15 January 2019
The phrase “financial wellbeing” was the HR buzzword of 2018, but what does it really mean? And how can we make sure that any solutions designed to help employees are relevant and effective in 2019?
Why does financial wellbeing matter?
With living costs rising and the housing market (as well as rent, including first month deposits) still out of reach for many, financial pressures on individuals are continuing. Research from the CIPD shows that 19% of employees have lost sleep worrying about their finances, and that one in four UK workers feel that money worries affect their ability to do their job, with that number rising to one in three for workers aged between 25 and 34. It comes as no surprise that when we look at the impact on retention and absenteeism these worries are having a detrimental impact on performance at work.
So how can you help?
While the impact of inaction is plain to see, it is also not always as easy to identify how to best help your employees with these pressures. So how do you start to help employees?
Nobody understands the culture of your organisation like you do, so it’s key that any initiatives you decide to implement fit with the way you work. Take a step back and define what you want to achieve and what financial wellbeing looks like for your organisation and your employees.
As well as looking at your organisation’s culture, it’s also important to look at what your unique and individual employees need. It’s amazing what you might find out with a little digging of the data that is already at your fingertips. While some employees may rejoice at the introduction of a snazzy app to gain greater oversight of their finances, others may find such a tool overwhelming.
For example, do absences rise in the days before payday, implying that employees are struggling towards the end of the month? Or, at the other end of the scale, do you have a group of employees who are regularly hit by a surprise tax bill on their pension due to them not realising they are subject to the annual allowance?
With the need to support your employees with their financial health rising further up the agenda, and HR and pension budgets being squeezed tighter than ever, it’s hard to know where to prioritise on your financial wellbeing programme.
At our 2019 DC and Financial Wellbeing Conference we will be delving into the complete financial outlook for your employees, and how we can help them to feel more in control, so it’s a great place to start. Register now to save your seat.
LCP DC and Financial Wellbeing Conference 2020
28 April 2020
Early registrations are now open! Reserve your seat today to walk in the shoes of your DC savers and help them to improve their financial wellbeing - now and in the future.Register now