Financial stress is a silent productivity killer that affects employees worldwide. According to the VISA Earned Wage Access 2022 survey, 84 per cent of employees experience financial stress, often resulting in borrowing at high-interest rates and reduced productivity.

Employers can now break this cycle with Earned Wage Access (EWA), an innovative solution that provides employees with on-demand access to their earned wages anytime, anywhere. Paywatch is a financial services company that offers EWA in Malaysia and South Korea and is at the forefront of this trend in Asia.

Empowering employees with flexible payroll

EWA, also known as flexible payroll, allows employees to access their earned wages without incurring any interest or fees. The global EWA market is predicted to reach US$20 billion by 2027, and Paywatch is leading the way towards financial inclusivity in Asia.

What sets Paywatch apart from other EWA solutions is that it is the only bank-backed and regulator-approved EWA solution in Asia, which ensures fair pricing and consumer protection. By working with banks, Paywatch provides employees with access to financial services from these institutions.

Also Read: Why earned wage access is the future of pay

Productivity boost for employers

Paywatch is dedicated to creating a sustainable workforce while reducing rehiring fees for employers. By providing EWA, employers can give their employees the financial security they need to be empowered and perform at their best without worrying about their long-term financial health.

Kai Zen Au, Managing Director at Kenny Hills Hospitality Group, said, “If we can remove some of the financial pressures that employees face in their daily lives, it allows them to be more productive and happier at work. Paywatch helps them just be a little bit more happy, mindful, and present at work, which obviously increases productivity.”

The success of Paywatch’s EWA has been proven to improve employee retention rates for both SMEs and MNCs in Malaysia. Businesses have reported reduced turnover rates of up to 75 per cent, resulting in saving over US$500,000 in annual rehiring fees.

Real-life user story: Stand under EWA umbrella

At Paywatch, they understand that life is not always sunshine and rainbows, but EWA acts like an umbrella providing a safety net for employees during tough times.

For Mohd, a lorry driver in Malaysia, Paywatch’s EWA solution came in handy during a family emergency. “There was an emergency to go back to my hometown when my mother-in-law wasn’t well,” he shared. “With Paywatch’s EWA solution, I was able to access my earned wages instantly without having to borrow money from anyone else.”

By providing financial flexibility and stability through EWA, Paywatch is helping employees to manage their finances better, deal with emergencies, and avoid high-interest loans.

More than a financial service

“EWA is more than a financial service; it’s a force for positive change.”

Paywatch’s commitment to providing convenient, accessible financial services has earned them the trust of large brands such as KFC, Pizza Hut, and Lotus’s, as well as growing brands like Kenny Hills Bakers and BilaBila Mart.

Also Read: Malaysian earned wage access startup Paywatch bags US$9M for Philippines, HK expansion

In just two years, Paywatch’s EWA solution has achieved rapid growth, serving more than 200,000 employees globally and processing over US$1,200,000 in monthly wages through its app. Paywatch has set the foundation for its expansion throughout Southeast Asia in 2023, with recent initiatives including a Shariah-Compliant endorsement in Malaysia, a digital partnership with VISA, and bank partnerships in Indonesia and the Philippines.

Looking towards a financially inclusive tomorrow

Paywatch’s commitment to transforming the landscape of employee benefits is positively impacting both employees and employers. With their EWA solutions, Paywatch is not only taking care of the financial health of employees but also creating a sustainable and fulfilled workforce.

As we move towards a future that values employee well-being, Paywatch is leading the way towards a financially inclusive tomorrow.

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This article was first published on June 9, 2023

The post Breaking the cycle: How Paywatch grows your business while taking care of your employees appeared first on e27.