The days of the 2-week pay cycle are slowly, but surely coming to an end. If you employ hourly workers’ you will find yourself at a competitive disadvantage if you’re not offering instant access to earned wages. With unemployment hovering around 3% it’s becoming ever more difficult to attract and retain top talent. Offering instant access to earned wages is a benefit that can build loyalty with your hourly workers.
Let’s put it this way…if you pay your hourly workers $8.00 an hour and a company across the street offers the same position for $8.50, where do you think those workers are going to work?
In that same spirit…if you only pay your hourly workers every other week and a company across the street is offering instant access to earned wages, where do you think those workers are going to work?
Why is this the case? The reason is that hourly workers will follow the money. Not because they are greedy, but because of life. Below is what life looks like for an hourly worker. You need to pay attention to this if you want to retain the talent you’ve worked so hard to acquire.
On average it costs an employer $2,500 to replace an employee. This is why turnover and retention are such important metrics to monitor. Statistically, offering the benefit of Instant Pay can reduce turnover by 13%. There is a significant cost-savings component to Instant Pay with ZERO cost to the employer to roll it out. You have to ask yourself why you wouldn’t make this available to your hourly workers as an added benefit or perk.
Key Benefits of Instant Pay:
- ZERO COST to YOU, the employer – our provider funds the employee advances between pay periods
- EMPLOYEE PAYS what is equivalent to an ATM fee for the convenience of instant access to their earned wages
- Frictionless for the employee: no changes to payroll or banking experience, no pay-card issued
- $2.99 per transaction for instant transfer paid by employee; might think of it as a “Payroll ATM”
- Complete hourly worker platform: only one application for your hourly workforce; add optional modules as-needed
- Built for scale: Lightweight adoption process makes it easy to get started with enterprise-grade support