Many employees feel that their financial wellbeing has been negatively impacted since the Coronavirus pandemic. During a period where job security and finances are strained, it’s important to make sure you are taking care of your employee’s financial wellbeing
61% of working adults find money-related problems are their biggest stress. Over a quarter of adults find money to be a stress every single day. These concerns were around before the Coronavirus pandemic in March and have only worsened following falls in employment and income. Money stress at the moment is only going to get worse.
Despite the very glaring issue of money stress, employers are missing the importance of financial wellbeing. Over 60% of employees say financial wellbeing initiatives are the most important elements for job attraction and retention, however comparatively only 40% of employers feel the same. If these statistics don’t match up then not only are employers making their company less attractive, but they are also neglecting their employees’ health and wellbeing.
Despite the damning evidence that financial wellbeing is a factor in the workplace, there is still a hesitation from businesses to invest in financial wellbeing initiatives. By continuing to ignore the evidence, the bottom line of a business will suffer as there will be a decline in productivity.
As a result of the Coronavirus many companies cut salaries, particularly smaller companies. Whilst this is likely a survival tactic for smaller companies who have access to less money, the cutting of salaries of any kind will only contribute to the growing money stress across the UK.
So, how can you maintain the financial wellbeing of your employees?
Removing the obstacle of stress from financial wellbeing in the workplace can lead them to be happier and more productive.
- Find the right financial wellbeing initiatives
- There are many ways to help improve your employees financial wellbeing; employee discounts or online resources for management included. However, unless you speak directly with your workforce to find out their specific needs you may see low engagement with your offering.
- Investing a huge amount of money isn’t necessary
- We understand that investing money into a financial wellbeing initiative can be difficult for businesses, however there are great ways you can invest without spending a huge amount of money. Salary sacrifice schemes are a great way to do this, allowing you them to spread the cost and save tax on goods they made need. Not only does this save the employee, you can save on National Insurance contributions for the portion of their salary they sacrifice.
Finally the best way to support your employees and their financial wellbeing is to be fair on pay.
MyBenefitsZone offers a great option of salary sacrifice schemes as well as a financial fitness test. Get in touch today to find out how you can support the financial wellbeing of your employees.