The State of Workplace Financial Wellness
Study-driven report on the state of financial wellness at work.
A closer look at the financial problems employees are faced with and how employers are planning to help.
The Great Recession of 2008 left millions of Americans feeling uneasy and financially vulnerable. Not since the depression have Americans felt so insecure about their finances. Whether it’s paying off loans or saving for retirement, the past 8 years have served as a reminder that every course of action needs a plan.
According to an annual survey conducted by CareerBuilder, over 1/3 of adults are living paycheck to paycheck, while 60% of households still have less than 3 months of savings available. Employers are beginning to realize that financially burdened employees can have a negative impact on the workplace. The stress induced by financial hardships can lead to higher rates of absenteeism and lower productivity. But what are employers doing to address this issue? According to an AON-Hewitt poll of 400 companies, 25% of employers are ‘very likely’ to provide some financial education assistance. Almost half of all companies provide online third-party investment advisory services to their employees.
In a country that is still recovering from its worst financial meltdown since 1929, it’s important that employers help pave the way for their employees financial wellness. By providing workers with the skills necessary to manage their money, employers can help ease the financial burden that is causing employees to stress out, all while triggering a chain-reaction of money saving events such as decreasing absenteeism and increasing productivity.