Wednesday, August 23, 2023
Prioritising Financial Wellness Post Pandemic
The COVID-19 pandemic has had a profound impact on various aspects of our lives, reshaping our work dynamics, living conditions, and social interactions. It has also underscored the significance of financial stability and well-being. Many of you might still remember the Malaysian White Flag movement where many were putting out a white flag as a signal of needing help. The pandemic did not only change the financial landscape for all, but it also prioritised the conversation of financial and emotional wellbeing.
PHOTO: THE STAR / ASIA NEWS NETWORK
Currently, a substantial number of employees are grappling with financial challenges, with 94% experiencing post-pandemic financial stress. This stress arises from multiple factors, including escalating living costs, inadequate savings, and apprehensions about job security.
As employers, there are proactive measures we can adopt to alleviate the financial burdens faced by our employees. One such solution is the implementation of Earned Wage Access (EWA). EWA enables employees to access a portion of their earned wages before the end of the pay cycle, providing them with enhanced financial flexibility, reducing their reliance on high-interest borrowing, and ultimately bolstering their productivity.
How does Earned Wage Access work?
EWA is simple to use, with employees able to request an advance on their earned wages through a mobile app. Once the request is approved, the funds are transferred to the employee's bank account. The advanced amount is subsequently deducted from the employee's upcoming paycheck. It's important to note that EWA differs from traditional salary advances, as it exclusively involves the salary the employee has already worked for and eliminates the need for cumbersome paperwork, prolonged processing times, or borrowing over extended periods. EWA offers enhanced flexibility and convenience to employees, empowering them with greater control over their financial affairs.
Why help alleviate your employees’ financial stress?
Paywatch users have reported a 66% reduction in financial stress since gaining access to this benefit, resulting in heightened employee retention rates. Employers who embrace EWA can reap several benefits, including the ability to attract and retain top-tier talent, while concurrently reducing costs associated with employee turnover and training. Employee productivity is also effected when they are financially stress, a study from Oxford University reported employees are 13% more productive when they are happier. EWA has already transformed the lives of thousands of individuals across diverse industries, including retail, F&B, and manufacturing. Kenny Hills, a renowned establishment in the food and beverage sector, has partnered with EWA for over a year, exemplifying how employers can go above and beyond to prioritize the financial well-being of their employees.
In conclusion, it is time to reimagine payday with Paywatch and include EWA in your compensation and benefit plan. Be the pioneer to prioritise financial wellbeing in your organisation, be the HR that cares.