Arkansas is the latest state to regulate earned-wage access (EWA), a benefit that allows workers to tap into money they’ve earned ahead of their scheduled payday. The legislation, which was signed into law by Arkansas Gov. Sarah Huckabee Sanders on Mar. 20, applies to EWA providers, but not the employers that work with them. It requires EWA providers to offer at least one option at no cost, disclose all fees associated with their services, and allow consumers to cancel the services without being charged. EWA providers are also barred from sharing any portion of fees, tips, or gratuities with employers under the Arkansas law. Benefit draws regulatory scrutiny. Some 12% of employers offer EWA, according to a 2023–2024 report from Sapient Insights Group, with organizations such as the Nashville Predators and Dayforce touting the benefit. Supporters of the benefit have suggested it can have positive effects on the workforce, boosting businesses’ ability to recruit and retain talent, as well as foster loyalty among workers. For more on EWA and its regulation, keep reading here.—CV |