PayPal to fund $25M in cash advances for unpaid federal workers

PayPal will provide up to $25 million in interest-free cash advances to help federal workers going without pay during the partial government shutdown make ends meet.

“Starting immediately, PayPal is offering an interest-free cash advance up to $500, the equivalent of one week’s take home, for any existing or new PayPal Credit customers who are federal employees and are struggling to make ends meet,” PayPal CEO Dan Schulman said in a USA Today op-ed announcing the effort on Friday.

{mosads}“We are committing to fund up to $25 million of interest-free cash advances to help federal government employees pay for food, gas and other everyday necessities,” he continued. “We hope that this program can provide some relief and certainty in uncertain times.”

Nearly 800,000 federal workers have either been furloughed or are working without pay as a result of the record-long shutdown, which is now in its 28th day. The workers missed their first full paycheck last Friday after previously receiving a slightly reduced check in late December.

The government entered a partial shutdown on Dec. 22. President Trump is demanding $5 billion in funding for his long-desired border wall, a request Democrats have rejected.

Schulman said his company’s latest effort is “not fueled by politics, rather it’s a matter of values.”

“The world is changing rapidly, and our economic and political landscapes are dynamic and often unpredictable. This is a time to step up for each other and support the people around us who suddenly find themselves in a difficult spot,” Schulman said.

“Our mission at PayPal is to help drive financial health for all people. Helping our partners in the public sector is neither a red or blue issue; it’s a red, white and blue issue,” he continued.

Schulman went on to say that he was proud his company is standing with other prominent brands including AT&T, Kraft and Hyundai, which have also devoted resources to provide assistance to federal workers “who contribute so much to our public sector.”

The PayPal CEO added that he hopes lawmakers will “find a rapid, amicable resolution to the shutdown and that regular life can resume for all those impacted.”

“In the meantime, the private and public sectors can meet the urgency of the need by opening possibilities for federal employees strained by the shutdown,” he said. “We at PayPal are interested in finding creative answers to the challenges we face.”