"The health crisis has really shown us that within the broader workforce, regardless of whether people are salaried or hourly, the majority don’t have enough savings in the bank to last for a week or two-week period," notes Warren Perlman, As the pandemic has disrupted the traditional payroll process, Ceridian has embraced this rapid change as an opportunity for value creation with employers and employees alike.
The following is an excerpt from What Did You Change?, contributed by Ceridian Executive Vice President and Chief Information Officer Warren Perlman.
The pandemic has forced industries worldwide to reinvent themselves in just a few short months. More critically, the health crisis has really shown us that within the broader workforce, regardless of whether people are salaried or hourly, the majority don’t have enough savings in the bank to last for a week or two-week period. As one of the world’s fastest-growing human capital management companies, Ceridian embraced this rapid change as an opportunity for value creation with employers and employees alike.
In the spring, we announced the availability of Dayforce Wallet, an industry-first, on-demand pay solution. Dayforce Wallet leverages the Dayforce platform’s unique continuous calculation capabilities for an accurate, on-demand payment instead of an approximation of earnings.
This has helped provide much-needed disruption to the traditional payday cycle. It evolves the antiquated concept of a fixed pay period to allow people to be paid in real time, at any time. With benefits for all involved, we’ve seen customers embrace on-demand pay technology as a means of encouraging financial wellness for their people.
With recent signs indicating a continued upward trend toward health risks, financial strain and stress for workers, the need to provide people with flexible access to their wages has heightened the urgency for a modernized pay model. Using the Dayforce Wallet app, employees can request a payout of their earnings whenever they need it. They can also manage their finances, check their balances and track their transaction history.
We believe Dayforce Wallet is a game-changer because it can deliver emergency funds or other forms of financial support to employees whose circumstances may be adversely impacted. It will have a continued impact on how workers manage their finances and deal with unexpected expenses, which may have been difficult to pay for without credit or payday loans in the past.
At the same time, it helps position workplaces as employers of choice by providing employees with modern technology they value using.
On-demand pay will have a lasting impact on organizations well beyond the pandemic. The future of work is here, and this disruptive technology will be a true differentiator for those who embrace it.