In order to accelerate cross-border payments for both contractors and freelancers, G-P (Globalization Partners) and Wise have partnered up to help businesses facilitate these faster and flexible payments.
A main push behind the partnership is to ensure that independent workers have access to seamless payment processing systems in place, particularly as the gig economy continues to grow at an accelerated pace.
A recent study by GoRemotely, referenced in Tearsheet, found that roughly 34% of the American workforce was taking part in the gig economy before the pandemic struck. What’s more, 80% of U.S.-based businesses, seeking top talent and desiring to shave overhead costs, also reported a plan to boost their dependence on freelance labor, based on an Intuit 2020 study on the future of gig employment.
Businesses Aren’t Equipped for Flexible Freelancer Payments
The gig economy shows no signs of slowing down. According to that same GoRemotely study, the gig economy is expected “to reach a worth of $455.2 billion in the U.S. in 2023.”
And while businesses are benefitting from the gig economy—hiring freelancers for specific projects without the extra cost of an in-house employee—many aren’t paying gig workers on time. This, of course, would mean the eventual loss of such talent. Freelancers have reported that their payments either came through late or they didn’t get them at all.
With the growing need for freelancers, businesses still lack the processes to enable flexible and faster freelancer payments. G-P and Wise are hoping to change that.
“In the simplest terms, Wise Platform has built a way for banks, businesses, and platforms to embed the Wise API into their existing infrastructure,” said Brian Linthicum, head of Wise Platform North America. “That’s what we did with G-P — we integrated our API into their G-P Contractor offering to power cross-border payments for G-P customers.
“We’ve seen a growing need from companies to have more control over their international payments, especially to contractors, and are proud to see G-P trusting Wise to manage and power their cross-border capabilities. We look forward to working with G-P as they break down the barriers to global business,” said Steve Naudé, Head of Wise Platform in a press release.