Transportation and logistics is one of the industries with the highest proportion of weekly-paid jobs
Businesses in transportation and logistics clinging to weekly pay schedules are missing on big cost savings, with potential reductions of up to 50% in payroll expenses.
The report, by on-demand pay experts Access EarlyPay, part of The Access Group, analysed 54,000 Indeed job vacancies.
They wanted to identify which sectors are most reluctant to make the switch from weekly to monthly pay, despite the potential savings.
It showed that transportation and logistics is one of the industries with the highest proportion of weekly-paid jobs.
Around 15% of jobs listed within the sector offering weekly pay rather than monthly pay to potential applicants.
Amid rising costs and profit margin pressures, monthly payrolls offer cost-effectiveness and ease of management - both essential components for improving cash flow and supporting growth.
The data shows that moving to a monthly pay structure could save employers between ÂŁ40 and ÂŁ100 per employee annually.
This could potentially add up to ÂŁ140,000 in savings for companies with 2,000 employees - a 50% reduction in total payroll costs.
Abhishek Agrawal, general manager at Access EarlyPay, said: “This report underscores the urgent need for businesses to improve their financial health by transitioning to monthly pay.
"While weekly pay provides flexibility for employees, the substantial cost savings and efficiencies gained from monthly payroll are undeniable. Every penny counts, so businesses must recognise the benefits.
“It’s time for companies... to adapt and take advantage of these savings, for the sake of their financial health, as well as their employees' wellbeing.
“Whether you’re managing the transition between weekly and monthly pay or looking for a long-term solution to increase employee morale, loyalty and retention, on-demand pay could be the way to give your team greater peace of mind.
"Our data shows that employees using EarlyPay demonstrate a 30% longer tenure, 46% take on extra shifts because they can access their earned wages immediately, and 93% say that on-demand pay has helped them through the cost-of-living crisis.”