Dutch business bank ABN AMRO has teamed up with babysitting platform Charly Cares to launch an instant payments pilot for gig workers in the Netherlands.
Through this pilot, the babysitters will have instant access to their earnings as soon as their job is over.
Despite working via platforms, gig workers in the Netherlands are forced to wait to receive their earnings, which is said to be impractical.
Now, gig workers such as babysitters, need not wait for days or weeks to get paid.
The new instant payment service is claimed to be the first of its kind financial service in the country.
It will allow the platform to provide instant access to earnings to gig workers for the services they deliver, as soon as their shift is over.
The offering uses ABN AMRO’s payment technology, which allows instant money transfers to any bank account.
The firms will also add services such as automated tax-returns, financing, and insurance to the new solution, at a later stage.
ABN AMRO chief innovation officer Edwin Bommel said: “If a gig-worker is not paid instantly, they may not be so motivated to do the job.
“By eliminating the waiting time for their pay-out, we are removing a possible obstacle for workers to take advantage of the platform economy.”
Charly Cares co-founder Xander Koenen said: “We are excited to be collaborating with ABN AMRO. A solution to this problem is expected to result in better babysitter satisfaction and an increase in productivity.”