From hotel receptionists to spa attendants and event managers to housekeepers, hospitality industry professionals are used to taking care of other people’s needs. But who takes care of them?

In the fast-paced environment of hospitality, workers face unique financial challenges, such as irregular work schedules, high turnover, and relying on tips as part of their total income.

This is why financial wellness benefits like earned wage access (EWA) are emerging as game-changers in hospitality. EWA allows employees to access their earned pay before payday with low or no fees, provides employees with stability, and helps employers improve retention and productivity.

In this blog, we break down the common financial challenges in the hospitality sector and share low-to-no-cost solutions that are win-wins for workers and employers. 

Financial challenges for hospitality workers

Income instability 

In the hospitality industry, workers rely heavily on tips, which can create income instability. It’s hard to forecast your total take-home if you can make $60 in tips on one night and $15 on another. 

Additionally, these earning fluctuations add to and compound other financial stressors for young employees, such as repaying student loans. The average age of employees in the hospitality industry is the youngest of all sectors. The U.S. Bureau of Labor found that the median age of hospitality workers is 32.3 years old. In contrast, in other industries such as education, health care, transportation, and manufacturing, the median age is 43 years or older.

High turnover and inconsistent schedules

Given the seasonal nature of the hospitality industry, many workers may experience high turnover rates and inconsistent schedules. November to March is quieter for hotels and tourism, while June to August is peak season. 

This might mean that a hospitality employee is working six shifts a week in the summer and only one or two shifts in the winter. They may even be seasonal hires, employed for just the peak season, meaning they are experiencing the stress of short-term employment and likely don’t have access to a satisfactory benefits package. 

The impact on hospitality workers is financial and emotional 

When your income changes drastically from week to week or season to season, it’s difficult to budget accordingly and put away savings. This can put workers in a state of high financial stress. 

Our 2024 report on the state of employee financial wellness found that 58 percent of employees have zero savings. While speaking with ZayZoon founder and president Tate Hackert, David Millili, host of the Modern Hotelier podcast, shared: 

“Back in the day in New York City, there was a check-cashing place right next to the hotel I worked at. And that's how, like, a lot of hospitality employees, you know, would go to get their money right away rather than wait for that check to clear through the bank.” 

Any unexpected expenses in a “bad” week or low season can lead hospitality workers to rely on payday loans or accrue credit card debt–both of which are subpar options that worsen the cycle of debt. 

It’s no wonder, then, that over half of employees–53 percent, to be exact–experience daily financial stress. They can’t leave that stress at the door when they come to work, and 63 percent of employers say that financial stress impacts employees’ performance and motivation.   

How financial wellness benefits address these challenges

Earned wage access (EWA) helps hospitality workers address financial uncertainty by giving them access to their earned pay before payday. This provides a critical option allowing them to cover immediate expenses without using payday loans or high-interest credit cards, thereby evading the debt cycle. 

With EWA, workers can find more income stability and better navigate their weekly spending. For many hospitality workers, waiting two weeks for a paycheck isn’t feasible. Across the board, the primary financial stressors for today’s employees are necessities like the rising cost of groceries, gas, rent and mortgage payments, and monthly bills. 

ZayZoon helps alleviate stress around affording necessities with our fee-free options for withdrawing earned wages–instant gift cards that come with bonuses of up to 25 percent. With instant gift cards, employees can get more than they would have earned on their regular paycheck at no cost to their employer.

Finally, ZayZoon offers more than EWA. Our suite of financial tools and resources helps employees manage their finances long-term. Low-balance alerts help workers avoid overdraft fees, and our educational resources include courses on budgeting, investing, and building credit. 

Business benefits of financial wellness for hospitality employers

For hospitality employers, offering financial wellness benefits like EWA is more than just a perk-it’s a strategic advantage.

Reduced turnover

Employees who feel financially stable are more likely to stay with their employer. In fact, 93% of employers say EWA helps them retain talent. Remember earlier when we said that the average age of hospitality workers skews younger? In their 2025 report on global employee experiences, Qualtrics found that despite high engagement at work, only 40 percent of Gen Z employees plan to stay at their current company. This means EWA poses an especially important opportunity to address high turnover in hospitality. 

More productivity and less absenteeism 

Workers are more willing to pick up extra shifts if they know they can access their pay immediately. Not only that, but earned wage access and financial benefits are proven to decrease absenteeism in the workplace. 

What is absenteeism? 

Absenteeism is the frequent unplanned absence of an employee, and chronic absenteeism costs employers billions of dollars in lost productivity annually. 

Absenteeism is complicated and often stems from larger issues, such as poor mental health, the rising cost of childcare, and even commute costs. But when employees feel like their employers care about their financial wellness, they feel more motivated to show up to work and do their best.

•  78 percent of employees using ZayZoon’s EWA say it increases their motivation to perform at work. 

Businesses offering our EWA have also seen a reduction in absenteeism of eight hours per month. This is a big win for the hospitality industry, where absenteeism impacts customer service. It’s undeniable: when financial stress is reduced, employees are more productive, focused, and engaged. 

Better recruitment

In a competitive job market, offering EWA attracts talent. Businesses that offer EWA receive 2x more job applicants than those that don’t, because financial benefits are in high demand for today’s employees. 

Our 2024 report about the best benefits for today’s workforce found that 91 percent of respondents felt benefits were important or very important when accepting a new role. 

ZayZoon is completely free for businesses and is embedded into your payroll provider, making it a simple yet significant benefit you can start offering today. 

Here’s what a business offering ZayZoon had to say about its impact on recruitment: 

“I don't like telling folks we have a biweekly pay cycle in an industry where weekly is the norm. I explain ZayZoon immediately after and it always helps. I don't personally use the service but I appreciate having it available to our employees because there are many people coming from the gig economy - daily pay to biweekly is *very* hard and I would lose a lot of good people without it.” – Abbey L., hiring coordinator

How ZayZoon supports the hospitality sector

ZayZoon makes it easy for hospitality businesses to offer EWA and other financial wellness benefits with a seamless, no-cost solution. 

Our suite of financial wellness tools includes Money Mindsets, an academic-backed quiz that helps employees understand their financial habits and gain personalized support and advice. After completing the quiz, employees receive a toolkit with tailored ZayZoon resources and offerings to help them achieve their financial goals.

With hospitality businesses facing record-high turnover and staffing shortages, financial wellness benefits are no longer optional-they’re essential. With financial wellness benefits, employers can create a more stable, motivated workforce while standing out in a competitive hiring market.

Learn more about ZayZoon by booking a free demo with one of our reps here.