Dublin, June 18, 2025 (GLOBE NEWSWIRE) — The “HR Payroll Software Market Opportunities and Strategies to 2034” report has been added to ResearchAndMarkets.com’s offering.
This report describes and explains the HR payroll software market and covers 2019-2024, termed the historic period, and 2024-2029, 2034F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.
The global HR payroll software market reached a value of nearly $35.26 billion in 2024, having grown at a compound annual growth rate (CAGR) of 11.23% since 2019. The market is expected to grow from $35.26 billion in 2024 to $57.79 billion in 2029 at a rate of 10.38%. The market is then expected to grow at a CAGR of 9.67% from 2029 and reach $91.69 billion in 2034.
Growth in the historic period resulted from the growing adoption of cloud-based solutions, rising demand for automation in HR processes, growth in small and medium enterprises and increasing emphasis on data security. Factors that negatively affected growth in the historic period were ethical AI challenges and client budget constraints. Going forward, the rising workforce, shift towards digital transformation, surge in remote and hybrid work models and government initiative for effective employee records management will drive the growth. Factor that could hinder the growth of the HR payroll software market in the future include cybersecurity threats and limited availability of skilled HR professionals.
North America was the largest region in the HR payroll software market, accounting for 36.28% or $12.79 billion of the total in 2024. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the HR payroll software market will be Asia-Pacific and North America where growth will be at CAGRs of 12.15% and 10.53% respectively. These will be followed by Eastern Europe and South America where the markets are expected to grow at CAGRs of 9.76% and 9.38% respectively.
The global HR payroll software market is fairly fragmented, with a large number of small players operating in the market. The top ten competitors in the market made up to 10.03% of the total market in 2023. Oracle HCM Cloud was the largest competitor with a 1.75% share of the market, followed by SAP SE with 1.38%, Automatic Data Processing Inc. (ADP) with 1.23%, Sage plc with 1.21%, Paychex Inc with 1.16%, UKG (Ultimate Kronos Group) with 1.15%, Paycom Software Inc with 0.79%, Deel Inc with 0.49%, Epicor Software Corporation with 0.47% and Ceridian HCM Holding Inc with 0.41%.
The HR payroll software market is segmented by component into software and services. The software market was the largest segment of the HR payroll software market segmented by component, accounting for 60.88% or $21.47 billion of the total in 2024. Going forward, the services segment is expected to be the fastest growing segment in the HR payroll software market segmented by component, at a CAGR of 11.71% during 2024-2029.
The HR payroll software market is segmented by deployment mode into cloud and on-premises. The on-premises market was the largest segment of the HR payroll software market segmented by deployment mode, accounting for 54.84% or $19.33 billion of the total in 2024. Going forward, the cloud segment is expected to be the fastest growing segment in the HR payroll software market segmented by deployment mode, at a CAGR of 12.91% during 2024-2029.
The HR payroll software market is segmented by application into payroll, benefits, tax filings and employee records. The payroll market was the largest segment of the HR payroll software market segmented by application, accounting for 42.35% or $14.93 billion of the total in 2024. Going forward, the payroll segment is expected to be the fastest growing segment in the HR payroll software market segmented by application, at a CAGR of 10.64% during 2024-2029.
The HR payroll software market is segmented by organization size into large enterprises and small and medium-sized enterprises. The large enterprises market was the largest segment of the HR payroll software market segmented by organization size, accounting for 61.48% or $21.68 billion of the total in 2024. Going forward, the small and medium-sized enterprises segment is expected to be the fastest growing segment in the HR payroll software market segmented by organization size, at a CAGR of 13.18% during 2024-2029.
The HR payroll software market is segmented by industry vertical into banking, financial services and insurance (BFSI), retail, manufacturing, transportation and logistics, information technology (IT) And telecom, healthcare and other industry verticals. The banking, financial services and insurance (BFSI) market was the largest segment of the HR payroll software market segmented by industry vertical, accounting for 21.53% or $7.59 billion of the total in 2024. Going forward, the healthcare segment is expected to be the fastest growing segment in the HR payroll software market segmented by industry vertical, at a CAGR of 14.23% during 2024-2029.
The top opportunities in the HR payroll software market segmented by component will arise in the software segment, which will gain $12.33 billion of global annual sales by 2029. The top opportunities in the HR payroll software market segmented by deployment mode will arise in the cloud segment, which will gain $13.3 billion of global annual sales by 2029. The top opportunities in the HR payroll software market segmented by organization size will arise in the small and medium-sized enterprises segment, which will gain $11.64 billion of global annual sales by 2029. The top opportunities in the HR payroll software market segmented by application will arise in the payroll segment, which will gain $9.82 billion of global annual sales by 2029. The top opportunities in the HR payroll software market segmented by industry vertical will arise in the information technology and telecom segment, which will gain $4.95 billion of global annual sales by 2029. The HR payroll software market size will gain the most in the USA at $7.32 billion.
Market-trend-based strategies for the HR payroll software market include focus on real-time HR and payroll data sharing platform for better coordination, focus on transforming payroll management with integrated technology, focus on revolutionizing payroll and HR with AI-powered innovation, focus on empowering remote access and strategic insights in payroll operations with AI and data analytics, focus on transforming payroll with automated data flows and e-verification and focus on next-generation human resources platform for the modern workforce. Player-adopted strategies in the HR payroll software market include focus on expanding business capabilities through innovative product launch.
Major Market Trends
- Real-Time HR and Payroll Data Sharing Platform for Better Coordination
- Transforming Payroll Management with Integrated Technology
- Revolutionizing Payroll and HR with AI-Powered Innovation
- Empowering Remote Access and Strategic Insights in Payroll Operations with AI and Data Analytics
- Transforming Payroll with Automated Data Flows and E-Verification
- Next-Generation Human Resources Platform for the Modern Workforce
Key Mergers and Acquisitions
- Deel Acquired Safeguard Global
- Ascentium Acquired Links International
- Zellis Acquires Elementsuite
- Employment Hero Acquired Humi
- Salure Acquired BvB Group
Recent Developments in HR Payroll Software
- Next-Generation Payroll Software for Smarter Workflows
- Revolutionizing Workforce Management with an All-in-One Platform
- Boost Workforce Management with Automated HR Solutions
- Streamlined Payroll Management with Expert Tax Advisor Integration
- Enhancing Business Efficiency with Smart Payroll Solutions
Markets Covered:
- Component: Software; Services
- Deployment Mode: Cloud; on-Premises
- Organization Size: Large Enterprises; Small and Medium-Sized Enterprises
- Application: Payroll; Benefits; Tax Filings; Employee Records
- Industry Vertical: Banking Financial Services and Insurance; Retail; Manufacturing; Transportation and Logistics; Information Technology and Telecom; Healthcare; Other Industry Verticals
Key Companies Profiled:
- Oracle HCM Cloud
- SAP SE
- Automatic Data Processing Inc. (ADP)
- Sage plc
- Paychex Inc.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 336 |
| Forecast Period | 2024 – 2034 |
| Estimated Market Value (USD) in 2024 | $35.26 Billion |
| Forecasted Market Value (USD) by 2034 | $91.69 Billion |
| Compound Annual Growth Rate | 10.0% |
| Regions Covered | Global |
Companies Featured
- Oracle HCM Cloud
- SAP SE
- Automatic Data Processing Inc. (ADP)
- Sage plc
- Paychex Inc.
- UKG (Ultimate Kronos Group)
- Paycom Software Inc
- Deel Inc.
- Epicor Software Corporation
- Ceridian HCM Holding Inc
- Rippling
- Darwinbox Digital Solutions Pvt. Ltd
- Ramco Systems Limited
- Pocket HRMS
- Kereta Cepat Indonesia China
- Path SAS
- Payboy
- Zoho Corporation Pvt Ltd
- Keka Inc
- Greytip Software Pvt Ltd
- HRMantra Software Pvt Ltd
- Kredily
- Paybooks Inc
- SumoPayroll
- China Banking Corporation
- People Technology (International) Limited
- BridgeBuilder HRMS FlexSystem
- Take5 People
- Sapience Pro
- Ataway Inc
- Workday
- Zebec Protocol
- Works Human Intelligence Co Ltd
- Kizuna Japan
- ProWorks Group
- NSR GROUP
- TMON Inc
- HR Solutions & Partners (HRSNP)
- HRnetOne
- SD Worx NV
- VEDA GmbH
- F2A S.r.l
- Ciphr Ltd
- Zellis Group
- Hi Bob, Limited
- Cezanne HR
- Immedis Limited
- The Access Group Ltd
- Alfa Software s.r.o
- Worklio Inc
- TribePerk sp. z o. o
- Romanian Software SRL
- OKsystem
- Comarch
- Asseco
- Master HR
- Edison Partners
- Fingercheck
- Apploi
- Empeon
- IN-RGY
- Worky
- Payworks
- Humi
- ADP
- Rippling Canada
- PayEvo
- Somapay
- Bridge Social
- Neeyamo
- Skuad
- Black Mountain HR
- Infor
- peopleHum
- Mercans
- KCP Dynamics
- Cercli
- Zoho
- DelicateSoft
- HiBob
- Bayzat
- gulfHR
- greytHR
- EasyHR
- Yomly
- Zimyo
- DOTS HR
- Jisr HR
- PaySpace
- SeamlessHR
- PayDay
- SimplePay
- Sage
- WebHR
- XIPHIAS
- Lenvica HRMS
- NotchHR
For more information about this report visit https://www.researchandmarkets.com/r/5zajhe
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- HR Payroll Software Market
