A recent Weavr whitepaper unveils the shift towards embedded finance in HR, highlighting a strong preference for specialised fintech solutions among benefits managers.
In a recent whitepaper titled “Flexible benefits cards: Employee choice, business control,” Weavr has illuminated the transformative influence of fintech, particularly embedded finance, on business applications utilised by HR teams. The report reveals significant trends and preferences within the HR sector regarding employee benefits schemes amid shifting workplace dynamics and rising operational costs.
Conducted by Censuswide on behalf of Weavr, the research surveyed 250 benefits managers from UK organisations with over 50 employees. According to the findings, a notable 50% of these managers are actively seeking new employee benefits solutions, with 60% indicating a strong preference for a specialised fintech offering—specifically “spendable benefit cards”—as their preferred financial tool.
These spendable benefits cards are poised to become an established feature within HR technology. Designed to improve the efficiency of payment handling in digital businesses, they allow HR and benefits managers to allocate a specific benefits budget to employees, establishing parameters regarding how and where these funds can be spent. This innovative approach not only provides a more personalised experience for employees but also enhances control for employers.
Among the features highlighted in the report are employer-branded debit cards, both virtual and physical, the ability to perform contactless payments via mobile wallets, and the implementation of custom spending rules for managerial oversight. Additionally, the report underscores the significance of real-time transaction control and visibility for enhancing accountability and user experience.
Alex Mifsud, CEO and co-founder of Weavr, expressed insights into the importance of benefits as tools for employee engagement in the UK. Speaking about the report, Mifsud stated, “Benefits have become an essential tool for employee engagement in the UK and employee expectations have rapidly evolved to match their experience as consumers. To meet these expectations, new approaches, powered by modern retail payments technology, are required.” He further noted that 72% of UK SaaS businesses are currently exploring embedded finance options, with HR and benefits technology being among the frontline adopters in this trend.
The report also delves into the challenges faced by benefits managers. It reveals that rising business costs have adversely affected the quality of employee perks, with 27% of managers citing this as a key issue. This concern is matched by the increasing number of employees working from home or abroad, with 80% of managers reporting at least some staff who operate outside the headquarters’ country.
As the landscape of employee benefits continues to evolve, spendable benefits cards and other fintech solutions are expected to redefine business practices and improve employee engagement. For further insights, the complete whitepaper can be accessed from Weavr’s website.
Source: Noah Wire Services
- https://startupsmagazine.co.uk/article-60-managers-back-employee-spend-cards-benefits – Corroborates the Weavr whitepaper findings, including the survey of 250 UK benefits managers and their preference for spendable benefits cards.
- https://startupsmagazine.co.uk/article-60-managers-back-employee-spend-cards-benefits – Details the features of spendable benefits cards, such as employer-branded debit cards, custom spending rules, and real-time transaction control.
- https://www.thanksben.com/resources/guides/flexible-benefits-guide – Explains the concept of flexible benefits, how they empower employees, and their impact on employee engagement and satisfaction.
- https://www.thanksben.com/resources/guides/flexible-benefits-guide – Discusses the customisation of voluntary and core benefits, and the importance of eligibility rules in flexible benefits programs.
- https://www.getbenepass.com – Highlights the various types of flexible benefits programs, including lifestyle spending accounts, wellness programs, and family support, which align with the concept of spendable benefits cards.
- https://www.getbenepass.com – Shows how companies like Benepass are designing personalized, global employee benefits programs, which is in line with the evolving expectations of employees.
- https://www.weavr.io/blog/future-proofing-employee-benefits/ – Supports the idea that 60% of benefits managers value spendable benefits cards and discusses the future of employee benefits with fintech solutions.
- https://startupsmagazine.co.uk/article-60-managers-back-employee-spend-cards-benefits – Mentions Alex Mifsud’s insights on the importance of benefits for employee engagement and the need for modern retail payments technology to meet evolving employee expectations.
- https://startupsmagazine.co.uk/article-60-managers-back-employee-spend-cards-benefits – Details the challenges faced by benefits managers, including rising business costs and the increasing number of remote or international employees.
- https://www.thanksben.com/resources/guides/flexible-benefits-guide – Emphasizes how treating employees as adults who can make their own decisions fosters a more respectful and engaging workplace, aligning with the benefits of spendable benefits cards.
- https://www.weavr.io/blog/future-proofing-employee-benefits/ – Discusses how spendable benefits cards and other fintech solutions are expected to redefine business practices and improve employee engagement in the evolving landscape of employee benefits.
