In a country where economic challenges often push the salaried class, particularly the frontline workforce, into cycles of debt, Neem has introduced Neem Paymenow—a shariah-compliant earned wage access (EWA) solution designed to provide financial relief and promote economic empowerment for salaried workers in Pakistan.
Talking to ProPakistani, Neem said this Paymenow has a dedicated enablement and technology team equipped to integrate with any payroll system, from complex API-based HRMS platforms to simple 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. The rising cost of living and unforeseen expenses force many to rely on high-interest financial sources like bank loans, loan sharks, or credit cards, trapping them in a cycle of debt. As a result, a large portion of their salary goes toward repaying debts, leaving little for savings or essential needs. This cycle of borrowing and repayment leads to financial stress, affecting the long-term financial stability and well-being of those individuals, their families and wider communities.
The psychological toll of running out of money and relying on loans is severe for many salaried employees in Pakistan. 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 timely solution for Pakistan’s salaried workforce
Earned Wage Access (EWA), or on-demand pay, allows employees to access a portion of their earned wages before payday. This solution is gaining global popularity for addressing financial challenges faced by the salaried workforce. With the global EWA market projected to reach $48.68 billion by 2030, its growth highlights its value in solving critical pain points for employees when it comes to accessing their salaries.
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. It allows employees to access their earned wages before payday, boosting productivity and reducing financial stress. This approach enhances employee retention, lowers hiring costs, and supports overall workforce well-being.
Neem told ProPakistani that it has three major safeguards built into the systems to help mitigate the risk of overspending:
- 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
Neem is launching its EWA solution, Neem Paymenow, in partnership with Paymenow, a market-leading EWA provider from South Africa, and with the backing of DNI Group, a mutual investor for both of the ventures. DNI Group has also provided a $4 million credit facility to accelerate the launch and scaling of the Neem Paymenow solution across Pakistan.
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
By offering early access to earned wages, the platform helps alleviate the financial stress faced by the working class, reducing their dependence on high-interest loans and promoting financial stability. Neem Paymenow is actively scaling into key industries such as retail, logistics, healthcare, and manufacturing, aiming to reach more businesses employing frontline workers.
It bears mentioning that Neem Paymenow does charge employees for using the service. However, its pricing strictly adheres to Shariah standards, as the company is a fully Shariah-compliant service. “Importantly, the service is free for businesses. The charge is not interest-based; it is a nominal service fee for providing employees with immediate access to their earned wages. This ensures fairness while covering the cost of delivering this essential service,” it added.
Follow ProPakistani on Google News & scroll through your favourite content faster!
Support independent journalism
If you want to join us in our mission to share independent, global journalism to the world, we’d love to have you on our side. If you can, please support us on a monthly basis. It takes less than a minute to set up, and you can rest assured that you’re making a big impact every single month in support of open, independent journalism. Thank you.
