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SAP Payroll Integration with Equifax

Automating Employment Verification and Document Delivery

Data Delivery Platform

Encryption protocols

ABAP

SAP HCM Payroll

Equifax platform

Controlled data extracts

Background

The organization needed a secure, automated connection between SAP HCM Payroll and Equifax’s employment verification platform, such as The Work Number.

Employees required self-service access to pay stubs, W-2s, and verification documents.

Maintaining compliance with privacy and consent regulations was critical when sharing sensitive employment and payroll data.

Business Problem

Manual processing of income verification requests, pay stub distribution, and W-2 delivery created significant workloads for HR teams and delayed responses for employees and third parties.

Slow, error-prone processes increased compliance risks around timely document delivery and consent management.

Developing a secure, automated data pipeline to transmit sensitive payroll and employment data periodically and on-demand.

Ensuring timely, accurate, and compliant handling of employment verifications, including real-time responses to Equifax requests with minimal manual intervention.

  • Developing outbound ABAP interfaces to extract detailed employee demographics, job information, and pay history, including gross/net earnings, taxes, and W-2 records.

  • Structuring outbound files according to Equifax’s strict data schema requirements for compatibility and compliance.

  • Implementing secure, encrypted data transmissions post-payroll and year-end cycles to protect sensitive information.

  • Handling inbound acknowledgments and status updates to confirm successful data ingestion or identify transmission issues.

  • Supporting controlled, consent-based real-time extraction of employment and income data in response to Equifax-initiated verification requests, with auditing capabilities to meet privacy regulations.

Challenges

Technical Challenges

Automating 401(k) Data Exchange with ABAP and SFTP Integration

Built ABAP interfaces and scheduled secure SFTP transfers to automate 401(k) data exchange with Fidelity. Inbound files were parsed using ABAP logic, and SAP Infotypes 0169 and 0378 were auto-updated to keep payroll data accurate.

  • Built ABAP programs to extract employee demographic details, job information, and detailed pay history post-payroll and year-end processing.

  • mplemented automated, encrypted data transmission to Equifax following their file format standards for security and compliance.

  • Designed logic for handling inbound acknowledgments and exceptions, enabling timely resolution of discrepancies.

  • Integrated real-time, consent-based data extraction capabilities to instantly fulfill Equifax-initiated verification requests.

Solutions

Solution

Results & Impact
  • Automated, secure delivery of payroll and employment records significantly reduced manual HR effort.

  • Provided employees with instant digital access to pay stubs, W-2s, and employment verification documents.

  • Enhanced accuracy and responsiveness for third-party verifiers, improving employee experience and supporting compliance.

Results & Impact
  • Automated, secure delivery of payroll and employment records significantly reduced manual HR effort.

  • Provided employees with instant digital access to pay stubs, W-2s, and employment verification documents.

  • Enhanced accuracy and responsiveness for third-party verifiers, improving employee experience and supporting compliance.

Conclusion

The integration automated secure data sharing with Equifax, reduced HR effort, and enabled fast, compliant employment verifications.

Overcame technology challenges

Automated and encrypted delivery of payroll data to Equifax reduced manual HR workload.

Improved operational efficiency

Strengthened compliance with privacy regulations through secure data handling and auditability.

Gained a competitive

Enabled real-time, consent-based verifications, improving access and response speed.

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