Single Touch Payroll, ready for Phase 2 and the Social Responsibility concerns.
- Brett Reed
- Jul 17, 2019
- 2 min read
Updated: Jan 27

With Single Touch Payroll now legislated for all Employers, no matter how big or small, this provides a valuable real-time data set on an unprecedented scale in Government.
STP Phase 1 was proof of concept. Phase 2 has many additional benefits but comes with an added social responsibility.
This expanded data set comes with a higher degree of risk that must be considered and mitigated as much as possible.
What does STP Phase 2 involve?
Phase 2 involves a WoG (Whole-Of-Government) approach, which includes Departments such as Services Australia (SA), the Department of Social Services (DSS), the Child Support Agency (CSA) and the Department of Veterans Affairs (DVA). Every government agency interested in data that can be sourced from payroll needs to put its hand up and consider what may be useful in assisting in streamlining their current outdated processes.
The primary objectives of Phase 2 are to consider what improvements can be made to the existing STP Phase 1 data and what is required to establish an "all-inclusive" baseline data set suitable for multiple Government agencies. The thinking has to be unconventional, looking at the big picture while building a future-proof structure.
Mitigate the risks with Assurance.
Most importantly, this expanded data set must be assured to a high level. The government is making decisions on numerous levels based on the data received, and we want that information to be as correct as possible.
Decisions being made by Government using the data sourced from Single Touch Payroll affect everybody; therefore, that data must have assurance.
These decisions will affect many people, down to a single individual; therefore, the data supplied must provide the same expected outcomes regardless of the source.
Single Touch Payroll is the front door to Government service reform, and the ATO holds the key.
I see Single Touch Payroll as a basic analogy; it is the front door to the ATO and other Government Departments reforming how they deliver key services to the community. What goes in that door ends up being assigned to rooms that others can move in and access. As the gatekeeper, the ATO holds the key and, therefore, is responsible for the integrity and security of the data reported.
It will be interesting to see if the ATO can maintain its grip on and effectively manage this game-changing opportunity.
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The evolution of STP into Phase 2 reflects a powerful shift in how governments collect and act on workforce data. Platforms like compass desktop dollar tree, which many employees rely on for day-to-day scheduling and payroll access, show how frontline tools play a key role in maintaining data accuracy before it reaches national systems like STP.