Research: Independent Workers Reveal Slow, Unreliable Payouts Drive Attrition and Erode Loyalty

Study finds that independent workers have more types of work options than ever—more than half report working for more than one platform—and even small details like payout fees and delays can drive them away.

LONDON & NEW YORK--(BUSINESS WIRE)--As the global independent worker economy continues its rapid growth, Runa, the leading global fintech infrastructure for payouts, has released new research providing businesses with data-driven insights into how to retain and engage gig workers, freelancers, direct sellers and other independent workers.

With workplace engagement continuing to plummet, more than one-third of the U.S. workforce (60M+ people) have engaged in freelance work since 2023 and such work is expected to comprise more than half of the U.S. workforce by 2028, according to Upwork. This quickly growing talent pool creates a pressing need for businesses to deepen their understanding of worker motivations—especially around payout experiences—or risk losing both their workforce and their competitive edge.

Runa’s research revealed that negative payout experiences would make 70% of independent workers quit or rethink their job, 40% would reduce the work they do with the employer platform and 31% would switch platforms entirely. Conversely, a smoother payout experience would keep independent workers more motivated (35%) and increase loyalty (31%).

“Independent work isn’t only a side hustle—it’s a primary income source for millions of people,” said Aron Alexander, CEO, Runa. “The prospect of being paid quickly on your own terms is among the primary reasons people choose independent work. Our research confirms that the payouts experience is a competitive differentiator in attracting, retaining and engaging top talent. Poor payout experiences ripe with delays and fees serve as a significant source of financial and emotional stress for independent workers—which can erode productivity and loyalty and drive attrition. Gallup reports that disengagement cost the world economy more than $438B in lost productivity last year and half of the US workforce is trying to leave their current employer. Businesses seeking an engaged, long-term independent workforce must ensure payout experiences meet and exceed expectations—it can no longer be an afterthought or oversight.”

Runa's Decoding Payouts study offers a data-informed roadmap for independent worker platforms via the following key takeaways:

• Instant and reliable payouts are top priority. Independent workers consider timely, predictable payments non-negotiable and of paramount importance. Survey respondents cited payment delays as their top challenge as independent workers, and want to have access to their earnings immediately. A significant number of survey respondents reported wanting instant payouts via options such as digital wallets and instant bank transfers. Accessibility of funds ranked second on the list of most important factors with security not far behind. With more than a third of Millennials and Gen X respondents (who comprise the majority of the U.S. workforce) reporting that they make over 50% of their income as independent workers, quick, consistent and safe payouts are table stakes.
• Workers want more payout methods. When asked what could improve their payouts experiences, 30% of independent workers listed having more payout options to choose from, including digital wallets like PayPal, Zelle, Venmo (60%), instant bank transfers like pay to card and push to debit like Visa Direct (46%), traditional transfers (31%), and gift cards (26%). A wide selection of payout options ensures independent workers across different generations, regions, roles and levels of digital familiarity have access to the payout methods they prefer most.
• Payout fees are driving workers away. High fees were also cited as one of the top challenges independent workers face when receiving payments, and more than one third of survey respondents reported wanting lower fees to access their payouts. For millions of independent workers, payouts represent a significant amount of their income, and when every dollar counts, unexpected or excessive fees can erode trust, contribute to financial hardship, cause stress and drive them away from certain employers. This is especially true for younger generations.

“Poor experiences, lack of flexibility and payment delays are surefire ways to lose valuable independent workers,” added Alexander. “Around half of the respondents to our survey report being employed by more than one company, and as the independent worker economy expands and outpaces traditional job growth, businesses that offer fast and reliable payouts will be best positioned to attract and retain standout members of this growing talent pool.”

To learn more about how businesses can make smart payouts core to their independent worker retention and engagement strategy, download Runa’s full study findings here: https://runa.io/decoding-payouts-payments-in-the-independent-worker-economy

About Runa

Runa is a leading global fintech building the infrastructure for the next generation of payouts experiences. Runa's API empowers thousands of businesses to make payments to 5 billion+ consumers in 190+ countries. Consumers receive the money instantly and save it to their account or spend it at any merchant within the Runa Network. Fully embeddable within any digital experience, Runa transforms payouts by unlocking new revenue for senders, removing friction for consumers and increasing basket size for merchants.

Based in London and New York and supported by a global team, Runa’s growth is backed by key investors, including AlbionVC, Element Ventures, CommerzVentures, Clocktower Ventures, Volution Capital, 13Books Capital, and SAP. Learn more at www.runa.io