Connect with us
Anglostratits

Business

Earned Wage Access—A Fintech Marvel Empowering South Africans

Published

1 year ago

on

South Africa

Times are hard for many South Africans. Living costs are rising faster than salaries, leading many households to rely on credit to meet their financial needs. According to Finmark Trust (https://apo-opa.co/4679HVD), 75% of adults who borrowed in 2024 used the credit for essentials like food. This issue is particularly stark among low-income earners who often turn to costly micro-lenders and exploitative loan sharks.

But a new concept, earned wage access, provides a strong alternative, and digital technologies are making it simple for employers to offer this service.

The burden of low-income earners 

Living expenses and debt burdens pressure some households, while others have sudden emergencies such as medical or vehicle bills. A shortfall of household savings often pushes people towards micro- and informal lenders.

These avenues dramatically increase the cost of lending, with legal lenders able to charge 5% interest monthly (https://apo-opa.co/4oNtKzI) as well as numerous administrative fees. Such arrangements can lead cash-strapped earners into deeper financial holes, isolating them from more palatable credit options.

While some can borrow against their salaries, it creates considerable work for employers who need to administer the loans, manage repayment processes, and avoid risks such as money laundering and bank account fraud.

“Corporates spend a lot of their time managing resources, so our teams are inundated with requests from either lending or trying to understand how to manage people’s cash flow. We have many examples where people come through and see how they can access some portion of their money if they have a medical emergency or if they have some type of financial distress. They try their best to really fix that issue,” says Jarred Deacon, Head of Growth at TymeBank ZA.

This is why TymeBank has partnered with Deel Local Payroll to provide early wage access (EWA), a financial empowerment service for businesses that offers a financial lifeline to their struggling employees.

EWA arrives in SA 

We empower the employee and give them the opportunity to access the money as they earn

EWA is not a standard credit service that loans money to individuals. Instead, an employee withdraws a portion of wages they have already earned that month, paid to a predesignated account or provided as vouchers through retailers such as Boxer stores.

“We empower the employee and give them the opportunity to access the money as they earn. Instead of waiting for the 25th, instead of waiting for your payday, you can draw down when you feel you are ready or when you need your money. So, we’re empowering employees through ease of use,” says Deacon.

The service first appeared in the early 2010s in the United States, and well over 7 million US workers used EWA in 2022 (https://apo-opa.co/4lNofyc) for $22 billion in transactions, according to the Consumer Financial Protection Bureau report. EWA is very attractive, with a majority of employees expecting such payment flexibility from their employers. Today, major corporations, including Walmart and McDonald’s, offer EWA.

The service is growing in South Africa, where TymeBank and Paymenow are leading the trend in collaboration with Deel Local Payroll’s PaySpace platform.

“EWA is a modern fintech product. It uses automation and API integration to streamline the underlying processes, making access easy while taking care of regulatory requirements. By using a cloud-native payroll platform such as ours, financial institutions extend EWA services to businesses and their employees. It’s fast, safe, and keeps overheads low,” says Warren van Wyk, Director at Deel Local Payroll.

Responsible finance 

Is it responsible to let employees access their salaries early? While this is a concern, most employees are using EWA wisely, only accessing relatively small portions of their wages.

According to Paymenow (https://apo-opa.co/3HUTp92), the average employee draws around 10% of their monthly wages ahead of paydays. Employers are also able to set a cap on withdrawals, typically between 25% and 30%.

EWA avoids lending conditions where fees and repayments can dramatically exceed the loaned amounts. The service also improves productivity and employee wellbeing, since many employees say that financial stress occupies their minds while working, and some spend several work hours focusing on personal finance issues.

Financial worries and lack of access to reasonable credit options are pushing many South Africans to the brink, heaping pressure on their jobs, their families, and their employers. Early wage access, powered by cloud-native digital fintech platforms, provides an alternative that employees can trust and employers can control.

“It’s amazingly seamless,” says Van Wyk. “In some examples, employees can access funds through USSD menus or apps on their phones, and the financial service provider handles most of the due diligence and compliance, not the employer. We’ve often heard that digital innovation can democratise finance for more South Africans. EWA is an excellent example of that promise in action.”

Distributed by APO Group on behalf of Deel Local Payroll, powered by PaySpace.

Related Topics:
Continue Reading
Advertisement

Business

Carbon, water and grid investment move to the centre of Africa’s business resilience agenda

Published

6 hours ago

on

September 24, 2026

By

A new series of VUKA Group webinars will bring industry experts together to examine these challenges and the practical decisions organisations need to make

JOHANNESBURG, South Africa, September 24, 2026/APO Group/ –Commercial and industrial businesses, utilities and investors across Africa are being forced to confront three increasingly connected challenges: credible decarbonisation, water security and the infrastructure required to support reliable power systems.

A new series of VUKA Group webinars will bring industry experts together to examine these challenges and the practical decisions organisations need to make.

 




 
Commercial and industrial compliance in the spotlight

On 29 September 2026 at 13:00 SAST, Carbon, compliance and credible energy claims: What C&I customers must get right will explore how commercial and industrial energy users can align renewable energy procurement with carbon accounting standards and evolving reporting obligations.

The discussion will examine the evidence required to substantiate renewable electricity claims, the role of Renewable Energy Certificates in Scope 2 reporting, the implications of mechanisms such as the EU Carbon Border Adjustment Mechanism and how organisations can reduce greenwashing risk while strengthening emissions reporting.

Speakers include Sanelisiwe Mdlalose, Hulamin; Hendrick Raedani, City of Ekurhuleni; and Duane Newman, EY.

Register for the carbon compliance webinar: https://apo-opa.co/4AtqRKf

These issues will continue at the C&I Energy + Storage Summit Johannesburg, 28–29 October 2026 at The Maslow Hotel, Sandton, where energy procurement, carbon taxes, renewable integration, storage, market reform and industrial resilience form part of the programme.

Find out more about the Summit: https://apo-opa.co/4xMkZsR

Strategy for African water resilience

Water resilience takes centre stage on 30 September 2026 at 14:00 SAST with From water risk to water resilience: How South Africa’s water-intensive industries are securing their future.

The webinar will examine how businesses are responding to ageing infrastructure, supply uncertainty, rising costs and sustainability pressures by improving efficiency, diversifying water sources and investing in reuse, recycling and smarter water management.

The webinar line-up includes Benoit Le Roy, South African Water Chamber NPC; Nsuku Chankira, Thungela; Molatelo Motau, Heineken Beverages; Marilyn Maduka, Credew Limited; and Philindile Mahlangu from Magalies Water as moderator.

Register for the water resilience webinar: https://apo-opa.co/4z0aJyx

The conversation continues at Water Security Africa Johannesburg, co-located with the C&I Energy + Storage Summit, where industrial water independence, infrastructure finance, digital water systems, reuse and business continuity will be explored across two days.

Read more here: https://apo-opa.co/4yfjlBj

Towards Africa’s scalable energy transition

Looking to the infrastructure enabling Africa’s energy transition, Scaling transmission infrastructure: Innovative financing models for emerging markets takes place on 14 October 2026 at 14:00 SAST, moderated by Tshegofatso Neeuwfan, Global Energy Alliance.

Using the Mozambique Temane Transmission Project and insights from Belgian transmission system operator Elia, the webinar will explore bankable project structures, risk allocation and investor engagement that can help move major transmission projects from planning to delivery.

Register for the transmission infrastructure webinar: https://apo-opa.co/4ycMnkS

Transmission investment, project delivery and financing will remain central to Enlit Africa, 11–13 May 2027 at the CTICC in Cape Town, bringing Africa’s power, energy and water sectors together around supply security, investment and infrastructure development.

Join the Enlit Africa 2027 programme waiting list: www.Enlit-Africa.com

Distributed by APO Group on behalf of VUKA Group.

 




 

Continue Reading

Events

Dongfeng Motor’s 10th Science and Technology Innovation Week and 1st User Lifestyle Festival Kick Off in Wuhan

Published

8 hours ago

on

September 24, 2026

By

Dongfeng

Over the course of ten editions spanning a decade, Dongfeng Motor’s Science and Technology Innovation Week has further strengthened the connection between technology and users

WUHAN, China, September 24, 2026/APO Group/ –On September 14, Dongfeng Motor’s (​http://www.Dongfeng-Global.com/) 10th Science and Technology Innovation Week and 1st User Lifestyle Festival kicked off in Wuhan. With the theme “ Wind from the East, Creating a Smart Life,” the event showcased the innovative achievements of a Chinese automaker in intelligent and green mobility, as well as its global expansion.

 




 
 

At the opening ceremony, Dongfeng Motor unveiled the “Sky-Clean Zero-Carbon” Plan, the Embodied Intelligent Vehicle All-Domain Protection Plan, and the “Sky Horizon Voyage” Plan. Among them, the “Sky-Clean Zero-Carbon” Plan leverages the “1331” framework to build an integrated vehicle-energy ecosystem, aiming to achieve more than 1 million tonnes of coordinated carbon reduction annually and promote the transformation of automobiles into mobile energy assets; the Embodied Intelligent Vehicle All-Domain Protection Plan adopts a “1+6+4” technology system to establish a new paradigm for all-domain vehicle safety in the era of embodied intelligence; the “Sky Horizon Voyage” Plan establishes a “125” global business strategy, with plans to invest RMB 50 billion and launch more than 50 vehicle models, while striving to achieve overseas sales of 1.5 million vehicles by 2030.

 

Over the course of ten editions spanning a decade, Dongfeng Motor’s Science and Technology Innovation Week has further strengthened the connection between technology and users. At Dongfeng Motor’s 1st User Lifestyle Festival, more than 240 owner representatives from its various brands gathered in Wuhan. Dongfeng also launched the “Dongfeng Youxin” service brand for its broad user base, establishing a full-lifecycle user service system.

On the same day, the 72nd International Commercial Vehicle and Parts Exhibition opened in Hannover, Germany. Three Dongfeng hydrogen-powered vehicles and a 400-kilowatt fuel cell making its global debut are on display at Booth C20 in Hall H12.

Distributed by APO Group on behalf of Dongfeng Motor Corporation.

 

 




 

Continue Reading

Events

Global Mayors Dialogue in Wuhan focuses on urban innovation and cooperation

Published

14 hours ago

on

September 24, 2026

By

The Global Mayors Dialogue

WUHAN, CHINA – Media OutReach Newswire – 23 September 2026 – The Global Mayors Dialogue · Wuhan and the 2026 Wuhan International Friendship Cities Cooperation Conference, held from Sept. 18 to 21, brought together 80 international guests from 24 cities across 22 countries, according to organizers.

At the event, mayors and city representatives from six international sister cities of Wuhan called for closer cooperation in technology, industry, education and culture.

Representatives from Manchester in Britain, Kemi in Finland, Cape Town in South Africa, Yangon in Myanmar, Rzeszów in Poland and Turkistan in Kazakhstan took part in discussions on urban innovation, industrial cooperation and cultural exchange.
 




 
Manchester: a new start after 40 years of friendship

This year marks the 40th anniversary of the sister-city relationship between Wuhan and Manchester.

Shaukat Ali, lord mayor of Manchester, said the city was ready to deepen cooperation with Wuhan in education, culture, youth affairs, innovation and industry.

“Manchester is committed to promoting urban transformation through open cooperation, sharing opportunities, and fostering common development with international sister cities like Wuhan,” he said.

Ali said Manchester had developed from a post-industrial city into an innovation-oriented economy, with a focus on advanced manufacturing, artificial intelligence, life sciences and green technologies.

He said the two cities could share experience in urban transformation, innovation districts, university-industry cooperation and low-carbon development, while encouraging links among universities, businesses and research institutions.

He also highlighted existing educational and cultural links, including cooperation between Hubei University and Manchester Metropolitan University and exchanges between the Royal Northern College of Music and Wuhan Conservatory of Music.

Kemi: balancing growth with environmental protection

Mikko Koivulehto, chairman of the City Council of Kemi, said the Finnish city sought to balance economic growth with environmental protection.

“We believe that protecting nature and building a prosperous city can go hand in hand,” he said.

Kemi, a port city in Finnish Lapland, has developed industries based on renewable raw materials, clean energy and the bioeconomy. The city is also seeking to expand tourism and improve livability.

This year marks the 10th anniversary of the friendly exchange relationship between Wuhan and Kemi. The two cities have cooperated in areas including trade, the circular economy, tourism and youth exchanges.

Cape Town: technology and jobs key to urban transformation

Lungelo Mbandazayo, city manager of Cape Town, said technological innovation, talent development, infrastructure and green renewal were key to Wuhan’s transformation.

Cape Town, a UNESCO City of Design, is seeking to expand its technology and digital sectors while promoting green technology and an inclusive economy.

Mbandazayo said youth unemployment remained a major challenge for Cape Town and that technological development needed to create jobs.

After visiting Wuhan companies and technology facilities, he said Cape Town hoped to deepen exchanges with Wuhan in technology and talent.

Yangon: seeking practical cooperation with Wuhan

Yangon Mayor Myo Myint Aung said the city was looking to Wuhan for experience in smart-city development, digital governance, intelligent transport and urban resilience.

Wuhan and Yangon signed a letter of intent on friendly exchanges and cooperation during the event.

Yangon is developing a long-term plan to accommodate population growth and expand its urban, industrial and transport infrastructure.

During a visit to Wuhan on Sept. 19, Myo toured the Optics Valley “Photon” suspended monorail, HGTECH and a Xiaomi smart home appliance factory.

“We came to Wuhan not just to observe, but to learn and cooperate,” he said, adding that Yangon hoped to develop smart manufacturing and strengthen cooperation in information technology.

Rzeszów: opportunities in aerospace and technology

Rzeszów Mayor Konrad Fijołek said the Polish city hoped to cooperate with Wuhan in aerospace, sensor technology, biodiversity and climate action.

Rzeszów is home to the “Aviation Valley,” a major aerospace cluster in Central Europe.

“Exploring cooperation with Wuhan is the reason I came here,” Fijołek said.

After visiting HGTECH and a Xiaomi smart home appliance factory, he said Wuhan’s automated manufacturing and technologies in sensors and satellite systems had impressed him.

He said cities could help connect universities, businesses and research institutions and promote international cooperation.

Turkistan: five areas for cooperation

Turkestan Mayor Azimbek Pazylbekuly said his city hoped to expand cooperation with Wuhan in tourism and culture, education and science, investment and entrepreneurship, digitalization and innovation, and transport and logistics.

Wuhan and Turkistan signed a memorandum of intent on friendly exchanges and cooperation during the event.

Turkistan, an ancient Silk Road city and a UNESCO World Heritage site, has been developing industries including food processing, textiles, furniture and construction materials.

Pazylbekuly said cooperation between governments, businesses, universities and research institutions could help turn the two cities’ exchanges into concrete projects.

The conference also included friendship-city anniversary celebrations and a signing ceremony for 10 cooperation projects. A digital list of cooperation opportunities and an initiative on international friendship-city cooperation were released.

During their stay, the visiting mayors toured Wuhan’s technology, manufacturing and ecological facilities, including the Optics Valley suspended monorail, a Yangtze finless porpoise conservation center, Xiaomi, HGTECH and Dongfeng Motor facilities.
  




 

Continue Reading

Trending