Econet payroll moved to Ecocash

ECONET Wireless Zimbabwe has started paying its staff through EcoCash in what the telecommunications giant says is to spare its employees from the hassle of spending time in bank queues.

BY BUSINESS REPORTER

In a statement on Tuesday, Econet Wireless Zimbabwe group chief executive officer Douglas Mboweni said the decision to pay Econet staff salaries through the EcoCash Payroll was intended to offer convenience to its employees.

“Our observation has shown that disbursing staff salaries through banks forces them and their families to spend long periods of time standing in bank queues to access their money. Whereas if we disburse it directly to them, via EcoCash Payroll, they can decide for themselves how much they want to transfer to their banks,” he said.
He said as EcoCash already offered banking services, employees could automatically move funds to their bank wallet, without having to queue in the bank.
He added that the EcoCash Payroll had already been adopted by a significant number of companies in Zimbabwe, including some that are listed on the Zimbabwe Stock Exchange.

The benefit, Mboweni added was that bank queues could be significantly reduced if other organisations followed Econet’s example as productivity time would not be lost in queues.

The move comes as EcoCash has been deploying its brand ambassadors to educate people on the convenience of using EcoCash to assist people in bank queues on how to move their money and make payments using their mobile phones.

Companies’ using the EcoCash Payroll are on top of the majority of domestic workers in the country already receiving their salaries through EcoCash.

“For example, payments to farmers are being done using EcoCash — to the Grain Marketing Board, Cottco and the tobacco auction floors and too much of the agro and processing industry. NGOs have also been using EcoCash for the past four years to carry out aid-related disbursements to individuals, in mostly rural areas,” Mboweni said, adding that the use of EcoCash Payroll was simple, safe, secure and reliable – with none of the risks associated with moving large sums of money.

He said in order to build on the ecosystem, EcoCash had signed up over 50 000 active merchants and agents ranging from large retail organisations to small informal traders where the use of EcoCash had been widely adopted.

Paying salaries through EcoCash is being widely adopted due to the speed in processing payments as employees generally receive their monies faster than through banking channels.

Experts say the benefit for Econet will be that they will be making massive savings on charges since they are using their own platform as compared to using banks.
Zimbabwe Information and Communication Technologies chairman Jacob Mutisi said paying salaries through EcoCash was the way to go.


“We are a cashless society and that is the way to go. Even private companies are doing the same,” he said.

Mboweni said “cash holdouts”, where people were forced to pay only in cash by merchants and businesses, needed to be eliminated.

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10 Comments

  1. This service is cheaper and faster people of Zimbabwe lets embrace the future ,hands up for Econet

    1. asifuni bumbulu

      not sure of your use of the word cheap there but i agree it is faster and convinient

  2. Banks offer salary based loans is ECONET going to do the same lets give people choice

  3. Please the problem we are having with ECOCASH is that you have allowed this service to be abused by money changers. Please do something about it.

  4. This will unlikely make a difference for the employees. converting eco cash into cash attracts 25 to 30% whereas a bank withdrawal costs far less. since most bank accounts are linked to eco cash, the employees will simply transfer from eco cash account to bank and withdraw from the bank.

  5. At least Econet employees will taste their own medicine in transnational charges.

    1. they tasted that a long time ago before yu even tasted it

  6. The Ecocash representative had a breeze contributing to this story. Why was he not asked some tough questions? These story sounds underdone. Tell us what is on the ground. What are the possible challenges for the workers from this move?

  7. Misheck TARUVINGA

    Comment…hapana chinopedza ma queues kubank APA.As long as they are not offering physical cash.what want is cash. we are being charged 25% to get your money from ecocash. you seem to support this Mr mboveni so that they will be a lot of cash outs and make money for yourselves. I the gvt should actually suspend this service until you weed out this unscrupulous behavior being done through this platform.

  8. humbavha neudzvanyiriri haupere muZim. its taking more than $1 to pay a merchant over a less than $100 transaction. if you make more than 6 transactions a month you lose $10. saka ndokudii ikoko. econet and zanu pf are our biggest enemies in zim.

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