Category Archives: News

CIPD Manchester

Coming off the back of a great Employee Benefit (EB) Live we were really buzzing to see how our free employee benefit would be received at the CIPD event in Manchester.

We were not disappointed….Thankfully!

The event space was stunning, and the audience were engaged. Being a relatively new company, this was our first exhibition in Manchester so it was exciting to be on the road with the team and presenting Hastee Pay to what is arguably the largest forum for HR professionals in Europe.

The general theme of the event was financial wellbeing – which is great as it means it is 100% on the radar. Much like EB Live, many of the HR professionals were cautiously optimistic about our offering.

An interesting observation from the team was that many of these HR professionals were unsure what financial wellbeing meant to them and their workforce, but admitted that ‘Financial Wellbeing is on the agenda for next year”. So they know it’s important, but there is a lack of education on what it means and how important it is. Hence why we produced our Workplace Wellbeing Study, to try and demystify some of the themes around financial wellbeing.

Unlike other financial wellbeing products out there, Hastee Pay is a “non-lending” solution and the word is out that this is a popular way to go to help alleviate worker reliance on payday loans and high cost credit, BEFORE they get in to debt.

There has been a growing amount of HR professionals approaching us (which is nice) saying “I’ve heard about this recently, tell me more” which as anyone in a new market knows, is great news.

It means we’re being disruptive and changing the way employers are thinking about paying their workforce and in turn making a positive impact on their staff.

There is still a long road ahead and we (as an industry) must focus on educating people on the benefits of this type of pay solution.

Liam and Matt – Client Engagement Managers

5 nominations!

This week see’s the sixth Payments Awards at the Grosvenor Marriot Hotel, with companies across the payments spectrum jostling for the prestigious awards and prime industry recognition.

 

 

Hastee Pay is delighted to be nominated for five awards and joins Saxo Bank as the most nominated company from the 2016 awards.

We’re honoured to be alongside huge industry players such as HSBC, Nat West, Starling Bank, Mint, Iwoca and Worldpay.  We’re proud to be revolutionising how people get paid as well as increasing workers’ financial wellbeing by empowering them to pay themselves any day and remove the reliance on the traditional monthly pay cycle.

Our nominations are for:

Personal Finance App of the Year;

Best Mobile Payments Solution,

Lending Initiative of the Year,

Payments Start-up of the Year, and

Most Disruptive Payments Technology.

Whilst the Payments Awards is our industry version of the Oscars, there are no media predictions of who will win.

Watch this space….

Link between financial and mental health

Back in August we released the findings of our Workplace Wellbeing Study and as it was received so well, opening many employers’ eyes to the financial struggles of the modern day workforce, I thought I’d share a few highlights of the independent study that really made people sit up and listen:

 

  • Of the 1,000+ workers interviewed, financial stress impacts their sleep (38%), social life (29%), relationships (29%) and importantly their health (23%)
  • Nearly three-quarters of 18 to 34-year-olds have experienced mental health or well-being issues linked to money
  • 52% of managers see value in providing employees with an on-demand payment app
  • 32% of people have not been able to make it into work as a result of not having enough funds to pay for their commute due to an unexpected cost
  • Financial stress has impacted 21% of the workforce – this rises to 30% for people in higher level roles
  • 25% of workers state that they have suffered from a lack of concentration at work due to their finances
  • 54% of earners say frequency of pay has an impact on their lifestyle choices

 

You can’t get through a day without the subject of mental health popping up in your social feed, in conversations or on whatever news outlet you consume – mental health is a huge issue, but thankfully the stigma is slowly being removed and people are getting more comfortable speaking about it. There is still a long way to go.

 

Whilst recently trailing through the NHS website to reassure myself that my daughters latest rash was just because she had drawn on herself with a pen that she is allergic to and not anything more sinister, i came across this really helpful article on coping with money worries.

 

We are fully aware that we have a big responsibility, given the space in which we exist, to provide clear and objective information on how financial stress impacts on mental and physical health and how we see Hastee Pay being a contributor to the easing of these stresses and reducing the big payday spikes that can cause the problems.

 

Mind, the mental health charity, have advice that states, amongst other factors, that getting organised is one of the key elements to a healthier relationship with your finances. Hastee Pay allows you to do just that, allowing you to smooth your income throughout the month, spending what you need to and removing the big peaks and troughs that can be so stressful.

 

Honesty alert – Hastee Pay or solutions like ours, are not the silver bullet to financial tranquillity, don’t believe anyone who tells you otherwise. If you earn £20k a year, but spend £25k, there is always going to be a deficit. However, good financial education coupled with help and advice from bodies like the NHS and fantastic charities like MIND on how to manage your money, all contribute to a solution that reduces financial stress.

 

We believe Hastee Pay is part of this solution to help workers have a better relationship with their finances and smooth their income across the month.

 

Words by Jamie – Marketing Director

Only a Pavement Away

Today we are announcing our partnership with Only A Pavement Way (OAPA), a recently-launched charity acting to help homeless and vulnerable people struggling to get into work overcome hurdles of finding employment.

Launched at the Houses of Parliament on 10th October, OAPA was founded by representatives from the hospitality industry. Its principal aim is to act as a conduit to help those struggling to get into work overcome hurdles by finding jobs within the hospitality, pub and restaurant industry, giving everyone the opportunity to establish meaningful careers. Initially focusing on helping the homeless to find jobs in the hospitality industry, the charity has extended its reach to ex-service personnel, ex-offenders and those with learning difficulties.

Every person who finds employment through OAPA will get 12 months unlimited, free use of Hastee Pay, giving them immediate access to their earned pay from day one to help empower them financially and reduce their financial stress as they establish themselves in their new jobs.

Additionally, to celebrate the launch of OAPA, Hastee Pay will donate 50% of all the proceeds for a period of three months from the operators and partners of OAPA who sign up to Hastee Pay before Christmas 2018.

We’re incredibly proud to support OAPA in its crucial mission helping the most vulnerable in society access their right to work and get back on their feet financially.

Immediate access to earnings will be so empowering for those coming from difficult situations who simply want to earn a living but would otherwise struggle to reach their first payday.

Words By James, CEO

Full release here:

OAPA PR Release FINAL

We’re on the DIT Trade Mission to San Fran

 

BREAKING NEWS.

We are delighted to announce we have been selected to showcase our expertise by joining the Department of International Trade UK Fintech Trade Mission to San Francisco this November.

We are looking forward to meeting with US regulators, VCs, industry players and gain insight to doing business overseas and continue our global expansion.

It is great to be recognised by the UK Government for the work we are doing at Hastee Pay. It is vital that we enable people to access their earned pay so they do not have to use expensive forms of credit at times of financial need. We are keen to learn and meet with industry players in San Francisco and expand our revolution of how people are paid.

We’ll be in San Francisco from November 12th -16th – will be sure to send a postcard or two.

 

Words by James – CEO

Workplace Wellbeing Study 2018

Financial wellbeing – a real insight.

We recently conducted our own unique research into workers’ dependence on high-cost credit options. The study exposed amongst many things, that those in steady employment are struggling to balance their incomings and outgoings, which paints a worrying picture.

Some of the highlights were:

 

  • Of the 1,000+ workers interviewed, financial stress impacts their sleep (38%), social life (29%), relationships (29%) and importantly their health (23%)
  • Nearly three-quarters of 18 to 34-year-olds have experienced mental health or well-being issues linked to money
  • 52% of managers see value in providing employees with an on-demand payment app
  • 32% of people have not been able to make it into work as a result of not having enough funds to pay for their commute due to an unexpected cost
  • Financial stress has impacted 21% of the workforce – this rises to 30% for people in higher level roles
  • 25% of workers state that they have suffered from a lack of concentration at work due to their finances
  • 54% of earners say frequency of pay has an impact on their lifestyle choices

 

To read the full details on financial wellbeing in the workplace please click below.

The Workplace Wellbeing Study – Hastee Pay 2018

Disrupting Pay Cycle

Forward-thinking employers must explore alternative payment models to stay relevant in the wake of evolving demands from the modern workforce

Employers are continually challenged to go the extra mile in providing workplace perks. This helps businesses compete by attracting, retaining and motivating talent to maintain healthy levels of productivity in the workforce. Remote working schemes and free food and drink are increasingly common workplace benefits, but are these enough to satisfy the younger generations who will soon make up the majority of the workforce? Employers must fulfil their duty of care, but with millennials and now centennials known to be increasingly expecting workplace initiatives that are flexible, transparent, fast and mobile, employers could find that their duty of care has to extend to covering employee wellbeing beyond working hours. This is true of all work environments including within the growing gig economy.

The implementation of carefully-formulated wellbeing strategies in UK workplaces was recently reported to have grown by 20% within the past year, according to REBA’s 2017 Employee Wellbeing Research, and that trend looks likely to continue to grow throughout the coming years.

But why should employers care, and how far should the duty of care extend? Some might argue that providing paid employment with fair workplace policies and a comfortable working environment should be enough to keep workforces satisfied. Ultimately it comes down to how much the employer wants to keep up with the evolution of workplace trends and see the correlation to help them attract, retain and motivate the best talent and demonstrate greater levels of productivity.

While some employers will be content with simply following the best practice trends as they emerge, others will want to be seen as the leaders at the forefront, driving new trends in employee wellbeing and employee satisfaction. For those that wish to be known  as the leaders of the charge, it will be crucial to recognise the most pertinent daily struggles of their employees and explore proactive and practical ways to help provide some form of relief.

Following the money

By extending their duty of care to cover the financial wellbeing of the workforce, employers can increase their appeal to new talent, retain existing personnel and ensure the best possible engagement from their workforce. Research from debt charity Step Change shows that financial troubles have a significant impact on mental health with 5,000 users of the charity’s online debt counselling service over one year showing signs of anxiety or depression.

The charity’s research also uncovered more worrying findings, showing a steep 34 percent rise in the number of under-25’s seeking help with high cost credit in the last two years.  With experts at Manpower Group predicting that by 2020 millennials (now aged 21-35) and Gen Z (aged 20 and younger) will make up more than half of the entire workforce, the financial wellbeing of employees has never been a more important factor.

Disrupting the payroll cycle

Money is undisputedly the number one concern and driver on the minds of most employees. A study done by the American Psychological Association shows that 61 percent of respondents face poor mental health due to financial stress. Whilst free drinks and a nice working environment can improve our work life experience (and a little PR), for most people money is understandably the reason to get out of bed in the morning.

However, the rising epidemic of financial insecurity has led to a reliance on risky payday lenders, with one in every ten UK employees utilising payday loans every year and 70 percent of those relying on payday loans on a regular basis according to research by The Guardian and Pews. And that’s before you take into account overdraft fees and the even more worrying and costly alternatives. Employers that can offer a safer, easier and more ethical solution built around those principles will find it easier to recruit, retain and engage talent. By offering an alternative to payday loans, employers can encourage and reward productive behaviour, creating a positive multiplier effect for all parties to win; workers feel less stressed, resulting in greater productivity for employers. While many could be left scratching their heads over how this can be achieved, the answer is plain and simple. It’s time to disrupt the way people are paid.

While monthly payroll works for the employer, it doesn’t always serve the worker. Beyond the demanding expectations and requirement for instant gratification within younger generations, employers must acknowledge the financial burdens that can so quickly intensify, even for the steady earners. Research from The Times shows that, at a time when both consumer debt and the cost of living are high, and real wages and savings are down, 33 percent of middleclass families are struggling to pay the bills and couldn’t cope with an unexpected £500 bill.

Employers still wondering why any responsibility should fall on them should take note that 38 percent of workers would move to a company that prioritises financial wellbeing within its workforce according to research by Barclays. Those that employ full time workforces and those that rely on shift, variable, gig and seasonal workers could see huge benefits from offering workers quicker and easier access to their pay. It has also been shown that there is a direct link between effort and reward that benefits both employer and worker.

Removing the struggle of individuals waiting long periods for pay that they have already earned no longer has to rely on businesses changing their payroll cycles and risking cashflow dilemmas. With new HR technologies available, businesses can embrace giving workers instant access to the wages that they have already earned with zero impact on companies’ cashflow.

All of the evidence in favour of disrupting existing pay-cycles is there in plain sight but it’s down to employers to decide whether they want to adapt to the necessary demands of the modern workforce or sit back and watch as other businesses take strategic advantage and flourish through a stronger, happier and healthier workforce  I can’t help but suspect that within a few years, we’ll look back and laugh when reminiscing on monthly pay the same as we do with CDs, Blockbuster video rentals and landline phones.

Mobile Project of the Year!

See below for the Press Release on our win at Digital Technology Leaders Awards 2018!

 

 

 

 

Digital Technology Awards 2018 – Win 

 

 

CIPHR & Hastee Partnership

Click for details of our partnership with CIPHR.

 

 

 

 

CIPHR PR Release FINAL

 

Are millennials being financially forgotten?

First seen in CIPP in June 2018.

It seems today’s younger generations have been struck a raw deal. They’ve been priced out of the housing market, the retirement age has risen, and they’re dogged with debt in a world that encourages them to keep spending. This is confirmed in a 2018 study from by Resolution Foundation which revealed that UK millennials are the second worst-hit financially in the developed world.

Another study from the National Endowment for Financial Education found that while 69 percent rated their financial knowledge highly, only 24 percent of millennials demonstrate basic financial literacy. Could it be that through a lack of financial awareness, this generation is truly struggling to survive between Instagram posts of smashed avocado on toast? Or could it be that the demands of modern society are forcing them to over-stretch themselves and rely too heavily on parents, credit cards and overdrafts to fund their lifestyles without any real regard for future financial stability?

On the one hand, they have been lumbered with a higher cost of living as average price inflation for the UK recently reached its highest since April 2012. On the other hand, highly targeted online ads, social media influencers plugging products from high-paying brands and a growing influx of ‘must-have’ subscription services are just a few of the forces encouraging them to keep spending.

An education in arrears

There are various factors contributing to the financial struggles of younger generations. Student debt, which has now reached a record high of £100bn, is forecast to reach £160bn by 2022. A debt-free future seems increasingly unlikely for younger generations considering university tuition fees are now at £9,000 per year.

According to the Institute for Fiscal Studies think-tank, an estimated 83 percent of graduates will not fully clear their debt within the three decades in which they are expected to complete repayment. Further research from First Direct reveals that 43 percent of millennials are planning on using money inherited from their parents to pay off their debts.

The continuing housing crisis means one in four millennials are yet to fly the nest. While it’s easy to assume this generation has become comfortable living off their elders, a study from the Resolution Foundation found that despite having to spend three times more of their income on housing than their grandparents, they have to make do with a poorer standard of accommodation.

When it comes to employment opportunities, millennials are often accused of being job hoppers. Gallup’s 2016 study “Millennials: The Job-Hopping Generation,” does indeed reveal that millennials are the most likely generation today to switch jobs. Yet, the report suggests that many millennials would rather not have to continually switch jobs, they do so because employers don’t give them compelling reasons to stay.

The report states that “while millennials can come across as wanting more and more, the reality is that they just want a job that feels worthwhile — and they will keep looking until they find it.” Hardly surprising considering less than half of UK graduates are in jobs that actually require a degree.

Striking a healthy balance

This generation are facing unique financial challenges that differ significantly from those that their parents encountered.

Clearly, younger generations would benefit from a greater education around their finances. Educators should review their approach based on the challenges that these generations are facing, and employers should do their part too.

Employers should also consider taking steps to increase financial wellbeing in the workforce because they have a responsibility to ensure their financially vulnerable workers are given a fair chance, just like the generations before them.

From providing free financial guidance to reviewing whether payment processes really fit in with modern financial demands, employers must shoulder some responsibility. In doing so, they could even benefit from gains in recruitment, retention and productivity through more financially healthy and confident employees.

It’s evident that the world has changed when it comes to managing personal finances. Today’s younger generations have been thrust into coping in adverse financial conditions and they’re displaying worrying signs of financial illiteracy. They are being forced to adapt to new financial struggles with no real guidance on how or where to start. Responsibility should not just fall on the individual, family unit or the government. Employers will need to shoulder some of this responsibility if millennials are not to be forgotten and given a fair deal.

Hastee Pay