Paywatch: PH firms with ‘earned wage access’ cut employee turnover

Insider Spotlight

• Firms adopt earned wage access to improve employee retention
• Financial wellness emerges as core workforce strategy
• Paywatch expands tools beyond early wage access offerings
• Data shows reduced debt and improved savings among users

Companies in the Philippines are increasingly turning to earned wage access (EWA) as a lever to improve employee retention, reflecting a broader shift toward embedding financial wellness into core business strategy.

Why it matters

High turnover industries are driving demand for benefits that go beyond traditional compensation, with financial stability now seen as critical to workforce engagement and loyalty.

What’s happening

Paywatch, a Southeast Asia-based financial wellness platform, said adoption of EWA is accelerating among employers seeking to support workers’ day-to-day financial needs without adding debt burdens.

Earned wage access allows employees to tap salaries they have already earned before payday, helping bridge gaps between pay cycles.

Rowell del Fierro

Paywatch's Philippine chief said the firm's service is now being used by 70 local firms with a combined user base of 100,000 employees.

“Organizations are already recognizing the importance to employees of providing debt-free and timely access to earnings and its impact to their financial security and overall well-being,” said Rowell del Fierro, country manager of Paywatch Philippines. “They know this translates to employee engagement level and productivity.”

The big picture

Companies are reframing financial wellness as a retention tool rather than a peripheral benefit, particularly in sectors with high operational demands.

“The results we’re seeing are consistent across markets. When employees have better control over their finances, businesses see stronger engagement, retention, and productivity,” said Sandeep Mulajkar, managing director of Paywatch Philippines. 

“The focus now is on scaling these solutions to reach more workers and embedding financial wellness into core business strategy.”

By the numbers

Paywatch data shows 78 percent of Filipino users say EWA helps them manage expenses better, while 45 percent report reduced household debt and 34 percent see increased savings.

Meanwhile, gaps persist in financial resilience nationwide, with many households still relying on borrowing for daily expenses.

What’s next

Paywatch is expanding beyond EWA into a broader suite of services including bill payments, insurance, and rewards, aiming to build a workplace-based financial support ecosystem.

“Across Southeast Asia, financial wellness is moving from a peripheral benefit to a core part of how companies support and retain talent,” said Alex Kim, president and co-founder of Paywatch. 

“Earned Wage Access may be the entry point, but the real opportunity lies in building a more comprehensive ecosystem that gives employees greater control and confidence in managing their finances.” — Daxim L. Lucas | Ed: Corrie S. Narisma