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Salary alone no longer guarantees loyalty; employees want to feel valued and supported.

The research revealed that 69% of employees say a wide range of benefits would increase their loyalty, and 80% workers satisfied with their benefits report greater job satisfaction.

The pressure is on for HR teams to deliver improved benefits.

One benefit currently getting a lot of attention is Earned Wage Access (EWA), also known as on-demand pay.

EWA allows employees to withdraw a portion of their already-earned wages before their scheduled payday.

In this blog, we’ve covered everything HR teams need to know when considering EWA as part of their benefits package.

Understanding the request for access to earned wages

We recently conducted a survey of 1,000 worchestras to assess their views on traditional pay cycles and whether there is actually a demand for access to earned wages.

Among the workers interviewed, 46% stated that they would prefer to receive their salary on demand, and two thirds would use EWA if it was available to them.

Moreover, almost half (47.9%) of respondents said that EWA makes a job more attractive.

This number increases significantly among younger generations, reaching 55.8% for 16-24 year olds and 65.5% for the 25-34 age group.

Meeting Changing Employee Expectations

Dan Grace, Director of Global Human Resources Consulting at IRIS Software Group, said: “Employees are demanding more personalized benefits, tailored to their life stages and values.

“Today’s workforce has enjoyed unprecedented work flexibility and will not give it up easily.

“Employee benefits have become a direct reflection of the value an organization places on its employees.

“When employees feel truly cared for through comprehensive benefits, they develop emotional connections with their employer.»

How does access to earned wages work?

To provide access to earned wages, you need an EWA platform that integrates with your current payroll software.

Once implemented, employees work their shifts normally and accrue income.

Employees can then access their funds – often up to 50% of their accrued salary – via a mobile app or online platform.

When payday arrives, the advanced funds are subtracted from their regular salary, along with any applicable fees.

EWA benefits for employers

Improved employee retention: Access to earned wages can reduce employee turnover by providing financial stability and reducing stress.

Attract and hire the best talent: Offering EWA as a benefit can make your company more attractive to potential employees and incentivize existing employees to work extra shifts and overtime.

Reduced absenteeism: Financial stress often leads to absenteeism, but EWA helps alleviate this by providing immediate financial assistance.

EWA employee benefits

Financial flexibility: Earned Wage Access gives employees immediate access to funds, helping them manage unexpected expenses with money they’ve already earned.

Reduced financial stress: Access to earned wages can alleviate the stress associated with waiting for the next payday because employees can respond to financial demands as they arise.

No high interest debt: Unlike payday loans, EWA is not debt and does not involve high interest rates or hidden fees.

Partnership with Level Financial Technology

We’ve partnered with the leading earned wage provider, Level Financial Technology, to bring on-demand compensation to our payroll and HR software users.

Through this partnership, data is seamlessly synced between IRIS and Level to automate access to earned wages for staff.