I recently came across a LinkedIn article written by Martin Whittaker, CEO of JUST Capital, titled “What If Every Company Conducted An Employee Financial Distress Test?” In it, he spoke about a recent CNBC Squawk Box talk with PayPal CEO, Dan Schulman, who talked about initiatives that PayPay had recently implemented to help their financially stressed employees:
- They increased base wages.
- They lowered healthcare costs by an average of 60%.
- They made every employee a shareholder of the company.
- They created educational programs on financial planning and health.
Initiatives like these just make good business sense. When an employer shows an understanding of their employees’ financial struggles, and actually does something to alleviate them, it’s a win-win. Financial security increases. Productivity increases. Employees stay longer.
At DailyPay, we’ve followed suit, implementing similar initiatives. Last July, we made every employee a shareholder in our company, giving them a real stake in their future and the future of DailyPay. As co-owners of the business, we understand that employees are more fully invested in their day-to-day roles and in making an impact that continues to propel our company forward.
We also lowered healthcare costs this year, with a 50% company contribution toward dependent medical, dental and vision coverage. By reducing the overall costs of health care for our valued associates, we are demonstrating a commitment to them and to their family’s health and wellbeing and allowing them to keep more of their hard-earned pay.
As a company, DailyPay strives to provide a better pay experience to our partners’ employees, a more consumerized experience that mimics experiences in their personal lives. By giving employees greater control and flexibility with their pay, they can pay bills on time and meet emergency expenses. And they spend less time stressing at work because they feel more financially secure.
Last year, we implemented DailyPay for DailyPay, allowing our employees to experience the same benefit that we provide to our partners and their workforces. By doing so, we recognize that all employees, not just those who are financially disadvantaged, need this same flexibility and control to access their earnings when they need them.
Whittaker said, “Investing in workers is not rocket science. It is good business.” He’s spot on. More companies should follow PayPal’s lead, recognizing that taking care of their employees results in a better experience for their customers, the employees themselves and their company.