Data From Instant Financial Finds Companies That Offer Daily Wages Reduce Employee Turnover by 27%
New data report proves that companies can boost recruitment, retention and profitability via earned wage access programs
ALPHARETTA - August 17, 2021 - Instant Financial, the pioneer of fee-free earned wage access (EWA) solutions, today released a new report entitled, Earned Wage Access’ Role in Recruitment and Retention, which finds that employers are able to reduce employee turnover by upwards of 27% by offering them access to same-day wages. The data insights come at a time when restaurants, retailers, manufacturers and more are facing highly competitive post-pandemic job market conditions, with many resorting to short term tactics in order to incentivize and attract workers.
As a long-term foundational recruitment and retention strategy, more and more employers have begun turning to EWA as a benefit. For example, in 2020, Church’s Chicken rolled out Instant Pay to 165 locations, and 41% of employees quickly opted into the program. Similarly, eight months after rolling out its Instant Pay program, Argo Contact Center decreased its turnover rate by 12% and absenteeism rate by 13%.
“The EWA movement is upending the traditional one or two-week pay period by giving workers instant access to the wages they have earned,” said founder of Instant, Steve Barha. “EWA ensures employees are not only able to take control of how they spend the money they earn, but also how and when they receive it. In return, they create greater loyalty to their employer.”
Instant’s data report reveals that these retention benefits result in significant cost and productivity savings for employers. It’s estimated that companies can lower their annual hiring costs by 35% simply by offering workers daily pay.
For more data on how employers can improve workers’ lives as well as the corporate bottom line, download a free copy of the full report here.
About Instant Financial
Instant Financial is leading the charge to provide financial freedom and wellness to millions of workers in the United States through its earned wage access solutions. By enabling employers to allow employees to access their daily wages immediately after their shift, Instant Financial helps organizations improve retention and reduce absenteeism while helping employees take control of their financial freedom by bridging the gap between work day and payday. Learn more about Instant Financial at www.instant.co.