance, and optimizing workforce management. A well-planned HRIS implementation will demonstrate clear ROI, making it easier to secure budget approvals for HR technology upgrades.
Making Implementation Seamless
It’s true—change management can be daunting. But with an HRIS platform designed specifically for government operations, modernizing doesn’t have to disrupt daily operations.
The Solution: To avoid stress and downtime, do a phased rollout with comprehensive training and vendor support. Providing ongoing guidance will help both employees and HR teams maximize the benefits of the new system without confusion or hardship.
The Time to Act is Now
Delaying HR modernization is a major inconvenience, but that’s not the biggest issue. Sticking with an outdated system poses a considerable risk to your city’s workforce stability, data security, financial health, and service delivery—and that’s not worth it.
It’s simple: City Managers who embrace HR technology will see reduced costs, smoother operations, and a more engaged workforce. Invest in a purpose-built government human resource information system to solve the challenges you face today and prepare your city for the workforce challenges of tomorrow.
Is Your City Ready for a Future-Proof HR Strategy?
Learn how NEOGOV’s HRIS solution can help reduce costs, improve efficiency and compliance, and enhance employee satisfaction.
