Why On-Demand Pay Lures Employees
The workforce is evolving rapidly. From remote work to hybrid and flex schedules, employment standards are nearly unrecognizable today compared to just a decade ago.
The gig economy is chief among these innovative trends. Gig workers, also known as independent contractors, fill on-demand or temporary jobs — and 36% of Americans, or 60 million people, identify as one. Rideshare drivers, food industry workers, clinical trial participants and even hospital workers and nurses are shifting to the gig economy.
According to Forbes, the gig workforce may overtake the full-time workforce by 2027. The gig economy is quickly becoming an important segment of the workforce, and employers that want to tap into it will need to evolve.
With a 3.6% unemployment rate, U.S. employers are voraciously competing for workers — and the gig economy is no exception. Instant payments are key to unlocking the talent pool of the growing gig economy. On-demand workers expect on-demand pay, and an employer that offers speedy payments — usually on the same day — will provide a better employee experience, improve worker attrition rates and become a more competitive business.
Most gig workers are augmenting their full-time salary with temporary employment that they can tailor to their schedule, and they want the instant gratification of a paycheck at the end of the job.
For some, the payment marks the end of a contract or transaction between the worker and employer, freeing them to move on; for others, receiving wages quickly following a job is essential to meet personal needs.
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