As an increasing number of organisations across the globe recognise the paramount significance of financial wellness programs for their employees’ financial health and well-being, a common awareness in the corporate sector is the concern about financial literacy among new and existing employees. 72% of the employees in Indian workplaces had no idea about how to manage their retirement savings, as per a survey by ArthaYatra. The same survey pointed out that a whopping 68% of the employees faced financial stress in their lives and 37% of the employees faced distraction at work due to the building stress.
Firms and organizations have come to discern the futility of the traditional financial programs in the wake of current times. New customized programs are required to handle employee stress by helping them manage their expenses, investments, insurance, loans, and guide them in planning their finances in the present and for their retirement in the future. The firms, therefore, are entering into tie-ups with lending portals and financial wellness partners to help them manage their employees’ finances and promote better productivity at work. By 2018, over 77% of Indian companies were expected to onboard financial wellness partners, a survey reported.
EarlySalary, among the top online lending portals in India, has partnered with more than 250 companies and assisted over 4 million employees in overcoming their financial worries. So far, it serves as a financial wellness partner to 350+ organizations. By focusing on a singular problem faced by its core target group – young salaried working professionals, EarlySalary enjoys a considerable edge over other lending portals. Let’s delve deeper into this interesting conglomeration with organizations powering financial Wellness for Corporate India.
Managing The Monthly Cash Crunch
Young professionals who may be underserved, or have just begun earning usually find it difficult to manage their expenses. The month-end financial slack is a major cause of financial stress among such professionals.
The objective behind such corporate partnerships is simple – to revolutionize the short-term loan scenario by introducing the concept of an instant digital salary advance:
- A professional can get up to 4 times their monthly salary amount as a salary advance with no liability accruing on the employer.
- The interest rates start from INR 6 per day.
- Short-term loans ranging from INR 8000 to 200000 can be availed to meet emergencies.
This helps in relieving the employer of the need to grant loans and the employee of any financial stress. The flexible repayment schedules act as a cherry on the cake letting the employees plan the repayment as per their convenience.
Education and medical needs
Besides monthly expenses, employees may require funds to finance their higher education or to pay their children’s tuition fees. At other times, a medical emergency may force them to opt for credit. Such expenses, if not met at the right time, can have serious implications on the lives of these professionals. To cover such expenses, EarlySalary ensures:
- One-click emergency loans to cover hospital bills and to pay EMIs of a previous loan.
- Tie-ups with a large network of schools and colleges for easier reimbursement of school, graduation or skill up-gradation courses’ fees. Zero down payment and zero interest on EMIs further relieve the burden of the employees.
Travel and recreational needs
A Majority of employers rightfully consider recreational needs as an intrinsic part of employee health and well-being. EarlySalary assists here as well, taking care of the travel plans, shopping needs and recreational ventures professionals may have. It has partnered with major brands – like MakeMyTrip, Flipkart, Amazon, and others- helping employees derive direct benefits:
- Employees get the convenience to shop and travel at 0 % EMI with the click of a button.
- The ES Salary card provides exclusive benefits by providing safe credit to the employees 24*7. The ES salary card provides a dynamic limit for all types of transactions.
Future financial planning
As per a survey, 33% of employers have found an increasing number of employees coming to work but unable to engage with their work. Financial stress also leads to the issues of employee turnover and absenteeism on part of the employees. Firms spend considerable amounts in recruiting and training personnel and hence, naturally making fixing such issues their prerogative. Besides current financial planning, retirement and insurance plans should also figure on the list of priorities.
With partners such as Bajaj Allianz, Apollo Munich, Coverfox – EarlySalary takes care that the premium of the insurance plans is paid on time. It offers top-ups for existing insurances and parental coverage over insurance.
Seminars and Education programs
The idea here isn’t to just assist professionals with quick cash but to ensure a high level of financial literacy for long term benefits. to boost financial courage. and their confidence. Via seminars and educational programs, employees can gain from practical advice related to credit management, budgeting, and the knowledge to go ahead with their day to day expenditure.
EarlySalary has been offering these customized solutions in association with Talent Edge. It is also engaged in conducting financial wellness seminars related to:
- Financial planning
- Credit counseling
- Debt management
- Budget guides
These programs intend no liability for the organization. There is no working capital or financial loss to the employers from running the program internally. A more productive and financially resilient workforce has organizational advantages that are fairly obvious, with the potential to go a long way in helping a firm achieve its objectives.
EarlySalary is assisting employers and employees bridge the gaps in their financial understanding via its succinct utilities and employee-centric programs. So far, over 1650 crore loan amount has been credited to the accounts of the blue and grey collared class of working professionals across India.
Many more to come!