Islamabad, Oct 16: Shariah-Compliant Earned Wage Access Neem Launches New Solution for Salaried Class
In Pakistan, where economic hardships frequently force the salaried class—especially the frontline workforce—into debt cycles, Neem has launched Neem Paymenow, an earned wage access (EWA) solution compliant with Shariah that aims to give salaried workers in the country financial relief and encourage economic empowerment.
According to Neem, Paymenow has a specialized technology and enablement team that can interface with any payroll system, from intricate HRMS platforms with APIs to straightforward Excel files.
As for the benefits for the employer, those are the most relevant ones:
The key benefits for employers include:
- Zero cost – Neem Paymenow is free for companies to offer to their employees.
- Zero cash flow implications – Neem Paymenow provides all the funding for the EWA product, so the company can keep its capital where it’s needed most.
- Reduced operational complexity and cost – Neem Paymenow offers a seamless, tech-enabled, scalable, and cost-effective alternative to the manual, resource-intensive salary advance solutions that some companies may be managing internally.
- Improved employee retention – By addressing employees’ financial needs and investing in their well-being, employers can reduce the costs associated with hiring and retaining staff.
Increasing strain on the financial stability and well-being of salaried workers
Pakistan’s salaried segment, especially the frontline workforce in retail, healthcare, security, manufacturing, and logistics sectors, often faces major financial pressure and runs out of money way before payday.
Constant financial anxiety can lead to hopelessness, anxiety, depression, and even suicidal tendencies.
This is where Neem Paymenow steps in—a meaningful financial wellness solution that offers employees responsible access to their earned wages before payday, providing a debt-free alternative to traditional financial options.
Neem Paymenow, a new product launched by an established embedded finance platform, Neem, stands out as a unique value proposition in Pakistan’s financial landscape. The solution is not just another EWA service; it’s a commitment to the financial well-being of the country’s workforce, particularly those who need it most.
Niran Rehman, Director at Neem Paymenow said,
Our goal with Neem Paymenow is to offer a solution that provides financial relief to Pakistan’s hardworking salaried workforce. Many employees we spoke to often had to borrow from friends, family, or high-interest loan sharks due to a lack of alternatives and no access to their earned wages. As a result, our objective is to support employees and improve the financial health and well-being of the companies that employ this segment of our society.
Neem Paymenow is designed to support Pakistan’s frontline workforce by providing timely, responsible access to their earned wages when they need it most. Tailored for employees in industries with high demand for ethical financial solutions, Neem Paymenow is Shariah-compliant, allowing workers to access their earnings in a manner that aligns with their values.
Employees can withdraw up to 40% of their salary, promoting responsible usage without overspending. The platform is also accessible in both Roman Urdu and English, ensuring it reaches a broader audience.
To further enhance financial wellness, Neem Paymenow includes gamified financial education modules that cover essential topics like savings, budgeting, and fraud prevention, empowering workers to better manage their finances long-term.
An easy solution for employers to roll out at zero cost
Neem Paymenow positively impacts both employers and employees in Pakistan by integrating seamlessly with payroll systems at no cost.
By enabling workers to access their earned income prior to payday, it increases output and lessens financial strain. This strategy improves workforce well-being overall, reduces hiring expenses, and increases employee retention.
- Incremental accumulation – Neem Paymenow does not provide employees with a lump sum at the beginning of the month that they can easily cash out. Employees can only access the wages they have already earned. This means an employee must work a day to gain access to a portion of their wages for that specific day. This incremental access helps prevent overspending.
- Access to only a portion of their salary – Neem Paymenow allows employees to access only a portion of their earned wages. This safeguard ensures that employees do not withdraw their entire salary, which reduces the risk of overspending.
- Incentivized in-app free financial education – Neem Paymenow incorporates gamified financial education into the platform. When a user registers for the first time, they are placed on the lowest tier, which limits how much of their earned wages they can access. By completing free financial education modules, users earn points and move up tiers, gaining access to more of their wages.
Backed by credible partners with global experience
In collaboration with Paymenow, a renowned EWA supplier in the South African market, and with support from DNI Group, a mutual investor in both businesses, Neem is launching Neem Paymenow, its EWA solution. In order to hasten the introduction and expansion of the Neem Paymenow solution throughout Pakistan, DNI Group has additionally extended a $4 million credit facility.
Deon Nobrega, Paymenow CEO commented,
We’re proud to collaborate with Neem, bringing our global expertise to deliver a solution that aligns with the needs of Pakistan’s workforce. Together we have created Neem Paymenow, making financial wellness accessible and ethical.
These partnerships bring together global expertise and local understanding, ensuring that Neem Paymenow is not just a product but a movement toward financial empowerment in Pakistan.
Ziyaad Manie- Chief Strategy Officer- DNI Group said,
Financial inclusion and sustainability are at the heart of DNI’s objectives as a Group. Neem Paymenow embodies these core principles, and we are delighted to be invested in an initiative that truly benefits and helps people.
More than just a financial tool
The platform assists in easing the financial burden experienced by the working class by providing early access to earned salaries. This lessens their reliance on high interest loans and fosters financial stability.
Neem Paymenow is aggressively expanding into important sectors like manufacturing, logistics, retail, and healthcare in an effort to connect with more companies that use front-line staff.
It’s important to note that Neem Paymenow charges staff members for the use of the service. Nonetheless, because the business is a totally Shariah-compliant service, its pricing strictly complies with Islamic law. Most importantly, businesses can use the service for free.
he fee is a small service charge for giving workers instant access to their wages; it is not interest-based. This maintains equity and pays for the provision of this necessary service,” it continued.
