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Through a deal struck with on-demand pay platform Even, PayPal employees will be able to access their pay as soon as it’s earned in the U.S.
Although not an original concept, CEO Dan Schulman is positioning the organization as one of the few large corporations switching to what’s popularly known as an “earned wage access” model.
This move comes after the initial shock of discovering employees of all levels (not just hourly and entry-level employees) struggling financially because of the pandemic.
While the company pays at or above market rate in all its locations, Schulman is determined to focus on its employees’ financial health and resilience over the next two years.
Keeping competitive in an uncertain job market is no easy task. Companies can try to do everything they can to make their employees comfortable during the pandemic, but increased wages will be at the top of every employees list.
Can’t significantly increase wages? Well, let them access their earnings earlier. This is a creative step for Schulman that not only helps strengthen his retention plan for existing employees but builds in a stopgap for the company to work on long-term solutions regarding compensation.