Within the episode, Kailee and Stacy focus on:

• DailyPay’s mission to offer workers with on-demand entry to their earnings

Stacy: For many individuals which might be working throughout the nation in the USA, merely ready two weeks or extra for his or her paycheck may cause fairly a bit of economic pressure, and it results in issues like overdraft charges or late charges or curiosity funds and even the necessity to entry payday loans. And so we figured we’re all residing in an on-demand world, so why don’t we have now the best to have our pay on demand as effectively? We don’t imagine that anybody ought to have to attend two weeks; you must instantly have entry to the cash that you simply’ve earned. So, at DailyPay, we’re reimagining the best way that cash strikes from the second that work begins. We accomplice with America’s main employers throughout the nation, from small employers to a few of the largest, and actually work with them to combine into their payroll, time and attendance, and human capital administration programs, in order that their workers can log in and see real-time “how a lot have I labored” and “how a lot have I earned”.

We provide a first-of-its-kind expertise platform that’s actually bringing earned wage entry to workers throughout the nation, in order that they’ll see “how a lot have I earned this week?” and know that they’ve entry to it if and once they want it.

• Why DailyPay’s goal market spans throughout industries

Stacy: I believe there’s most likely only a few individuals we’ve ever talked to that don’t imagine that they need to have entry to the cash they’ve earned once they’ve earned it. And so, actually, the goal market is throughout each business that employs individuals. And we’re actually working with individuals throughout eating places, QSRs, hospitality, retail, manufacturing, grocery, and so on — primarily any business that employs individuals.

• Why DailyPay didn’t begin by specializing in a selected business

Stacy: I believe the sort of commonality throughout our purchasers is much less a couple of particular business and extra about their mindset. So it actually is the forward-thinking employers who’re placing their workers’ monetary wellness first and are serious about the function that they play in bringing that soundness to their workers as a result of they know that as workers have much less monetary stress, they’re extra engaged at work. There was a current research that for Gen Z alone, three out of 4 individuals said that monetary stress has a unfavorable affect on their well being. So if you happen to assume as an employer, , you need people who really feel nice about their life, really feel nice about working for you, and in flip are actually delivering that positivity to your clients.

• DailyPay’s income mannequin

Stacy: So we’re working with employers like Goal, Hilton, Kroger, Greenback Tree, Dick’s Sporting Items, and in addition to common suspects you’d take into consideration like McDonald’s, Taco Bell, and Burger King. So how can we work? We’ve received a enterprise to enterprise mannequin the place we combine into their timekeeping, their payroll, and their attendance programs, and thru that integration, we’re in a position to see, how a lot have their workers labored to this point this week.

When an worker logs into DailyPay, which they do about as soon as per day on common, they’re actually logging in to see, “how a lot have I labored”, “how far am I within the pay cycle?” And if they should entry that cash, they’ll accomplish that within the DailyPay app. So once they log in, they’ve 3 ways to entry their cash, two of that are free. They both can arrange a subsequent day ACH fee that will be a free switch. They’ll additionally do a free switch to DailyPay’s Friday Card, which is a pay as you go debit card. Or they’ll do an prompt switch to an account of their selection, which is a $3.49 flat price. Consider it as an ATM price.

I discussed that customers log into DailyPay about as soon as a day, and what we see is that they’re checking their steadiness to see “how a lot have I earned”, and we additionally see a correlation then within the incentive it’s creating for these workers then to select up extra shifts.

Actually, the DailyPay customers at our employer clients are working 10% extra hours on common than their fellow colleagues that aren’t utilizing DailyPay. So it truly is an unbelievable device for them to see the place they’re and in addition a really motivational device when it comes to serving to them obtain a few of the issues that they’re saving for or payments that they know which might be coming.

Then, as well as, past simply earned wage entry, we even have a couple of options round free monetary teaching. So customers that wish to higher optimize their money flows in and their money flows out can make the most of that teaching. We even have an auto-save function that customers can arrange — so coming proper out of their earned wages is a set quantity of financial savings that they wish to go into their financial savings account inside the platform as effectively. So employers that wish to reward workers for possibly working much less fascinating shifts or selecting up additional hours throughout holidays have that chance to essentially reward their workers by means of the DailyPay platform. A number of totally different options like which might be useful each for the worker and the employer and sort of align each the employer and the worker on what’s finest for his or her clients.

• Stacy’s perspective on aggressive place, and the significance of actually “earned wage” entry

Stacy: So EWA, whereas it’s a shared acronym for each early and earned wage entry, we really feel very strongly concerning the significance of actually earned wage entry, as a result of it’s built-in into the employer’s programs. The worker that’s logging in is aware of that that is cash that they’ve earned, in order that they see it as one other account, just like the way you log into your financial institution and also you see a checking account or a financial savings account. You log in and also you see your earned wage entry account.

So it actually is the most secure and most safe mannequin for the worker, as a result of they know that they’re actually tapping into cash that’s an correct illustration of what they’ve earned thus far.

We do additionally accomplice with banks and monetary establishments in addition to HR tech platforms as effectively, to have the ability to convey earned wage entry by means of to their clients.They’re an necessary a part of the ecosystem in our mission of bringing earned wage entry all over the place.

And actually, we see sort of our largest competitors as employers selecting to do nothing round earned wage entry, which is a danger for them. They’re actually lacking out on the advantages of with the ability to rent sooner and hold their workers longer. An organization that is ready to have earned wage entry, and ship it by means of an built-in resolution with DailyPay, is actually in a position to supply to their workers 100% entry to their earned wages at any level within the pay cycle, which could be very totally different from an early wage entry product, which can enable entry to a portion of your cash simply two days early. So we see that actually as a few of the key differentiators, each the strengths of partnerships that we have now throughout the ecosystem of expertise companions and monetary companies companions; actually the arrogance that workers have once they log into DailyPay to know that they’ve entry to 100% of their earned wages at any level within the pay cycle.

• The longer term for earned wage entry

Stacy: I believe all employers will supply earned wage entry. You realize, we actually are on a mission to convey that to each working American within the nation and past the USA as effectively. And in reality, , it’s fascinating once I speak to our purchasers, they level out that earned wage entry, once they roll it out to their workers, is both the primary or quantity two most adopted profit of their firm. And if it’s quantity two, it’s second solely to healthcare. So you concentrate on the significance that gaining access to earned wages has in your worker base. And it’s no shock, the affect that employers are feeling and the affect that workers are feeling. So, we’re meaningfully persevering with to increase our enterprise purchasers. We have now over a thousand enterprise purchasers, simply to present you an concept of scale, with over 4 million of their workers which might be a part of the platform. I discussed that we white label our product as effectively to banks and monetary establishments, in order that they’re serving our earned wage entry from DailyPay by means of to their purchasers as effectively. And Friday, the pay as you go Visa card that I discussed is one other entry that we have now for patrons to have the ability to actually convey that earned wage entry to the purpose of sale. Lastly, I hinted on the worldwide enlargement that we’re exploring. So, , we’re shifting past simply bringing this profit to people who find themselves working inside the USA, recognizing that the on-demand want and tradition exists globally. And so we’re trying, what are the following international locations that we convey our information entry to?

• The chance for employers that fall behind within the Earned Wage Entry motion

Stacy: We predict that the most important danger, actually, is for employers to fall behind within the Earned Wage Entry Motion. You see employers, possibly you’ve seen it as you’re driving down the road, actually put out indicators, “work at the moment, receives a commission at the moment”, as a result of they understand how necessary that’s in attracting expertise in at the moment’s continued tight labor market. For employers, we are saying that DailyPay helps them rent sooner, hold their workers longer, and their workers work more durable whereas they’re there. And we actually see that enhance in tenure of the DailyPay workers at these employers. We see the DailyPay workers working 10% extra hours and so it’s an enormous danger for employers to not offer earned wage entry after we know that there’s such a requirement from the worker base. You see thatwithin the developments within the gig financial system; lots of our employers that we’re working with they’re additionally making an attempt to recruit people who find themselves considering “do I choose up a gig financial system job at the moment the place I can do my hours that I set and I receives a commission on the finish of the day? Or do I am going work for considered one of my one of many employers who’re a part of the DailyPay ecosystem?” The competitors for excellent workers is hard, and employers have actually discovered DailyPay as a means to assist differentiate. And on the flip aspect, we see workers as effectively, having large advantages from the DailyPay supply.

Actually, we did a research that acknowledged that folks spend better than $1,000 a yr on late charges, bank card funds, even payday mortgage curiosity. And we’re in a position to assist workers actually keep away from all of these sorts of costs as a result of they’ll faucet into their earned wage entry account. They see that as cash that’s theirs that’s sitting in one other account that they’ll entry.

95% of the DailyPay customers that had been utilizing payday loans are now not utilizing payday loans. That’s for us such an incredible stat and so motivating as a result of this was one thing I heard just lately and I simply discover it stunning. However the variety of payday mortgage places on this nation is double the variety of McDonald’s places. So if you happen to really feel like, gosh, I see McDonald’s in each nook, consider actually how rampant the payday mortgage business is.

So what we see for employers is providing earned wage entry to their workers is at all times 100% a greater choice than their workers turning to late charges or overdraft funds or curiosity funds.

• The affect of wage compression in healthcare

Stacy: Over the previous few years with the inflation and actually the growing hourly wages that we see throughout industries, you see totally different industries sort of get compressed. And so some industries, the place the hourly wage was a lot greater than say a fast serve restaurant or retail, the QSR and retail industries have actually needed to enhance their hourly wages fairly a bit to be able to compete and nonetheless keep expertise. So on the identical time, now you concentrate on who’s on the upper finish of hourly wages it was the healthcare staff. And because the retail and QSR and restaurant wages have come up, they’re asking themselves, , gosh, working in healthcare is de facto actually very traumatic, proper? It carries loads of emotional toll as effectively. And, , once they begin to see these hourly wages compressed, they are saying, , ought to I be switching industries and simply work a way more relaxed and sort of quiet job? And so we did some analysis inside our healthcare business and actually targeted on what we name the “healthcare heroes”, with some analysis round how are they experiencing stress and the stress of economic scenario. It’s probably not shocking that all of them reported having stress from their funds that had been leading to issues like unfavorable affect on their sleep or psychological well being or shallowness or, bodily well being. We’re individuals, so whenever you’re feeling that stress in your day-to-day life, you’re bringing that to your work as effectively. And when you concentrate on particularly the healthcare business, we’d like individuals which might be on the entrance strains in healthcare to have the vitality to serve the sufferers that they’re there to look after. And so we’ve partnered with numerous totally different purchasers throughout the healthcare business who’ve a few of the highest adoption throughout their workers of the DailyPay providing. And , the response that we’re listening to from their workers is tremendous encouraging, they are saying “I’m extra more likely to stay at my job if my employer simply gives DailyPay or an on-demand pay profit”. And 64% of them say they’re really searching for that in a brand new employer. So employers are seeing DailyPay actually as a differentiated solution to entice and retain workers. And workers are getting used to what it feels prefer to have entry to the pay that you simply earn every day, and simply be in way more management of the funds and payments and prices.

• DailyPay’s strategic priorities over the approaching years

Stacy: Our main mission is bringing earned wage entry all over the place. We’re doing that by means of an amazing focus of working immediately with employers that wish to supply this to their workers. We’re working with banks and monetary establishments who see earned wage entry as one other kind of account that they might be providing to their, to their clients. You realize, think about if you happen to log into your retail banking app in your telephone and also you see, okay, I’ve received my checking account, my financial savings account, and my DailyPay account or your earned wage entry account — you’re actually seeing the complete spectrum of all the cash that you’ve that makes up sort of your monetary basis. And we see there’s loads of methods to ship cash out of your accounts. DailyPay is de facto one solution to convey cash into your accounts.

So we’re doing an amazing quantity of innovation with banks and monetary companions, empowering by means of our white label providing numerous their earned wage entry choices. We’re additionally persevering with to innovate with HR tech companions. So we’ve received very sturdy partnerships with ADP, with Workday, UKG, SAP, Oracle, and partnering with them on bringing earned wage entry to their purchasers and generally as a white label module inside their choices as effectively.

Then, we’re persevering with to have a look at what are adjacencies that we must be additional serving to workers with. So offering entry to their cash, can we additionally present them entry to methods to earn extra money? Do we offer them with smarter, extra clever methods to save lots of or make investments? So these are all issues that we’re taking a look at. And, as well as, how can we higher assist our employer purchasers as effectively? A number of the wants that they’ve is that they’re actually empowering their frontline staff to finest serve their clients. And what are the adjoining sort of choices round simply earned wage entry, as an example, issues like digital tipping and different methods of actually managing their frontline staff, as it may be sophisticated whenever you’re managing tens of hundreds or a whole lot of hundreds of workers throughout hundreds of places.

• Stacy’s journey from her advertising and marketing roles at Dun & Bradstreet and Cisco to COO at DailyPay

Stacy: My journey to COO at DailyPay most likely started even earlier than my stints in advertising and marketing. I began my profession as an engineer doing software program improvement in Silicon Valley. I used to be in product administration, I used to be in expertise consulting, after which sort of moved by means of advertising and marketing and ran a enterprise at Dun & Bradstreet as a normal supervisor and now COO at DailyPay. I believe what’s necessary concerning the function of a Chief Working Officer is it truly is about making certain that your organization is balancing each development and scale. At DailyPay, we’ve been tremendously lucky to have an unbelievable development price over the eight years of our existence. We’re at a stage the place scale, not solely to serve our employers throughout the nation, however as we begin to serve employers globally as effectively, is extremely necessary. And so I believe it’s actually the sort of the cross-functional nature of the journey that I’ve been on that brings all of these capabilities collectively to have the ability to see what are the alternatives actually for development from a business perspective. However foundationally, how can we make it possible for we’re constructing not solely the expertise, but additionally on our processes to assist the dimensions that we’re accelerating into for the long run.

• What Stacy’s function as a COO seems like day-to-day

Stacy: It’s sort of balancing development and scale — so actually working throughout our departments on making certain that we’re benefiting from transformation and automation and efficiencies. So actually constructing, taking out sort of guide processes and leveraging expertise and AI to have the ability to do issues so much smarter. However then I’m additionally partnering with our gross sales and our business group round “how can we optimize for routes to market?” If our mission is to convey earned wage entry all over the place, have we actually arrange the right protection throughout direct promoting into employers themselves, channel promoting by means of our banking and expertise companions, and actually sort of trying throughout the spectrum for alternatives to raised assist the best way that we’re driving our development, the best way that we’re bringing the best sorts of merchandise to our clients, after which ensuring we’re doing that in a really clever and environment friendly trend

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About DailyPay

DailyPay is on a mission to construct a brand new monetary system for everybody. DailyPay delivers an on-demand pay resolution with trendy, insight-driven pay methods that assist America’s main employers to activate their workforce and construct stronger relationships with their workers, in order that they really feel extra engaged, work more durable, and keep longer. DailyPay works to make sure that cash is at all times in the best place on the proper time for employers, retailers, and monetary establishments. DailyPay is headquartered in New York Metropolis, with operations based mostly in Minneapolis and Belfast.

About Stacy Greiner

Stacy Greiner serves as Chief Working Officer, DailyPay. She most just lately served because the Basic Supervisor of the Gross sales and Advertising and marketing Options division of Dun & Bradstreet, the place she was liable for all Revenue & Loss. Her expertise spans Senior Govt roles at Cisco, IBM, and Accenture the place she led globally-diverse Product, Advertising and marketing, Engineering, and Information & Analytics organizations. Educated as an Aerospace Engineer at Iowa State College, Greiner additionally holds an MBA from the Massachusetts Institute of Know-how (MIT) Sloan College of Administration. She sits on the board and serves as a member of the Audit Committee of Proto Labs, Inc.

Concerning the Writer

Kailee Costello is an MBA Candidate at The Wharton College, the place she is a part of the Wharton FinTech Podcast crew. She’s most captivated with how FinTech is breaking down boundaries to make monetary services extra accessible — notably within the private finance house. Don’t hesitate to achieve out with questions, feedback, suggestions, and alternatives at kaileec@wharton.upenn.edu.

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