Cape Town HR Tech Startup Jem Raises R136 Million to Expand AI Workforce Platform
Cape Town HR Tech Startup Jem Raises R136 Million to Expand AI Workforce Platform. Cape Town-based HR technology company Jem has raised $8.4 million, equivalent to about R136 million, in a Series A funding round as it prepares to expand its workforce management platform for employees who do not work from traditional desks.
The funding round was led by Quona Capital, with participation from University Tech Fund, E4E and several angel investors, including former Old Mutual CEO Iain Williamson.
Jem currently serves more than 250,000 frontline workers across more than 200 companies. Its customers include Servest, Bidvest, McDonald’s, KFC, Seattle Coffee Company and Bootleggers.
The company said the new funding will support its development from an HR and benefits provider into a broader AI-native workforce management platform.
Jem reported that its revenue increased by more than 120% over the past year, while recurring revenue more than doubled year on year. The company also reported net revenue retention of 124% and almost zero customer churn.
Founded in 2020 as SmartWage, the company rebranded as Jem in 2022. It initially focused on earned wage access, allowing employees to access wages they had already earned through WhatsApp.
Since then, Jem has expanded its offering to include workforce management tools covering areas such as document management, onboarding, time and attendance, leave and workforce communication.
The company said its WhatsApp-based platform is designed for deskless workforces. The latest funding will support the addition of products and features including rostering, Employee Assistance Programmes, credit scores and further workforce management capabilities.
Jem co-founder and COO Caroline van der Merwe said the company’s vision has been to bring its services together through a single workforce management platform.
The company has also introduced Jem Hub, described as an AI-native version of its employer platform. It brings workforce management, communication and employee services together.
Quona Capital Venture Partner Johan Bosini said the investment reflected Jem’s position at the intersection of workforce software and services for employees who have traditionally been difficult to reach through conventional financial services.
Jem said it aims to reach more than one million users within three years while expanding internationally.
