On The Border: Serving Up Financial Flexibility With Rain

On The Border transitioned from DailyPay to Rain for its Earned Wage Access (EWA) program following a major outage and delays in employees receiving their full paychecks. Rain’s responsible approach to delivering EWA ultimately motivated this switch. 

• 57% of enrollees have used Rain to access wages early.
• 54% of Rain users cash out at least once per month.
• $213,763 total wages accessed within the first month of launch.

‍

Challenge: DailyPay’s Poor Customer Service & Outage

As a leading restaurant chain with 150 locations and over 4,000 employees, On The Border aimed to increase employee retention, stay competitive in its industry, and promote financial wellness. Initially, it implemented EWA through DailyPay but soon encountered critical issues.

In November 2023, a major outage at DailyPay impacted numerous employers and thousands of users, preventing many from accessing their entire paychecks. This disruption left On The Border employees without pay for multiple days. To make matters worse, DailyPay's customer support was unresponsive, and employees were left without any information about when they would receive their pay going into the Veterans Day holiday weekend (a Federal Reserve holiday when banks are closed on Monday). This massive failure prompted On The Border to seek a more reliable and supportive EWA provider.

DailyPay’s intercept model of EWA created the initial problem. This model requires employees to designate DailyPay accounts as the primary account for receiving all of their pay. DailyPay takes control over disbursing employee payroll on an employer’s behalf via these shadow accounts established for employees. The entire paycheck is intercepted, leading to significant disruptions in operations beyond just the EWA service when an outage or error occurs. Additionally, DailyPay’s model introduces complexity and risk, as employees must tweak their fundamental routing and account numbers, creating further opportunities for errors and delays.

‍

“Implementation was really easy, especially for our busy restaurant industry. One of the easiest we've gone through.”
_{- Eva Avila, HR Business Partner, On The Border}

‍

Solution: Upgrading to Rain for Earned Wage Access

After evaluating its options, On The Border switched to Rain for EWA. Rain's model stood out for its proven reliability and superior customer service. Unlike DailyPay, which disburses payroll on behalf of employers, Rain's model allows employers to maintain complete control over their payroll processes. This control means On The Border can efficiently address its workforce's financial needs while ensuring accurate payroll data through its existing HR systems.

The transition from DailyPay to Rain went quickly and efficiently, with minimal administrative effort required from On The Border. Rain’s Implementation Professional Services Organization (PSO) made the switch easy. Eva Avila, HR Business Partner at On The Border, commented, "Rain had a close partnership with Infosync, our HR service center team, so we knew it would be a good fit to ensure accurate data and supportive customer service." The Rain EWA service was launched and available before the end of January 2024, allowing On The Border employees to use the Rain App to access earned wages immediately.

‍

Rain's Model is Preferred by On The Border

1. Earned wage data import: Rain’s model integrates with On The Border’s HCM and T&A platforms to calculate earned wages in near real-time. This ensures employees have accurate, up-to-date information about their earnings.
2. Access to wages via the Rain App: On The Border employees can transfer their wages to existing bank accounts for free via ACH or instantly for a small fee. Rain provides the funding, making the process seamless and efficient.
3. Advanced wages are withheld & Rain is repaid: Rain integrates with existing payroll systems to facilitate deductions. This model ensures reliability and keeps employers in control of payroll.

Avila praised the process as "almost too easy!" and appreciated Rain's proactive coordination with Infosync to set up the necessary files. Rain's user-friendly platform and premium customer support addressed the limitations experienced with DailyPay. Avila remarked, "Implementation was really easy, especially for our busy restaurant industry. One of the easiest we've gone through."

‍

Ensuring Reliability and Control

Rain's model also offers On The Border several key benefits that ensure reliability and control for both employees and HR & payroll departments:

Impact on Employees:

• Reliability Assured: 0 paydays missed, with a self-service portal that remains accessible.
• Transparency on Pay Stubs: Wage advances are clear and easily reconciled with a single-line deduction item matching the employer's payor.
• Limited Onboarding: Banking habits are preserved, allowing employees to use their existing bank accounts immediately.
• Minimal Data Requirements: Privacy is preserved with limited PII data needs, collecting only 6 data fields without sensitive information like SSN or DOB.

Impact on HR & Payroll:

• Reputational Risks Eliminated: Control over payroll is maintained, preventing reputational damage.
• User Support Needs Minimized: Transparency on pay stubs ensures employees are not confused, reducing support requests.
• Administration Efforts Limited: Efforts are focused on payroll deduction ingestion and streamlining administration.‍
• Implementation Streamlined: Minimal onboarding efforts were required, making the transition smooth and efficient.

‍

“Rain had a close partnership with Infosync so we knew it would be a good fit to ensure accurate data and supportive customer service.”
_{- Eva Avila, HR Business Partner, On The Border}

‍

Results: Impressive Employee Adoption and a Positive Reception

Since implementing Rain, On The Border has seen strong adoption among employees. Within the first few weeks, the demand for access to earned wages was apparent:

• 57% of enrollees have used Rain to access wages early.
• 54% of Rain users cash out at least once per month.
• $213,763 total wages accessed within the first month of launch.

On The Border employees have warmly received the switch of EWA providers, with no negative feedback or concerns. Avila takes this as a positive sign: “I consider it a good thing that I haven’t heard anything!” Employees are experiencing the value of Rain as promised.

‍

“There's no comparison between Rain and DailyPay. The level of service we've gotten from Rain has far exceeded expectations."
_{- Eva Avila, HR Business Partner, On The Border}

‍

Conclusion: Elevated Employee Financial Wellness

On The Border’s decision to upgrade to Rain for EWA was a strategic move that aligns with the company’s commitment to promoting employee financial wellness while keeping control over its payroll process. By addressing the limitations and frustrations experienced with DailyPay, On The Border has successfully implemented a practical, user-friendly EWA solution.

Rain's EWA solution for On The Border not only addressed the immediate challenges posed by DailyPay's shortcomings but also provided a framework for long-term success. By focusing on three core pillars, Rain has transformed the EWA experience for On The Border and its employees:

1. Responsible and Transparent EWA: Rain provides a simple and safe experience for On The Border employees, ensuring they can access their earned wages responsibly and transparently.
2. Reliable Program: Rain allows On The Border to maintain complete control over payroll and data with minimal operational involvement, ensuring no paydays are missed.
3. Best Support: Rain collaborates closely with On The Border to ensure a smooth EWA journey and offers superior support for program managers and employees.

For anyone who lives paycheck to paycheck, having an unreliable app in charge of your money is problematic. By addressing the challenges faced with DailyPay and leveraging Rain’s preferred EWA model, On The Border has significantly improved its employees’ financial wellness and overall satisfaction.