Financial needs are changing with a new younger workforce and more companies are focusing on helping employees deal with financial issues. In a survey by PricewaterhouseCoopers, 45% of employees said financial matters were the most stressful issues in their lives.
This stress buildup is taking a big hit on companies as productivity could be much more successful if these needs were being maintained. One survey by the Federal Reserve found that every year businesses lose $5,000 in lost productivity per employee due to financial stress.
Now companies are using programs to address financial stress that encourage workers to make better choices in general financial planning and specific decisions about their money.
The most effective way to improve employee financial challenges is to educate in the context of the employees needs at that moment and allowing them to use their new information to make financial decisions, as opposed to the company making them for the employees.
In order for these programs to be successful it is important that HR and the company make financial wellness a priority for all employees. By having the company directly involved, the employees will notice how seriously the company is taking their wellbeing.