Chipotle, Chobani, Even, Prudential Financial, Verizon, and other leading companies partner with PayPal and JUST Capital to improve the financial health of the U.S. workforce
Pay Pal and JUST Capital, in collaboration with Financial health network and Good Jobs Institute, launched the Worker Financial Wellness Initiative in October 2020. Companies joining the initiative commit to conducting a financial well-being assessment of their workforce to understand their financial vulnerability and identify opportunities to improve their long-term resilience. Specifically, these companies will perform at least one assessment over a 12-month period, such as an employer-provided benefits assessment, an employee survey, or a living wage assessment.
“At PayPal, our people are the most important stakeholder we serve. It is unacceptable that any of our colleagues live in financial insecurity, and we have taken steps to strengthen and maintain the financial well-being of our employee community, ”said Dan Schulman, President and CEO, PayPal. “I am delighted to welcome more leading companies to our coalition and our common mission. Together, at a critical time in the economic recovery, we will work to make meaningful progress in improving the financial health and resilience of workers across the country.
PayPal conducted an assessment of the financial well-being of its hourly and entry-level workforce in 2018 and found that many employees were struggling to pay their bills each month despite the alignment of wages in the market. The results prompted the company to implement several changes to improve the financial well-being of its employees, including reducing the cost of health benefits, making every employee a shareholder, increasing salaries where appropriate and proposing new financial coaching programs. Since implementing these changes, the company has helped increase the minimum estimated net disposable income set by PayPal for hourly and entry-level workers in the United States to at least 18%, making significant progress towards its goal of 20%. % for all employees worldwide.
“If we are to deliver on the promise of stakeholder capitalism, we need to help more business leaders and investors understand that employees are a company’s most valuable asset and that investing in their good. being will promote long-term financial success. mentionned Martin whittaker, CEO, JUST Capital. “Through the Worker Financial Wellness Initiative, we will continue to gather a growing body of evidence demonstrating the link between the financial security of a company’s workforce and its overall business performance, and refute the anachronistic Wall Street narrative. that increasing wages destroys value. “
Participants in the initiative will have access to quarterly webinars highlighting company best practices, resources on how to develop and deploy financial wellness assessments, and private roundtables with leaders from the after. Companies interested in more specialized tools and resources can receive personalized recommendations from initiative partners based on the results of their assessments, as well as enhanced peer-learning workshops for HR teams running assessments. Partner organizations will also continue to share case studies, business cases and best practice information to help educate, inform and catalyze the wider business community. With the first cohort representing approximately 260,000 American workers in various industries, the program provides a unique opportunity to demonstrate what companies can accomplish when they come together with the common goal of improving the financial health and resilience of workers through the country.
Companies interested in joining the Worker Financial Wellness Initiative can visit https://justcapital.com/reports/worker-financial-wellness-initiative/.
Statements by companies in the cohort joining the initiative
“At Chipotle, we believe in investing in the overall well-being of our employees by providing solid benefits that address physical, mental and financial health,” said Brian Niccol, President and CEO, Chipotle. “Being a founding company of the Worker Financial Wellness Initiative demonstrates our commitment to being an industry leader and ensuring that we truly assess the overall needs of our workforce. Joining forces with other leading organizations and using our collective voices will bring greater visibility to this important issue, impacting not only our individual businesses, but potentially the economy as a whole. “
“At Chobani, we have always put our employees first, and that includes strengthening the financial health of our employees and their families,” said Hamdi Ulukaya, Founder and CEO, Chobani. “We want to make sure no one is left behind, because true financial well-being isn’t just about compensation. We are therefore taking steps to better understand our employees and their financial concerns. Chobani is proud to join the Worker Financial Wellness Initiative, providing the tools to our employees. need to manage their finances, improve their quality of life and achieve their dreams. “
“It’s no secret that it is becoming increasingly difficult to recruit and retain talent at all levels, and especially with hourly employees,” said Jon schlossberg, co-founder and executive chairman, Even. “At a time when maintaining a productive and loyal workforce is crucial, Even provides employees with the tools they need to improve their financial health, and in return, employers are rewarded with a workforce. more productive, committed and faithful work. We are proud to be a part of this initiative and I look forward to joining this coalition to highlight the importance for all employers to take an active role in the financial health of their workforce. “
“The purpose of our company is to improve lives by solving financial challenges, including those faced by our employees,” says Rob falzon, vice-president of Prudential Financial. “For more than a decade, we have surveyed our employees to better understand their financial health and inform our strategy to improve their financial resilience. The Worker Financial Wellbeing Initiative gives us the opportunity to share our ideas with others. like-minded business leaders who invest in talent to maintain their competitiveness, improve the financial position of their workforce, and help build the financial resilience of millions of American workers. ”
“Employees are the lifeblood of any growing business,” said Hans Vestberg, Chairman and CEO of Verizon. “As one of our four main stakeholders, investing in our V team and their financial well-being is critical to our future. “
Statements by organizations supporting the initiatives
“Organizations are spending millions on employee benefits, but most do not yet measure the impact of these offers and programs on the financial health of employees,” said Jennifer tescher, President and Chief Executive Officer, Financial Health Network. “What’s measured gets managed, so we’re thrilled that Chipotle, Chobani, Even, Prudential Financial and Verizon are committed to collecting the data that will help them truly understand and improve the financial health of their workforce. “
“In my research, I discovered that to achieve operational excellence, you need to have a stable, skilled and motivated workforce,” said Zeynep Ton, president of the Good Jobs Institute and professor of practice at MIT Sloan School of Management. “Businesses can’t do this without providing financial security. Employees can’t focus on their jobs and be productive when they’re constantly thinking about making ends meet. Companies cannot attract and retain talent when wages are too low. We are thrilled to be part of this initiative to create a community of practice around the financial health of workers. “
PayPal has been at the forefront of the digital payment revolution for over 20 years. By leveraging technology to make financial services and commerce more convenient, affordable and secure, the PayPal platform enables more than 375 million consumer and merchant accounts in more than 200 markets to join and thrive in the global economy. For more information visit paypal.com.
About JUST Capital
The mission of JUST Capital, an independent non-profit organization, is to build an economy that works for all Americans by helping businesses improve the way they serve all of their stakeholders – workers, customers, communities, the environment and shareholders. . We believe that businesses and markets can and should be a greater force for good, and moving resources from the $ 19 trillion private sector, we can address large-scale systemic issues, including income inequality and lack of opportunity. Guided by audience priorities, our data-driven research, rankings, indices and tools help measure and improve business performance in the stakeholder economy. To learn more about how data-driven insight is creating a fairer future for capitalism, visit www.JUSTCapital.com.
About the Financial Health Network
The Financial Health Network is the leading authority on financial health. We are a trusted resource for business leaders, policy makers and innovators united in a mission to improve the financial health of their customers, employees and communities. Through research, advisory services, measurement tools and opportunities for cross-sector collaboration, we advance awareness, understanding and proven best practices in support of better financial health for all. To learn more about the Financial Health Network, go to www.finhealthnetwork.org.
About Good Jobs Institute
The mission of the non-profit Good Jobs Institute is to help businesses thrive by creating good jobs and to redefine what it means to run a successful business. Millions of Americans are stuck in bad jobs with poverty wages, unpredictable hours, and little opportunity for growth, meaning or dignity. By making better operational choices and investing in their people, a system described in GJI President Zeynep Ton’s book The Good Jobs Strategy, businesses can create good jobs that can strengthen businesses and communities. The Good Jobs Institute partners with companies looking to implement a Good Jobs system and creates tools and resources to inspire and guide any organization that wants to deliver good jobs. To learn more about the Good Jobs Strategy and access free tools and resources, visit www.goodjobsinstitute.org.
SOURCE PayPal Holdings, Inc.