8 in 10 say employer support is important, but only half receiving financial wellness training
Many workers are struggling financially, but looking for employer support, judging by a recent survey.
Just five per cent say they have met their financial goals. Why? Primarily because of high inflation (62 per cent) and insufficient income (48 per cent).
Talks of a recession have also made seven in 10 employees more concerned about their financial wellness, finds the survey of 1,000 U.S. by TalentLMS, a learning management system.
Financial struggles
All age groups say they are experiencing physical and mental health issues due to money-related stress:
- 66 per cent of millennials
- 59 per cent of Gen Z
- 47 per cent of Gen X
- 24 per cent of baby boomers
Just over half (54 per cent) of Canadians say they're living paycheque to paycheque, finds a previous report. And 11 per cent workers are spending more than their net pay, the highest level ever reported in a survey released by the National Payroll Institute.
Less than half of employees (49 per cent) feel they are on track to meet their financial goals and retire by the desired age, according to TalentLMS’s report.
More than half (54 per cent) of those 55 and older now say they are delaying retirement because of the increased costs, while 62 per cent have already delayed retirement because they do not have enough savings or investment, according to an earlier study.
Financial wellness appreciated
Nearly eight in 10 (78 per cent) of employees say it is important to get support from their employers amid high inflation, and this makes a difference when it comes to retention, finds TalentLMS.
Over two-thirds (68 per cent) of employees are more likely to stay longer at their current job if their employer offers financial wellness benefits, and 61 per cent are more likely to stay at their current job if financial wellness training and resources are offered.
"This new data reveals how important financial wellness is to today's employees, especially with the financial challenges we are all facing," says Kris Alban, executive VP at Enrich. "Because of this, employers have a unique opportunity to attract and retain employees by offering financial wellness benefits and education."
ROI to financial supports
As it is, just over half (51 per cent) of workers are receiving financial wellness training from their company, and 73 per cent say it is helping them feel more safe and secure, according to TalentLMS.
Almost half (48 per cent) of those surveyed say it is important to get advice from their employer on new currencies and 53 per cent believe it is valuable to get guidance on monthly spending and saving.
"Financial stress and inequity are a direct detriment to an employee's well-being, and ultimately their job performance,'' says Alex Gostomelsky, CFO at Tapcheck, a financial wellness benefit company.
Canadian employers are losing billions of dollars due to workers’ financial stress, according to a recent study.
“Fortunately, there are a variety of financial wellness benefits, such as savings, budgeting, and on-demand pay, that give employers turnkey offerings to empower their employees toward financial freedom,” says Gostomelsky.
Research shows that supporting and improving the financial well-being of your workforce not only benefits workers themselves, but also business outcomes such as productivity, innovation, customer satisfaction, and employee turnover and engagement, according to Randstad.
“When staff have access to financial wellness programs, they are more likely to feel valued and supported, which gives them reasons to continue working for the organization,” it says.
“Employees are also more likely to develop a big-picture mindset and better understand how their work makes a contribution to the purpose and impact of the company.”