Quebecers living paycheck to paycheck can now turn to companies that will pay them a portion of their check before payday.
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While more than 43% of Quebecers are collapsing under their credit card debt, according to the National Payroll Institute, La vie en rose has just opened the door to something that could make many workers’ mouths water.
“Our employees can claim 30% of their salary twice per pay period,” summarized Lyne Raymond, vice president of human resources at La vie en Rose, in an interview with the journal.
“There’s no way for us to lose money because it’s always a paycheck already earned,” she continues.
To do this, La vie en rose uses Dayforce wallet technology from the American giant Ceridian, headquartered in Minneapolis, Minnesota. Through a partnership with Mastercard, the American company transfers the money to the employee free of charge.
“You have to download the application and the amount collected will be deducted from your salary,” continues Karine Turgeon, human resources manager at La vie en rose.
“Dayforce asked us to be among the first vendors in the country,” she says.
In the United States, French multinational Danone is offering its employees this option through the Ceridian payroll system’s Dayforce Wallet application, but the initiative has not yet started here, the company tells the Journal.
“Because all payments made to employees are treated like regular payslips, the appropriate withholdings, rebates and garnishments are taken into account – so there’s no impact on your payroll administrators or your cash flows,” Ceridian notes on its website.
Screenshot of the Dayforce Wallet website
“Double Edged Knife”
At La vie en rose, the service is not only offered, but almost 16% of employees use it.
At the beginning of August, around 700 of the 4,500 employees used this service, which has been available since December 2021.
In the Journal, Lyne Raymond, vice president of human resources, casually admits that she had some initial concerns before rolling it out.
“That’s why we use 30% of the salary. We want to make sure people aren’t too ambitious,” she clarifies.
“It’s a double-edged sword,” she concludes.
– In collaboration with Sylvain Larocque
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