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Crypto: new payroll option?
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But as employees increasingly embrace the option of having some of their savings invested in virtual assets, she pointed to some concerns, including that digital currencies are still not assets that can be liquidated often or exchanged on a day-to-day basis to buy groceries, for example.
Increasing regulation in the space has also not helped, adding further complexity to crypto payments associated with payroll, she also noted.
âAbout two or three years ago it was much easier because governments [were still behind in catching on to the trend]but all of a sudden [that has changed]â, she said, adding that apart from the United States, which has made it relatively easy to pay in crypto, most countries have made it very difficult for employees to hold crypto.
Extension of benefits
The world of employment has undoubtedly changed in recent years, paving the way for sustained telecommuting and hybrid work for most companies.
Trends such as pay-as-you-go have also gained traction as more workers seek access to their wages before the end of the government-regulated monthly payment cycle commonly used in most parts of the world. .
âThere is almost no logical reason why [employees] shouldnât be paid sooner if they stay [on the job] and work for the whole month,â Guez noted.
She added that quick access to wages is even more critical in this current macro environment of high interest rates to prevent workers from relying on predatory payday loans to make ends meet.
See also: How to Innovate with Why Isn’t My Package Tracking
In this context, she said employers would play a bigger role in initiating short- and long-term loans rather than banks, using balance sheet liabilities such as paid vacation (PTO) or severance pay. departure that are unrelated to salary payments.
With these cheaper financial services and benefits, employees who need access to funds above their salary, to buy a vehicle or cover wedding expenses, for example, can turn to their employer to make up the shortfall. financial.
This is an area where global payroll providers like Papaya, which have access to massive amounts of employee data, can also help.
âWe can estimate [employee] risk just like the bank would and also have full visibility into the liabilities an employer has on the balance sheet â so why canât we create a place where those needs are met? Guez argued.
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