Sometimes, it's the small things that matter most to your employees. When your employees feel good about their job environment, they stay longer, and the impact on your bottom line is largely noticeable.
Little incentives and rewards can certainly improve employee engagement. According to a Robert Half study that polled shy of 900 workers in North America, 61% of workers are very likely or somewhat likely to leave their current position if they did not feel engaged. These results are dire considering a survey conducted by Gallup suggests that only 33% of the U.S. workforce is engaged.
Lack of engagement hurts workplace productivity and will result in inevitable turnover. The entire cycle of attrition is very expensive for businesses. It can cost up to 40% of an employee’s wages to replace him or her once you account for lost productivity, recruiting and training a new hire.
To reduce the cost of turnover, look at your engagement as the first step. DailyPay is a solution to help improve just that. Here are some specific ways that DailyPay can help strengthen your workplace morale and productivity.
DailyPay shows flexibility
Payday relies on a schedule. Sometimes that schedule doesn't coincide with bills - and that's where the hang up begins. For employees living paycheck to paycheck, if an unexpected bill arises, or budgeting didn't pan out just right, it can be difficult to make ends meet. Payday loans and credit card charges are usually the easiest way to acquire much-needed funds. Borrowing to cover the wage gaps can create and advance a vicious cycle of debt.
Offering a service like DailyPay means that your employees can access their wages when they need them. DailyPay also shows a real-time breakdown of how much your employees have taken out of their paycheck, which can make it easier to visually compare monthly expenses, spending and wages.
DailyPay doesn't disrupt your current payroll process which means it’s reasonable to be lenient and provide a service to your employees that can literally mean the difference between paying a bill on time or incurring a late fee. Our technology is also infinitely scalable -- if you just so happen to add 3,100 new employees to your roster, we can ramp up without flinching.
Supplying the right tools for success
If you’ve ever asked your employees what would make their life easier - inside or outside of work - you might be surprised to hear how widespread financial struggles are. 31% of American adults, or 76 million people, say they are struggling to get by or just barely making it, according to the Federal Reserve Bank.
And, in a recent GoBankingRates survey that questions American's recession preparedness, 49% of those polled state they are living paycheck to paycheck. And 61% do not have enough money saved to cover six months of living expenses.
If, for some reason, a paycheck was delayed, your employees might not have funds to cover their basic needs. These financial stresses can cause lack of focus and engagement in the office. If you're too wrapped up in personal matters, it's impossible to focus at work.
In this case, the right tool might be access to earned wages whenever they need them. Or perhaps the right tool is a financial wellness program. Better yet, a combination of both.
Financial wellness can help educate your employees about smart spending and saving patterns. Each time DailyPay sends someone their earned wages, a financial wellness tip accompanies the transaction. We believe small, attainable action steps or motivational quotes are what start to build the foundation of wise financial decisions in the future.
Being genuine and saying thank you
Take as many chances as you can to thank your employees, especially if they are doing a great job. Showing your gratefulness to employees can be difficult - and not for lack of trying. The most obvious ways to show appreciation cost money. And for a business operating on tight margins, it can be difficult to scrape up the money to throw a holiday party, cater Friday lunches or give other perks that have become commonplace in the office. Universal perks have become increasingly expensive.
Get creative. One perk you can afford to offer is DailyPay. It doesn’t cost money to roll out and won’t disrupt your current internal operations. DailyPay gives your employees access to earned wages as often as they need, which is a major differentiation point in many companies - one that can boost your morale and engagement higher.
DailyPay also shows your employees that your 'thank you' is genuine - you’ve truly listened to some of the personal hardships they may endure. Make it clear that your employee’s hard work is noticed.
Looking for further reading? Check out some of the case studies DailyPay has conducted. Businesses show improvement in engagement, retention rates and productivity by using DailyPay.