Scotiabank Partners with ZayZoon to Revolutionize Payroll in Canada by Offering Earned Wage Access Solution
TORONTO, Sept. 19, 2024 /CNW/ - Scotiabank and ZayZoon, a financial empowerment platform, announced today a strategic partnership to expand Earned Wage Access (EWA) in the Canadian market. EWA allows employees to access their earned wages before payday with an innovative solution that easily integrates into employers' payroll systems. This collaboration will bring EWA to the forefront of employee benefits, offering greater financial flexibility and control for workers across Canada.
Many households face challenges when balancing budgets, managing unexpected expenses, and attempting to avoid high-interest debt. ZayZoon's recent Canadian Employee Pulse Survey revealed an opportunity for employers to strengthen relationships with their employees. The survey found that 94% of workers want solutions that provide financial flexibility without the need for difficult conversations, and 81% of employees expressed enthusiasm for employers prioritizing their financial wellness. This highlights a growing trend where businesses can enhance job satisfaction and loyalty by investing in benefits that improve financial health.
Through this partnership, Scotiabank business clients can now add EWA to their employee benefits package, supporting employee financial stability, improving job satisfaction, and reducing turnover, all aimed at boosting overall business performance.
"We are thrilled to be the only bank in the country to partner with this Canadian fintech to extend EWA across Canada," said Matthew Parker-Jones, SVP of Global Transaction Banking. "This initiative aligns with Scotiabank's commitment to delivering solutions tailored to our clients' evolving needs and promoting financial wellness and innovation for Canadian employers and employees."
This partnership allows Scotiabank's corporate and commercial clients to offer EWA without the costs and complexities of an internal wage advance program. Employees can deposit funds directly to their bank accounts through desktop and mobile devices, requiring no financial advance from employers. ZayZoon's technology integrates seamlessly into existing employers' payroll systems, providing a low-risk solution for Scotiabank's business clients. The security and scalability of this technology ensure a seamless experience for employers and employees alike.
By offering this flexible benefit, Scotiabank's business clients can support their employees' financial health, leading to a more engaged and resilient workforce. ZayZoon's pulse survey discovered that 61% of respondents declared that access to EWA would improve their overall financial well-being and reduce financial stress. In fact, 74% of employees using the ZayZoon platform report having less financial stress1. Employers using EWA report a 29% reduction in turnover2, an 8-hour-per-month reduction in absenteeism, and receive twice as many job applicants compared to those who don't.
"As the financial landscape evolves, so must the benefits we provide. The Scotiabank and ZayZoon partnership marks a pivotal moment in advancing financial wellness and represents a significant step forward in our mission to save 1 million working Canadians 1 billion dollars," said Darcy Tuer, Co-Founder and CEO of ZayZoon. "Our recent pulse survey revealed that 42% of Canadian workers experience significant financial stress multiple times a day or daily, and 66% say this stress impacts their work performance. This partnership addresses the urgent need for solutions like EWA. We're excited to work with Scotiabank to bring this innovative solution to Canadian businesses and their employees, giving them greater control and flexibility over their financial lives."
This EWA solution is available to Scotiabank corporate and commercial clients across Canada. For more information on EWA and how companies can leverage this solution to empower their employees, visit: https://scotiabank.com/ca/en/commercial-banking/banking-solutions/payments/receiving-customer-payments/zayzoon.html
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About Scotiabank
Scotiabank's vision is to be our clients' most trusted financial partner, to deliver sustainable, profitable growth and maximize total shareholder return. Guided by our purpose: "for every future," we help our clients, their families and their communities achieve success through a broad range of advice, products and services, including personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets. With assets of approximately $1.4 trillion (as at July 31, 2024), Scotiabank trades on the Toronto Stock Exchange (TSX:BNS) and New York Stock Exchange (NYSE:BNS). For more information, please visit www.scotiabank.com and follow us on X @Scotiabank.
About ZayZoon
With ZayZoon, payday finally comes with the push of a button. Employees can use ZayZoon to get paid part of their earned wages when they need. The platform also offers educational resources and tools to help workers break the paycheck-to-paycheck cycle. And it works. 74% of employees who use ZayZoon report less financial stress and employers who offer ZayZoon boast a 29% reduction in turnover. To learn more, visit ZayZoon at: https://www.zayzoon.com/canada
SOURCE Scotiabank
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