Since the onset of the pandemic, the healthcare industry has grappled with an alarming surge in resignations, with turnover rates consistently exceeding 26%. This labor shortage means that staffing firms and hospitals are spending an enormous amount of money and other resources on healthcare recruiting and onboarding. Taking a deeper look at what benefits clinicians are seeking, however, can reveal a relatively easy way to bolster recruiting and retention: through accelerated payments.
In a field where getting more job applicants and recruiting more nurses are must-dos to stay in business, faster pay can be the game-changer for attracting top talent. This benefit not only proves to be a long term cost-saving measure, but also acts as a magnet for prospective job seekers. In this article, we'll delve into three reasons why expedited payments can be the secret to securing the best healthcare professionals in the industry for your staffing platform or healthcare system.
1. People expect faster pay
For years, rideshare and delivery apps have been at the forefront of offering on-demand pay. However, escalating economic challenges have now made this benefit increasingly vital across various sectors including retail, food service, and healthcare. Depleted savings, inflation, and mounting credit card balances have heightened the need for workers to find solutions to cope with unforeseen expenses between paychecks. With the entrance of younger generations into the job market, there is an expectation of instant access to wages.
A significant 81% of employees expressed interest in being paid the same day as they work, making this benefit a decisive factor in job choices. The federal government has even understood the need for faster payments and latched onto this trend, launching FedNow, a program intended to make it easier for banks and credit unions to include instant payment service.
One thing is clear: this benefit is no longer a nice-to-have. Accelerated pay is on its way to be non-negotiable for workers of all industries, particularly healthcare workers who now have more options than ever when it comes to choosing where to work.
2. Faster pay signals that you care about your workforce
In this competitive landscape, on-demand pay is seen as a value-add for any company that wants to be perceived as a top-tier place to work. In fact, 62% of workers share that they feel more valued when they can access earned wages daily. Now is the time to implement healthcare recruiting strategies and incentives that demonstrate to potential applicants, as well as current workers, that you care about them. Companies that implement on-demand pay options stand to enhance the overall well-being and productivity of their clinicians and other healthcare staff.
Offering faster pay is not only about showing you care: it truly offers your workforce a vital lifeline. A whopping 94% of people say that accessing pay early helps to ease financial concerns. Many low-to-moderate income earners, such as hospital custodial staff or technicians, may have urgent financial needs such as bills and medical expenses. And even higher paid specialists may be grappling with large amounts of student debt from medical school. By offering faster pay, these healthcare professionals can cover their financial obligations, reducing the stress associated with delayed payments and ensuring a more stable financial situation.
3. Faster pay saves you time—and money
When thinking of what will move the needle on talent attraction, there are plenty of options—but choosing a free benefit like fast digital payments is a win-win when it comes to saving you time and money. In an industry like healthcare staffing, for example, trying to quickly onboard new staff and start paying them immediately can be a hassle unless you have the proper tools in place. By choosing a faster payments solution like Branch you can expedite the onboarding and payments processes so workers receive their pay right after their shift is completed. They can be onboarded on Day 1 by way of a virtual digital account, so even before receiving their physical card, workers can start getting their payments as soon as they’ve worked. This streamlined cycle contributes to fewer administrative headaches for you and lower turnover—both of which can lead to cost savings.
While there are plenty of recruiting strategies that have an associated cost—like raising wages, bonus pay, or other incentives—faster payments don’t have to be another line item on your budget. There are ways to facilitate faster pay for free, all while changing the lives of your healthcare heroes and giving your staffing firm or healthcare organization a competitive advantage in the fight for talent.