One tool to help you access your daily income – The New Indian Express


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NEU-DELHI: If you could increase your wages every day, would that reduce your financial pressure? About 38% of respondents in a survey answered yes to a question that might seem like a hypothetical question, but it isn’t.

A bank-like environment where you can view and withdraw the money you’ve earned, or also called Earned Wage Access, is a fintech product that allows employees to access part of their accrued but unpaid salary anytime before payday.

According to a Refyne survey, employees seem to be enthusiastic about the new concept. While 77% of respondents rate this concept positively and are ready to evaluate its use, 28% said they would use an EWA product. It is noteworthy that 59% of those surveyed consider EWA to be a decisive factor for their next job.

The report also found that millennials were the most interested in EWA. Employees believe EWA will be more liquid to help them cope with unexpected expenses, carry out investment planning and improve their financial wellbeing.

But what about employers?

Refyne, which claims to be India’s first and largest EWA platform, was founded in 2020 and has brought on board 120 customers in the past year, monthly growth in new customers as well as increasing acceptance among employees of existing partners as employers earn with the Refyne’s Wage Access solution can see significant benefits for their employees (both full-time and contract workers).

“For employers, Refyne is a free, risk-free product that integrates seamlessly with any HRMS and payroll software. Refyne provides the capital for the salary deductions earned, which means employers’ working capital is left untouched, allowing them to maximize their cash flow. EWA also helps save staff hours for HR managers that are spent processing payroll advances and associated paperwork, “Sharma said, noting that Refyne has no direct competitors in the country and its indirect competitors include payday lenders, loan apps , Loan sharks, and other informal and unregulated loan system providers.

Akbar Khan, CEO of EWA startup Rain India, says his company works with the leading corporate customers in India’s manufacturing, IT, human resources, healthcare, hospitality and other sectors. He says there are only a handful of EWA companies operating in India.

“EWA is a relatively new concept for the Indian market, which is clearly differentiated from personal / consumer loans, salary advances and payday loans.”

Before Rain started business in India earlier this year, they also conducted an in-depth primary research on the cohort of employees.

“Some of the interesting findings from the study indicated that the product market is well suited for EWA and that a credible global financial wellness provider with extensive local expertise is required. For example, 90% of the respondents received their salary once at the end of the month, while 20% ran out of money in the first 10 days of the month, 40% in the middle of the month and 85% at the end of the month, “

Sumeet Doshi, Country Manager, UKG India, a company that recently partnered with Rain, says having access to their own wages is key to making sure employees feel valued, supported and able to shape their own financial well-being.

“Our partnership with Rain India ensures that we continue to meet our obligation to provide meaningful and effective solutions to our customers here in India.”

HR concerns

While staff seem intrigued, hiring managers are concerned that the EWA solution will fit into the lifestyle or culture of the Indian workforce.

“The reason for this is that the flexibility to have access to wages any day of the month requires a lot of administrative work. Another major challenge HR leaders see is the escape of employees. In the western professional culture, the longevity factor is quite high. Employees stay loyal to their company for a long time. In India, on the other hand, there are many industries in which fluctuation is very high, ”explains Vicky Jain, founder of the HR tech start-up uKnowva.

Also from a technical standpoint, the existing payroll infrastructure may not be set up to meet regular employee payment requests, Jain said.

“While there is no doubt that EWA is a breakthrough approach to payroll improvement, a fantastic opportunity to be progressive and forward-looking, and a flexible way to adapt to changing work habits and employee lifestyles in the post-pandemic period support, but it would be no easy task to implement this in the Indian work culture. The concept is still new and time will tell if it will catch on in Indian work culture, ”he added.

New paycheck

  • Earned Wage Access (EWA) is a fintech product that enables employees to access a portion of their accrued but unpaid salary at any time prior to payday.

  • Millennial professionals show the maximum interest in EWA.

  • Employees believe that having more liquidity will help them manage unexpected expenses, conduct investment planning, and improve their financial well-being.

  • Employers fear that the flexibility to access wages any day of the month will require a lot of administrative work.


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