In the midst of uncertain leadership, Zenefits is moving forward with its product roadmap. Today, the company announced that its new homegrown payroll service will now be available in three more states: Florida, Texas, and Washington. That makes four states, to date, where small businesses can use Zenefits for their payroll processing
Launched as part of the company’s Z2 product release in October, Zenefits payroll does exactly what you’d imagine — processes a company’s payroll. Previously, Zenefits had outsourced the work to ADP, but after a bit of a tiff and a severing of the connection, the human resource software platform opted to build its own. After all, “payroll has always been a part of Zenefits’ DNA,” according to the company’s director of product, Chen Fang.
One of the newest offerings to become available, Zenefits payroll includes a timeline feature that provides administrators with a more comprehensive view of employee work hours, along with other information, such as promotions, prorated hours, vacation time, overtime, 401(k) changes, deductions, and more. There’s also time-off and attendance apps geared toward non-salaried workers that businesses in these new states can now use.
Today’s expansion comes as Zenefits faces several challenges, including the fact that leader David Sacks is transitioning out as chief executive and a talent search has begun for his replacement. However, he won’t be going far, as Zenefits said that he’ll be named executive chairman. After a year in power, Sacks is leaving a job he claimed he never wanted, having done his best to reform a company that was filled with problems when he took the helm. Last week, he declared that through his guidance, Zenefits now has a “clean bill of health.”
But everything may not be as rosy as Sacks wants it to appear. Documents obtained by BuzzFeed indicate the company is hemorrhaging money, with up to $200 million in cash gone in the past year and $100 million already burned through in the first half of the current fiscal year.
For those interested in using Zenefits payroll, the service costs $35 per month and $5 per month, per employee.