The last two years have been hard for employers all over the world. Mercer’s COVID-19 pulse survey found that most of the employers in Southeast Asia including Indonesia observed a higher turnover rate, especially at the mid-career level when compared to past years, with 55% of the employers listed employee dissatisfaction with pay as the main cause for attrition, followed by the employee’s ability to get better benefits at another company (46%).
Furthermore, employers in Indonesia are most likely to experience employee turnover in the weeks following Eid al-Fitr holiday, with a LinkedIn study published long before the pandemic backing up this claim by showing that 1 in 10 Indonesian employees changed jobs after Eid Al-Fitr. This seasonal phenomenon has made it more challenging for employers to retain their existing employees.
"Throughout the pandemic, we’ve been doing all we can to support employers by trying to help address some of their biggest pain points, such as employee turnover rate and retention. Our unique employee benefits solution strengthens the bond between employers and their employees, and consequently, employees stay longer, more engaged, and more satisfied with their job,” - Tobias Fischer, CEO at wagely.
The development of employee benefit programs has made impressive strides in recent years, but it is still far from meeting the needs of today’s workforce. Employees know what they expect from their employers, yet many companies continue to offer outdated benefit options instead of meeting their individual needs. As a result, employers do not only lose talent by not providing the right benefits, but employees grow increasingly unmotivated and unhappy with their situation.
"As we work with HR leaders of many large companies across the country that employ thousands of workers, we have found that our EWA technology has significantly reduced employee turnover, increased productivity, as well as made a strong impact in attracting and recruiting great talent. Additionally, while we help their employees stay out of high-cost credit and predatory lending, we also help employers reduce “kasbon” so they can increase their cash flow and reduce administrative burden for businesses,” - Tobias Fischer, CEO at wagely.
One of wagely employer partners whose employees are now forever changed as a result of offering wagely is Mustika Ratu who also won the Indonesia HR Awards 2021. Mustika Ratu has reached 100% enrollment in wagely and 98% utilization, and the implementation of wagely has reduced employee turnover.
"At Mustika Ratu, we are always looking for ways to keep our employees happy, and partnering with wagely is a real pleasure. We have noticed a reduction in turnover and increase in productivity during our partnership. There has also been an increase in the number of job applications for open positions because of wagely. We include that we offer the EWA benefit program in our recruitment materials, which has resulted in a huge boost in the number of applications we receive.”
- Jodi Andrea Suryokusumo, CFO at Mustika Ratu.
In addition, wagely is rolling out a campaign #MeettheHRoes for HR communities who have been at the forefront when it comes to supporting their employees and looking after their wellbeing in celebration of the International HR Day - a global recognition of the dedicated people whose hard work makes the HR profession a vital function across all industries. This year’s theme “HR shaping the new future” which implies a leading change to improve working lives is in line with wagely’s approach towards helping employees achieve financial wellness which will also benefit employers, organizations and society as a whole.
Some activities that will be carried out throughout the campaign include #BincangHR, a series of webinars and talkshows with HR Heroes where they will share the innovative approaches adopted to address HR challenges and wagely’s participation at the most prestigious annual conference on human resources for top executives and HR professionals in Indonesia and the ASEAN region - the Indonesia HR Summit 2022.