Scotiabank has announced a new partnership with financial technology firm ZayZoon, aimed at expanding Earned Wage Access (EWA) to employees across Canada. The initiative allows workers to access their earned wages before payday, providing greater financial flexibility without the need for payroll adjustments from their employers.
The collaboration offers Scotiabank’s business clients the ability to integrate ZayZoon’s EWA technology into their payroll systems, giving employees more control over their finances. According to ZayZoon’s recent Canadian Employee Pulse Survey, there is significant demand for such a solution, with 94 per cent of respondents expressing interest in financial flexibility options that avoid awkward conversations with employers. Additionally, 81 per cent of employees indicated they would welcome employers prioritizing their financial well-being.
Matthew Parker-Jones, Scotiabank’s Senior Vice-President of Global Transaction Banking, emphasized the importance of this partnership. “We are thrilled to be the only bank in the country to partner with this Canadian fintech to extend EWA across Canada,” he said. “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.”
For employers, the benefits extend beyond supporting workers’ financial stability. ZayZoon’s data shows that companies offering EWA experience a 29 per cent reduction in employee turnover and an eight-hour-per-month decrease in absenteeism. Additionally, these companies reportedly receive double the number of job applications compared to those without EWA programs.
Darcy Tuer, Co-Founder and CEO of ZayZoon, noted the broader impact of financial stress on workers. “Our recent pulse survey revealed that 42 per cent of Canadian workers experience significant financial stress multiple times a day or daily, and 66 per cent say this stress impacts their work performance,” Tuer said. “This partnership addresses the urgent need for solutions like EWA.”
Employees using ZayZoon’s platform can deposit earned wages directly into their bank accounts through desktop or mobile devices, with no advance required from employers. The technology integrates seamlessly into existing payroll systems, providing a low-risk option for companies seeking to enhance employee benefits without the administrative burden of offering in-house wage advances.
The EWA solution is now available to Scotiabank’s corporate and commercial clients across Canada.
