Jeanniey Walden, Chief Innovation and Marketing Officer at DailyPay, leads a discussion with Joathan Canger, SVP of Global Talent Management at Marriott Vacations Worldwide Corporation, Matthew Lutcavage, VP of Human Resources at Giant Food Stores and Robert Schultz, Sr. VP of Human Resources and Compliance at DialAmerica. They discussed what can be learned from high turnover industries at the HR Insights Summit in 2019.
Jeanniey asked Robert Schultz about using DailyPay pay on demand in respect to it being an initiative to retain employees.
Robert Schultz explained the way DialAmerica pays its employees and why DailyPay has been a useful solution. If a DialAmerica employee begins on Monday, the 1st of the month, he/she will not be paid until Tuesday the 16th. DialAmerica may experience 10% to 18% turnover in the first two weeks primarily because many employees cannot wait that long for their first paycheck. Many employees will look at other opportunities where they can make more money per hour, rather than waiting 30 or 40 days at DialAmerica, at which time they could be making even more money. What DailyPay does to fix this problem is allow employees access to their money from the start. DialAmerica has reduced turnover by six and half basis points since implementing DailyPay. This reduction in the turnover rate has allowed DialAmerica to retain more employees for a longer period of time.