Lorenzo's post answers the ever upcoming question and explains why using EWA is a better solution than forcing the staff into debt (via expensive consumer credit and paydayloans at shark rates) or going to HR once they are available... in meantime pressing problems cannot be solved and distressed situations (ie a sick child which need immediate treatment during the weekend, or a locksmith, or a car breakdown at night on the highway, etc etc all which require often immediate advance payment). EWA and access to earned salary via mobile app helps the people employers count on. Employers count on their staff to and at certain times give that little bit more. Employers that care and show they care, by handing the staff a safety-net in case of need or distress will find their staff more motivated and committed in return. Giving them peace of mind, taking away the financial worry of an unexpected cost and bill to pay for which they have no savings aside, lets them sleep at night. Hence it reduces mental and physical problems (due to mental pressure and lack of sleep) and this reduces absenteeism which costs companies bucketloads of money... the ripple effect of this costs multiplies it. There are many reasons to consider offering staff access to a part of their earned salary via mobile app, with instant payment on their bank account within a few seconds. The algorithm takes care of all that... and HR will find all the info nicely in their database or payroll, as if nothing happened the next day or after weekends. This is about making live easy for all, making people happy. Happy to work. and we have not mentioned retention of staff yet, let alone attraction of staff! more brownie points for EWA below! 😁 scudi #staffretention #staffattraction #staffhappiness
Co-founder @ scudi | I help companies boost employee retention & productivity | Earned Wage Access & Financial well-being | Part-time Adrenaline Junkie & Challenge Addict
"Hey Lorenzo, but what you do at scudi only postpones the problem instead of solving it" I hear this far too often. Let's debunk this EWA myth once and for all shall we? Earned Wage Access is one of the fastest growing trends in HR-tech and employee benefits. But with fast growing trends comes lots of misconceptions. EWA is not an exception. Many tell me this phrase "but if I get parts of my salary before payday I will have less at the end of the month and might find myself into even more trouble" Wrong. There is one very determining aspect people forget to consider. If I am in a situation of financial distress and have no means to pay a bill, I will likely go for one of the many credit solutions out there which ultimately means: I need 100 bucks today, when I get paid in 2 weeks I will pay back 110 bucks. That just means I "lost" 10$ I was not supposed to pay for, therefore putting me in an even more difficult spot. If I could have just taken the 100$ which I had already worked for anyway, that would have saved me the extra 10$ plus all the stress of arranging the short term credit and any additional worries that come with it. EWA is about offering financial flexibility. EWA is about boosting financial literacy. EWA is about reducing stress. EWA is about peace of mind. EWA is much more than just a stopgap measure. It's a powerful tool that provides unmeasurable value to today's workforce and a true differentiator for employers out there. Follow me for a real life example in my next post which most of you will be able to relate to... #ewa #employeebenefits #financialliteracy #innovation #future