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Company disburses N100m as salary advance to workers in 6 months

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 Earnipay a Fintech company that offers flexible on demand salary access has disbursed about N100 million to salary earners in the past six months The Chief Executive Officer of Earnipay Mr Nonso Onwuzulike made the disclosure during an interaction with journalists in Lagos on Wednesday He said that the disbursement was aimed at relieving the workers hellip
Company disburses N100m as salary advance to workers in 6 months

NNN: Earnipay, a Fintech company that offers flexible on-demand salary access,  has disbursed  about N100 million to salary earners in the past six months.

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The Chief  Executive  Officer of Earnipay, Mr Nonso Onwuzulike, made the disclosure  during an interaction with journalists in Lagos on Wednesday.

vanguard newspaper today

He said that the disbursement was aimed at relieving the workers of financial handicap  they encountered at month ends before salary payment.

vanguard newspaper today

Onwuzulike  said that over 40 per cent of salary earners ran out of funds  before month ends making them financially challenged  before their salary payment.

According to him, most of Africa’s workers are paid monthly  unlike in more developed countries  where salaries are paid weekly or bi-weekly.

He said that  low monthly wages which, he said, characterised Africa, could not take care of the lifestyle.

“What ends up happening is that income earners take salary advances or borrow money at high interest rates.

Onwuzulike said that such income earner used the borrowed money to  offset their daily expenses and emergencies and would eventually fall into a debt cycle.

He said that few individual businesses had sought to tackle the problem and allow employees to access daily salaries.

According to  him, about N100 million has been accessed by  salary earners in advance on the Earnipay  platform which  integrates with companies’ existing payrolls or human resource management systems.

‘’ We partner with employers to achieve  daily earnings  based on the number  of days of work, and break the money to number of days  worked.

‘’ Earnipay  solves the problem  that people are actually  experiencing  such as the long-wait type of payment,  leveraging technology,’’ he said.

Onwuzulike  said that Earnipay provided employers  with funds that could be accessed by employees when needed.

He said that such healthy  financial practice would reduce debts to  ‘loan sharks’ with heavy interest rates as well as improve productivity among employees.

He said that  employers  who subscribed to  Earnipay would have access  to cash  flow without  any interest rate.

Ms. Busayo Oyetunji, Chief  Operating Officer of Earnipay,  said that  the company was developed  based on human  experience and would enhance a better life.

Oyetunji said that access  to funds by employers  at no interest for payment of employees, sustenance of value  and increase in productivity was the goal of Earnipay.

The News Agency of Nigeria reports that Earnipay, launched in January, has raised  $4 million in seed financing led by early-stage venture capital firm, Canaan. (www.nanews.ng)

NewsSourceCredit: NAN

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