As summer comes to a close each year, businesses often witness the perfect storm of factors that affect hiring and retention. Students leaving their summer jobs, business ramping up ahead of the holiday season, and parents torn between childcare and their own job prospects all make it a prime time for companies to revisit what they’re offering to attract and retain talent.
The good news is that by addressing each of the following factors with financial wellness benefits, you can keep more of your workforce satisfied in today’s tight labor market.
Students leave gaps in hourly workforce
Younger workers have been crucial during the tight labor market of the past year. Students headed back to school can leave companies at a greater labor deficit than before—especially if your company typically aims to hire more employees heading into the winter holiday season.
Trying to fill these roles can be tough, but adding meaningful financial benefits can be motivators. If you need to move the needle on hiring efforts, consider offering earned wage access (EWA)—also sometimes called instant pay or flexible pay. This allows workers to access a portion of their earned wages ahead of payday. Instead of turning to predatory payday loans or high interest credit cards, workers essentially just take an advance from themselves when they need it, allowing them to cash out what they’ve already earned so far.
Advertising that you offer this benefit can help set you apart from the competition when people are job hunting, as well as keep more of your workers satisfied. (It’s been shown that EWA can improve retention rates by 36%.)
Working parents torn between childcare + jobs
Many parents still haven't recovered from the effects of pandemic on their career and childcare choices, with many parents hesitant about returning to the workforce. For working parents, the cost of childcare is sometimes greater than what they’d make by returning to the workforce. That’s why it’s more crucial than ever that companies offer competitive wages and financial incentives that help make re-entering the workforce a worthwhile choice.
Many parents are rejoining the workforce as gig workers, since being an independent contractor can provide added flexibility to one’s schedule. If your company hires contractors, consider ways to offer them faster pay in the form of same-day payouts after job completion. Providing financial benefits like these has the power to help working parents gain financial stability and flexibility as they rejoin the workforce.
Seasonal hiring ramps up earlier each year
Hiring employees for the holidays seems to start earlier each year; especially when hiring is already tough enough as it is. If your business relies on seasonal employees, it's a smart strategy to assume that you'll need to ramp up your efforts earlier than you're used to. Attracting seasonal workers boils down to many of the same tactics you'd employ for hiring full-time workers: offer competitive wages paired with other incentives that boost their financial and mental wellbeing.
Consider free financial wellness offerings from Branch, like instant tip or mileage payouts for tipped employees. Promoting the perk of providing instant tip payouts after each shift is a surefire way to get more employees in the door (and away from the competition).
Faster payments boosts hiring and retention
If you want to stand out from the pack in today’s job market, it’s clear that it’s not just what you pay workers, but how you pay them. Today's workforce is looking for a modern approach to payments that transcends the traditional two week pay cycle and actually helps them get ahead financially. Offering faster payments has the potential to keep your business competitive and boost hiring and retention amid a complicated labor market.
Whether you offer faster payments through earned wage access, same-day payouts to contractors, or cashless tips and mileage payments, delivering accelerated pay can help you overcome your hiring slump and keep workers happier in the long run.
Ready to learn more about offering faster payments for free at your company?