Earned Wage Access benefits

SOUTH Africans are struggling under the weight of rising costs – and there are a number of ways employers can support their employees through these tough times, while cutting their own costs too.

- SIMON ELLIS

Employers could offer financial education, help employees manage their loans and expenses, provide access to confidential advice, and offer tools and resources to help them learn how to budget or manage debt.

Financial support

Employers could also choose to offer benefits such as earned wage access (EWA).

EWA provides employees with access to a portion of the wages they have already earned in advance of their regular payday. Unlike payday loans, which can saddle people with exorbitant interest rates, EWA is offered and managed by employers as a benefit. Employees are paid without a fee made up of a small percentage of the total amount (for example 2%) and a flat transaction fee.