Nearly 19MM minimum wage workers across the country will receive annual raises of $61.5 billion by 2022. Commonwealth is partnering with employers to ensure as many of these workers as possible can use these raises to build their financial security. Employee financial insecurity can often result in poor retention and productivity. Employers can build a more stable and productive workforce by facilitating financial security for their lower wage workers.
Commonwealth partnered with 2 San Francisco-based employers to pilot savings opportunities for their employees at the July 1 minimum wage increase. These pilots tested employee enrollment in automatic direct deposits into a savings account, IRA or savings pocket on a payroll card.