Find out how prepaid card solutions can boost employee satisfaction, increase employee retention, and streamline your payment processes.
The challenge of retaining employees in 2022 is a very real one, with the economy still rocked by uncertainty and fierce competition to attract and retain top talent. The Great Resignation is still very much a part of the current working landscape, and the cost of hiring new employees compared to retaining existing ones could be an expense too large for some businesses.
Successful businesses realize they now need to focus on improving the employee experience and employee satisfaction – both crucial factors in retaining their people.
There are a number of ways employers can keep employees happy and drive the employee experience, and one example is payroll cards.
Why Happy Employees Matter
With U.S. businesses losing an estimated one trillion dollars every year to staff turnover, employee satisfaction matters. If you lose an individual employee, you’ll probably be looking at between one and a half to two times their annual salary to replace them, taking into account things like recruitment and training costs, delays and inefficiencies, and the impact on service delivery.
And the numbers aren’t getting any better: it’s thought that employee turnover in the U.S. will rise almost 20% in 2022. Globally, 20% of employees in a PWC survey said they’re very likely or extremely likely to change employment.
Keeping employees satisfied is crucial if employers want to avoid falling victim to those statistics. As an employer, you should be looking at strategies that allow you to provide the best employee experience possible, and then deciding which of those makes the most sense to implement.
There are strategies that can even have a positive impact on the business’s bottom line, in addition to elevating employee experience. That’s one of the advantages of payroll cards, for example.
Ultimately, the more satisfied your employees are, the more loyal, productive, and engaged they’ll be.
And while it may not be that easy to dramatically increase every employee’s wage, using a payroll process that makes it easier for them can go a long way in keeping employee satisfaction high, and thus slowing down employee turnover.
The Consequences of Poor Payroll
The consequences of a poor payroll experience all add up to unsatisfied employees, and that leads to an increased risk of employee churn.
Money is more important to many employees now than ever, and if they’re struggling paycheck to paycheck, the slightest delay or inefficiency can have a dramatic impact on their monthly budgeting. Feelings of frustration at their employer, as well as a lack of confidence in them, are likely to cause issues with productivity and morale.
It could even go further than existing employees. People talk, and if your employees are dissatisfied with the way they get their pay, it could lead to damage to your reputation as an employer and lead you to miss out on new talent.
How Prepaid Payroll Cards Improve the Employee Experience
Payroll cards offer immense value in terms of driving employee satisfaction, as they provide employees with fast, reliable, and digital access to their money. The benefits of payroll cards for employees include:
Speed
Traditional methods force your employees to collect or receive their checks, deposit them into their banks, and then wait for them. This whole process would take at least a couple of working days.
With payroll cards, employees gain speed and easy access to their wages: real-time payments mean that they are immediately available on payday. No paperwork or waiting involved.
Ease of Use and Flexibility
Payroll cards work just like a regular debit card: they can be used to withdraw money from ATMs, pay bills, and shop online or in-store. Employees with a payroll card also benefit from online or phone support for any queries they might have.
Financial Inclusion
The unbanked and underbanked in the U.S. spend hundreds of dollars a year, sometimes more, on charges, interest, and fees for financial services that others might take for granted. This impacts people’s ability to save and build a secure financial future, leaving them stuck in a financial rut.
As payroll cards don’t require a bank account, they are a great way to offer unbanked employees a way of building their financial future. With them, employees have a fast and portable way to manage their wages, without the high costs associated with other payroll methods.
Security
As well as being more secure than check payments in terms of lowering the risk of theft and fraud, payroll cards offer greater financial security to your employees. Delivering wage payments in a fast, easy, and secure way like prepaid card solutions will significantly boost the employee experience your business gives.
dash™Payroll Cards Help Put Employees First
Your employee base is one of the most valuable assets within your organization. Keeping them engaged and satisfied is key to retaining talent, and our prepaid card solutions do just that by delivering fast, technology-led payments.
At Prepaid Technologies we have over 20 years of experience in the payments industry. Our industry-leading prepaid card solution integrates seamlessly into your existing payroll, saving you time and money and delighting your employees.
To find out more about using payroll cards to improve your business’s employee experience, get in touch with one of our payroll experts today.