Another firm is stepping up with services to provide long-term care employees with access to part of their wages before payday. New York-based senior living and skilled nursing provider Mission Health Communities has partnered with DailyPay to provide its workers with on-demand access to earned wages.
It’s a financial wellness benefit many operators have been considering recently, as a way to both help workers better manage their day-to-day finances, but also differentiate providers and help with recruitment efforts amid staffing shortages. In addition to DailyPay, vendors such as OnShift and PayActiv provide similar services.
Leaders at Mission Health say the move has been a top retention strategy when it comes to supporting valued healthcare staff. Research by the Mercator Advisory Group, commissioned by DailyPay, indicates that healthcare workers stay 73% longer on the job with access to DailyPay, helping to enable them to provide essential care to members of their community for a longer period of time. The data also shows that offering DailyPay reduced turnover by 50%.
More than half of Mission Health’s staff took part in the first few months of its launch, said Cheri Kauset, vice president of customer experience and communications at Mission Health Communities, who called it “a differentiator in our space.”
The service works by allowing employees to move money they have earned that week from the DailyPay app into a checking or savings account or on to a pay card provided by Mission Health, said DailyPay’s CMO and workplace expert, Jeanniey Walden. She added that having access to wages on-demand can be “truly life-changing” for workers who may live paycheck-to-paycheck and easily fall into debt when faced with unexpected financial emergencies, fees from taking out a payday loan or late fees for bills they couldn’t pay on time.
“The app allows workers to easily see what’s coming in their next paycheck, and whether that is enough to pay their bills,” Walden said. “If it’s not, they can pick up extra shifts. It really allows them to proactively manage their money, and even start to put a bit aside into savings.”