⏰ Est. reading time: 5 mins

💡 What you’ll learn:

• How outdated payroll processes could be hurting your businesses
• Three key industries that can benefit from fast, digital payouts

Despite the technological advances of the past few years—the advent of AI and automation, to name a few—some of the most crucial industries are still operating with outdated processes. When it comes to the way workers get paid, this is particularly evident. 

While it’s easy to get comfortable with “the way things have always been,” outdated payment processes could be hurting your company’s success. Fintech (aka financial technology) can be used to help transform the way you pay your people, helping usher your company into a new era of success and growth. Let’s take a look at three critical industries—construction, agriculture, and logistics—that are all ready for a revolution in workforce payments. 

1. Construction

From large urban infrastructure projects to small-scale residential developments, the U.S. construction workforce is often mobile and frequently made up of contractors and subcontractors. Though some of these workers are paid on a weekly basis, others are paid on a bi-weekly or monthly basis. Any delays in payroll processing can not only cause cashflow issues for workers, but also make it hard to attract new talent. Today’s worker has come to expect fast, even same-day pay—and if your construction company can’t deliver, there are plenty of gig platforms that can.

Not only that, but outdated payment methods like paper checks can cost your company in time and money. Having to constantly issue and verify checks is time-consuming; and if there are payroll errors, reconciling those with overnighted checks or other last-minute payments can be costly. 

Fintech solution: Modern paycards that work for per diem + every payment in between

Modern paycards from Branch allow you to provide workers with immediate access to earnings of all kinds, whether that’s their regular wages, per diem pay to cover expenses, bonuses, stipends, and beyond.

Workers receive a Branch Card and account where you can quickly send payments to them at any time. When workers have immediate access to their per diem pay and other wages, it improves their cash flow and can help ensure job satisfaction. It’s a win-win for everyone: you get to eliminate the need to constantly issue and verify paper checks, and your workers no longer have to experience payment delays. Even if you need to send a payroll correction, you can push that payment whenever you want—nights, weekends, and holidays included. 

2. Agriculture 

The agriculture industry employs many seasonal and unbanked workers, including those who may not speak English. Cash payments and paper checks are still used often, especially for small or medium-sized farms, but they don’t serve this worker population for a number of reasons.

Within agriculture, there’s also the cannabis industry, which has grown considerably in the past few years. Yet despite this growth, many still face the need for upgraded payroll processes. It’s important in this type of sub-industry to be especially detail-oriented when it comes to your payroll process. Ensuring you have a clear audit trail of payments is crucial to staying compliant overall. In other words, cash payments just won’t cut it. It becomes an issue of compliance, lack of financial records, and even leaves you vulnerable to theft. 

Not only are outdated payment methods like cash and paper checks less than ideal for your business, but they may also cause agriculture workers unnecessary hassle. Without access to traditional banking services, they might have to stand in long lines to cash checks, or experience delays if they’re waiting for a payroll correction. Workers may also face challenges in saving or building credit when they’re excluded from digital financial systems. 

Fintech solution: An inclusive, digital banking experience with fast, flexible payments

A digital-first solution—like Branch’s modern paycard and digital wallet—can revolutionize workforce payments in agriculture. Workers can be paid with the push of a button to their accounts—even in remote areas, and even outside of those pesky ACH windows. And with a digital-first system, businesses gain clear audit trails of payments, helping to keep them compliant. 

Not only do workers gain access to a full digital bank account, but financial wellness tools and resources they may otherwise not have been able to utilize, like a savings goal feature, cashback rewards, and more. 

Cannabis workers in particular can also use earned wage access—which is an advance of their earned wages ahead of payday—to manage unexpected expenses. Budtenders at retail locations may also benefit from cashless tip payouts which can be sent to them immediately after a shift.

3. Logistics

The logistics industry—which covers everything from trucking to warehousing and delivery—has seen explosive growth in recent years with the rise of e-commerce. The latest data suggests the U.S. logistics market could reach a revenue of $671 billion by 2030. 

Yet despite this growth and innovation, the way many logistics workers are paid is outdated. Often paid with paper checks, many drivers and logistics workers deal with delayed reimbursements for expenses, fluctuating income due to irregular schedules, and payment structures based on complicated invoice chains. Freelance or gig-based delivery drivers are especially vulnerable, often waiting days or weeks to receive earnings.

This is especially apparent when a new worker onboards. Oftentimes it may be anywhere from two to three weeks before they get their first paycheck—which can interfere with someone’s ability to pay bills on time and properly manage their money.

The logistics industry is also one that deals with high turnover—with some estimates close to 31%. It’s hard not to think that payment delays may be partially to blame. 

Fintech solution: Instant payments upon approval 

Platforms like Branch let you pay workers with the push of a button, allowing them to access funds as soon as a job is completed. Whether you’re paying 1099 rideshare drivers or a W-2 trucking workforce, you can push earnings directly to workers’ preferred accounts as soon as the job is approved. 

With one of our offerings, Branch Direct, users can quickly onboard and start getting paid that very same day to their own bank account. There’s no need to sign up for an additional digital wallet if they don’t want to, and the easy user interface and quick set-up ensures a seamless payments experience. For companies, it’s little technical lift with large returns, as they can get started with as few as six data points. A smooth onboarding process and real-time earnings access like this can help improve cash flow and reduce turnover in this notoriously high-churn industry. 

The Bigger Picture: Empowering Workers Through Fast, Reliable Payments

At their core, construction, agriculture, and logistics share one thing in common: a critical yet often underserved workforce. These workers often perform essential tasks under tough conditions, yet face outdated and inefficient systems when it comes to something as fundamental as getting paid.

Fintech has the tools to change this—by enabling fast, secure payments and more transparent payment methods. Whether it’s through digital wallets, modern paycards, or same-day pay, the opportunity to transform these industries isn’t just a matter of convenience—it’s a matter of equity and economic progress.

The question is no longer if these industries will adopt fintech, but when. And for the millions of workers who keep our homes built, our food growing, and our goods moving, that change can’t come soon enough.