Pathward-Backed Clair and 7shifts Launch Instant Tip Payout Across 55,000 Restaurants
CASH•Pathward-backed Clair and 7shifts launched On-Demand Pay for Tips, embedding instant access to earned tips into 7shifts platform spanning 55,000 restaurants. Offering on-demand tip payouts is expected to improve hospitality retention by up to 36%, with optional instant transfers available through Clair.
1. On-Demand Pay for Tips Launch
7shifts has integrated Clair’s fintech solution to launch On-Demand Pay for Tips, enabling restaurant staff to access earned tips minutes after completing shifts through the existing 7shifts app. The automated calculation and disbursement process removes manual tip-tracking and accelerates cash flow for employees.
2. Pathward Powers Advances via Clair
All tip advances and instant transfers are originated by Pathward, N.A., with optional instant disbursement incurring a $4.99 fee per transfer. Clair’s embedded platform, supported by Pathward, operates at more than 148,000 work locations across 29 industries.
3. Impact on Retention amid Labor Shortage
The restaurant sector faces a shortage of over 220,000 jobs compared to pre-pandemic levels and a turnover rate above 130%. Studies show on-demand pay can improve hospitality employee retention by up to 36%, making instant tip access a strategic tool for operators.
