Disrupting the Traditional Payday

Every employee would like to see payday come around more often. Instead of continuing to count down to the 15th of the month, many employees are calling for the death of the traditional payday in favor of on-demand payment schedules, where employees can access their earned wages whenever they want.

Instant payments are an opportunity for companies to meet overwhelming worker demand. Research has found that 60% of Americans believe that all companies should offer workers immediate access to their earned wages, and nearly 80% of Americans target job opportunities for companies that offer instant payments. Companies that don’t comply will get left behind. 

Instant pay is already ubiquitous for consumers

Today, consumer payments for goods and services are quick and easy. Last year, research from Forrester found that digital transactions surpassed traditional transactions, with four in five Americans using mobile pay apps regularly and 50% of Americans saying that they use them more than once a week.

Employers need instant pay to be competitive

Workers are demanding instant, on-demand payments, and businesses should view this as an opportunity to gain employee loyalty. This is just one step that businesses can make to take care of employees — but there are benefits beyond employee satisfaction.

Instant pay technology is already here

For businesses, moving to an on-demand payment system is not as scary as it sounds. The technology already exists to both provide instant payments and comply with financial and accounting regulations. Instant payment technology provides micropayments — often less than $100 per transaction — to employees, while allowing the payment to stay on the company’s ledger as it’s reallocated from one wallet to another. With ledger-to-ledger reconciliation, companies avoid per-transaction fees. The system reduces the cost of the transactions while still providing employees with access to funds.