Last updated 23 September 2026.
Key takeaways
- Employment Hero supports around 350,000 businesses and between 2 and 2.5 million users globally, a figure that differs between its own sources, implying an average of roughly 6 to 7 users per customer. The company describes itself as a leading employment platform for small and medium-sized businesses.
- Worknice is built specifically for Australian organisations with 50-2,000 employees, and integrates with payroll systems (including Employment Hero Payroll, Xero, MYOB, MicrOpay and KeyPay) rather than bundling payroll itself.
- Employment Hero’s payroll engine is the product formerly known as KeyPay, and its learning module is delivered via a Go1 integration, a “frankensystem” architecture that locks mid-market buyers into specific payroll and LMS choices.
- Employment Hero pricing scales steeply as you add modules, while Worknice is priced from a $6,000 minimum annual agreement, billed annually, with an open integration layer so HR leaders can choose best-of-breed payroll, LMS, ATS and engagement tools.
- Multi-entity Australian businesses (multiple ABNs, multiple payroll files) typically have a smoother experience with an HRIS that integrates with their existing payroll than with an all-in-one platform that constrains the org chart, permissions and LMS to a single instance.
What’s the difference between Worknice and Employment Hero?
Worknice is a focused HRIS (the system of record for employee data, the org chart, lifecycle workflows, compliance, performance and reporting) that integrates with your existing payroll. Employment Hero is an all-in-one platform that bundles HR, its acquired payroll product (formerly KeyPay), and a marketplace of perks and add-ons under one subscription. That difference in scope is the most important thing to understand before comparing features. According to Employment Hero’s own October 2025 announcement, the company has reached A$300M ARR and supports around 350,000 businesses worldwide. Its user figure differs by source: the about page says 2.5 million active users, while its Capterra Australia listing says 2 million. Either way, that implies an average of roughly 6 to 7 users per customer. Note that active users are a subset of employees, so the true average headcount may be higher. Employment Hero’s own description is the clearest signal: it calls itself a leading employment platform for small and medium-sized businesses. Worknice, by contrast, is built around the assumption that the buyer already has payroll (Employment Hero Payroll, Xero, MYOB, KeyPay, MicrOpay, ADP or another vendor) and is looking for a focused HRIS that consolidates employee data and routes it cleanly into that payroll system. The two products solve different problems.Who is Employment Hero actually built for?
Employment Hero is built for small and medium businesses that want HR, payroll, perks and basic learning bundled into one subscription. Their published numbers (350,000 businesses, between 2 and 2.5 million users, A$300M ARR) imply an average customer of around 6 to 7 users. Their own words are more direct still: Employment Hero describes itself as a leading employment platform for small and medium-sized businesses. That doesn’t make Employment Hero a bad product. For a 5-person or 25-person business, an all-in-one platform that handles HR records, runs payroll, reports STP, distributes perks and offers light learning content via Go1 is genuinely useful. Adoption pressure is low because the team is small, the org chart is flat, and there’s usually a single ABN. The fit weakens as headcount and complexity grow. According to G2’s published Employment Hero reviews, common cons cited by users include “the volume of updates and the complexity of the support process,” a “steep learning curve,” lengthy implementations, and the platform feeling “overwhelming” once you’re using more than a couple of modules. These issues are real for small teams. For mid-market HR functions running 500-plus employees across multiple sites, they compound quickly.Who is Worknice built for?
Worknice is built for Australian organisations with 50-2,000 employees that have outgrown spreadsheets and basic SMB tools but don’t want, or need, an enterprise rollout like SAP SuccessFactors or Workday. The product is opinionated about HRIS scope, native to Australian compliance (Fair Work, modern awards, super, STP-aligned data), and designed to integrate with payroll rather than replace it. Typical Worknice customers run a real People function: an HRBP or two, an HRIS administrator, multiple sites or business units, distinct payroll entities, and a stack that already includes a payroll system, an ATS, an LMS, and an engagement tool. They want their HRIS to be the connective tissue across that stack, not the whole stack. If your company sits below 50 employees and you don’t have a separate payroll vendor yet, an all-in-one product is often the more pragmatic choice. Worknice doesn’t try to compete in that segment.How do Worknice and Employment Hero compare on HRIS core features?
Both platforms cover the core HRIS scope (employee records, onboarding, leave, document management, basic reporting), but the depth and architectural approach differ. Worknice prioritises HRIS depth (workflows, compliance, lifecycle change management, integrations) within a focused product. Employment Hero spreads its surface area across HR, payroll, learning and perks, with depth varying by module. A like-for-like view of the core HRIS scope:| Capability | Worknice | Employment Hero |
|---|---|---|
| Employee database & org chart | Native, lifecycle-aware | Native, single-instance per company |
| Onboarding workflows | Native, deeply customisable | Native, template-driven |
| Compliance (Fair Work, modern awards) | Built around Australian context | Australian context plus other markets |
| Document management & e-sign | Native | Native |
| Performance & reviews | Native | Add-on module (higher tier) |
| Learning management (LMS) | Best-of-breed integrations (multiple LMS vendors) | Delivered via Go1 integration |
| Payroll | Integrates with existing payroll (Employment Hero Payroll, Xero, MYOB, KeyPay, MicrOpay, ADP, etc.) | Native (Employment Hero Payroll, formerly KeyPay) |
| Multi-entity HR structure | Supported within one workspace | Per-instance setup; LMS limited to one EH instance per Go1 platform |
| Best-of-breed integration depth | Two-way integrations across payroll, ATS, LMS, engagement | Open API; ecosystem favours bundled modules |
What about payroll? Does Worknice replace Employment Hero Payroll?
No. Worknice is an HRIS, not a payroll system, and it integrates with payroll vendors rather than replacing them. If you already use Employment Hero Payroll (the product formerly known as KeyPay), you can keep it and run Worknice as the HR system of record alongside it. The same applies to Xero, MYOB, KeyPay (standalone), MicrOpay, ADP, ELMO Payroll and other Australian payroll engines. This matters because payroll is rarely the system you want to migrate. Pay rules, STP Phase 2 lodgement, super, leave accruals and historical pay records are sensitive, well-tested, and often the cleanest part of a buyer’s stack. Australian Payroll Association coverage of Employment Hero’s KeyPay acquisition makes it explicit that Employment Hero retired the KeyPay brand in March 2023, but the underlying payroll engine many companies use is the same one. Switching HRIS does not require touching it. The implication for buyers: choosing Worknice doesn’t mean leaving Employment Hero Payroll. It means narrowing the relationship to payroll only and bringing HR depth back into a focused tool.What are the hidden gotchas with Employment Hero for mid-market companies?
Employment Hero is well-marketed at the mid-market and large-business segments, but several architectural and commercial decisions create friction once you’re past around 50 employees. The five worth knowing before signing are: average customer size, a “frankensystem” architecture, account-level payroll structure, modular pricing creep, and adoption challenges.1. The marketing says mid-market; the published numbers say small business
Per Employment Hero’s October 2025 ARR announcement, the platform supports 350,000 businesses. Its own user figure sits between 2 and 2.5 million depending on the source, about 6 to 7 users per customer on average. That’s the actual centre of gravity, and it matches how the company describes itself: a leading employment platform for small and medium-sized businesses. The product roadmap, support structure and UX are built for that profile, regardless of which segment the marketing emphasises.2. The architecture is a “frankensystem”, not a single product
Employment Hero’s payroll module is KeyPay rebranded, acquired in December 2021 and folded into the platform in March 2023. The learning module is a Go1 integration, a separate vendor whose content library Employment Hero resurfaces inside the EH UI. This isn’t unusual for an all-in-one vendor, but it has real consequences: you’re locked into the specific payroll engine and the specific LMS partner. If you’d prefer a different LMS (Litmos, Cornerstone, Lessonly, an internal LXP), you’re working against the bundle, not with it.3. The payroll structure is account-level, not workspace-level
Per Employment Hero’s own help documentation on Additional Employing Entities, multiple ABNs can be configured under one payroll file, but with caveats. Employment Hero Payroll links only one employing entity directly to Xero, multi-entity pay runs generate a single consolidated journal, and on the HR side a Go1 platform can only be connected to one Employment Hero instance. For a company with two or three distinct trading entities or ABNs, this often pushes you towards multiple Employment Hero accounts, which means duplicated org charts, duplicated permissions, duplicated LMS setups and duplicated document templates. Mid-market HR teams routinely describe this as the moment the product stops scaling for them.4. Pricing scales sharply as you add modules
Employment Hero now publishes its Australian pricing: HR Essentials at $10 and HR Engage at $14 per employee per month, each with a 10-user monthly minimum, with HR Elite and Employment Unlimited quoted on request. Payroll, HR advisory and learning are priced per employee on top. Third-party trackers like PeopleManagingPeople’s pricing breakdown have tracked tiered per-employee pricing for HR, separate per-employee pricing for payroll, and additional add-on costs for advisory, learning bundles, claims support and other premium features. The result is that the headline per-employee number is rarely the number on the final invoice. For a 500-person mid-market organisation, the difference between “HR only on Standard” and “HR + Payroll + Learning + Advisory at Platinum” is material, often double or more.5. Adoption is harder than it looks
Independent reviews on G2, Capterra and Software Advice (linked in Sources) consistently flag the same friction points: a steep learning curve, an overwhelming volume of features and updates, and customer support that has shifted toward chatbots and ticket queues. For very small businesses these are minor irritations. For HR teams trying to drive 90%+ employee adoption across 500 people, they translate directly into stalled rollouts and shadow-spreadsheet workarounds. None of these gotchas mean Employment Hero is the wrong choice for every company. They mean it’s the wrong choice for a particular profile of company: the same one Worknice is built for.How do Worknice and Employment Hero compare on pricing?
Worknice is priced from a $6,000 minimum annual agreement, billed annually, which is in line with Australian competitors. Employment Hero publishes a tiered model: HR Essentials and HR Engage at listed per-employee rates, HR Elite and Employment Unlimited on quote, and payroll, advisory and learning as add-ons with their own monthly minimums. For mid-sized Australian companies, the total cost of an Employment Hero stack often exceeds Worknice plus a separate, best-of-breed LMS and ATS. Buyers should ask three questions before comparing line items:- What’s actually in the quote? With Employment Hero, “HR” pricing typically excludes payroll, learning bundles, advisory and several premium modules. The realistic mid-market quote bundles four or more of these.
- What scales with headcount, and what scales with modules? Per-employee pricing is predictable. Per-module pricing compounds: adding learning, performance, surveys and advisory each lifts the per-employee floor.
- What’s the cost of the bundled tools you wouldn’t have chosen? If you’re paying for Go1 inside Employment Hero but planning to use Litmos or Cornerstone, you’re paying twice.
What does migration from Employment Hero to Worknice look like?
Migration from Employment Hero to Worknice typically takes around two to three months for an organisation of about 200 staff, run by a dedicated Worknice implementation manager, structured around three workstreams: employee and org-chart data, document and policy migration, and payroll integration. Because Worknice integrates with Employment Hero Payroll directly, payroll itself usually stays in place, which removes the highest-risk part of any HR system migration. Practically, the sequence is:- Data export from Employment Hero. Standard CSV exports cover employee records, employment details, leave balances and reporting structures. Worknice ingests these into the new workspace.
- Workflow and template rebuild. Onboarding workflows, document templates and approval flows are re-mapped, usually an opportunity to rationalise sprawl that’s accumulated over years.
- Payroll integration. Worknice’s two-way integration with Employment Hero Payroll syncs employee data, employment changes, and leave events without manual handoff.
- LMS and ATS reconnection. If you’ve been using Go1 inside Employment Hero, you can connect the same Go1 account directly, or switch to your preferred LMS. ATS integrations are reconfigured at this stage.
- Cutover and parallel run. Employees are moved to Worknice as the HR source of truth while payroll continues uninterrupted.
When should you choose Employment Hero vs Worknice?
Choose Employment Hero if you’re a small business (typically under 50 employees), you want HR and payroll in one bundle, you don’t already have a payroll system, and you value out-of-the-box perks and benefits content over architectural flexibility. Choose Worknice if you’re a mid-sized Australian organisation (50-2,000 employees), you want best-of-breed integrations across payroll, LMS, ATS and engagement, and you need an HRIS that handles multi-entity structures and Australian compliance depth without forcing you into a specific payroll engine. A quick decision shortcut: if your team genuinely uses (and would miss) Employment Hero’s perks marketplace, Hero Wallet, or other employee-experience extras built into the bundle, Employment Hero is probably the right call. If those features feel like noise around the HRIS work you actually need to do, Worknice is the better-fit product.Frequently asked questions
Is Worknice cheaper than Employment Hero?
For mid-market Australian companies, the total cost of a full Employment Hero stack (HR + Payroll + Learning + Advisory) typically exceeds Worknice plus a standalone payroll and LMS. Headline per-employee comparisons can mislead because Employment Hero’s pricing is modular, with each add-on carrying its own minimum and the higher tiers quoted on request. The honest answer is: model the total cost of all the modules you actually need, not the entry-tier number.Can I keep my Employment Hero Payroll if I switch to Worknice?
Yes. Worknice integrates with Employment Hero Payroll (the product formerly known as KeyPay) via a two-way integration. You can move HR, the org chart, onboarding, compliance and reporting to Worknice while leaving payroll, STP lodgement, super and pay rules running where they are. That’s the lowest-risk migration path and the one most mid-sized companies take.Does Worknice replace Employment Hero entirely?
Worknice replaces Employment Hero’s HR product. It does not replace Employment Hero Payroll (which can stay in place via integration), nor does it bundle Go1-style learning content out of the box. If you want a focused HRIS plus best-of-breed integrations to payroll, LMS, ATS and engagement, Worknice replaces the parts you’d want replaced and integrates with the parts you’d want kept.Why is Employment Hero’s average customer size so small?
Per Employment Hero’s own October 2025 ARR announcement, the platform supports approximately 350,000 businesses globally. Its user figure is between 2 and 2.5 million depending on which of its own sources you read, roughly 6 to 7 users per customer on average. The company was founded in 2014 to make employment easier for small business, and describes itself as a leading employment platform for small and medium-sized businesses.What are the best alternatives to Employment Hero in Australia?
For mid-sized Australian organisations, the most common alternatives to Employment Hero are Worknice (Australian-built HRIS with best-of-breed integrations), ELMO (broad Australian HR suite), HiBob (international HRIS popular with scaleups) and Rippling (US-built workforce platform with growing AU presence). For small businesses staying in the all-in-one bundle, MYOB Business and Xero Payroll plus a lightweight HR add-on are also common.About the author
Graham Martin is Co-founder of Worknice, an Australian-built HRIS used by mid-market HR teams across professional services, healthcare, retail, manufacturing and not-for-profit sectors. He has spent more than a decade working with Australian People and Culture teams on HR systems, compliance and payroll integration.Related reading
- Best alternatives to Employment Hero: a wider view of the field beyond a single head-to-head.
- Choosing an HRIS at 500 to 1,000 staff: a sizing guide for the segment this comparison is aimed at.
- Highest-rated HRIS by user reviews: how Worknice and its competitors score with real users.
Sources
- Employment Hero. “Employment Hero Surpasses A$300M ARR.” Employment Hero Blog, October 2025. https://employmenthero.com/blog/employment-hero-surpasses-300m-arr/
- Employment Hero. “About us.” Retrieved 21 September 2026. https://employmenthero.com/about-us/
- Capterra Australia. “Employment Hero Cost and Reviews.” Retrieved 21 September 2026. https://www.capterra.com.au/software/144645/employment-hero
- Australian Payroll Association. “Employment Hero acquires KeyPay.” 2022. https://www.austpayroll.com.au/employment-hero-acquires-keypay/
- Employment Hero. “Understanding Additional Employing Entities.” Employment Hero Help Centre (AU). https://help.employmenthero.com/hc/en-au/articles/13565731749519-Understanding-Additional-Employing-Entities
- Go1. “Integrating Go1 with Employment Hero.” Go1 Help Centre. https://help.go1.com/en/articles/6852549-integrating-go1-with-employment-hero
- Employment Hero. “Go1 Integration with Employment Hero.” Employment Hero Integrations. https://employmenthero.com/integrations/go1/
- PeopleManagingPeople. “Employment Hero Pricing Tiers & Costs (Updated for 2026).” https://peoplemanagingpeople.com/tools/employment-hero-pricing/
- Capterra. “Employment Hero Pricing 2026.” https://www.capterra.com/p/144645/Employment-Hero/pricing/
- G2. “Employment Hero Reviews 2026.” https://www.g2.com/products/employment-hero/reviews
- HiBob. “Employment Hero review & best alternatives.” https://www.hibob.com/blog/employment-hero-review/
- Worknice. “How to choose the best HRIS platforms for mid to large sized Australian organisations.” https://www.worknice.com/blog/what-are-the-best-hris-platforms-for-mid-to-large-sized-australian-organisations/