Supporting Financial Wellness in the UK Workplace

Employee well-being extends beyond physical and mental health. Financial wellness, an often-overlooked aspect of workplace well-being, is a crucial factor when it comes to the capability of an employee in the workplace.

We are all experiencing the impact of the increase in the cost of living and the additional stress this is placing on employees.  Food prices, mortgage rates, everyday bills are all increasing and for those employees who are juggling their finances pay cheque to pay cheque, this must feel impossible to manage.

The Impact on Employees

Financial stress can lead to several issues among employees.  These include the following:

– Presenteeism resulting in reduced productivity.
– Increased absenteeism, due to mental health concerns brough on by financial distress.
– Frequent lateness.
– Low morale and engagement.

These issues are not solely linked to the current cost of living increases.  Gambling addiction and high interest loans, to name but two issues, can also impact employees and fall under the auspice of financial wellness.

Options for Employers

Employers can provide support in a number of ways. From my own experience, I have been fortunate to be given the opportunity to become a Money First Aider. A Money First Aider is someone who employees can meet with, in a safe and non-judgemental environment, to get support with financial challenges they are facing. Naturally, I needed appropriate training and this was provided by Rachel and Stacey at Money First Aid (www.moneyfirstaid.org.uk). The concept is simple but very effective. I heartily recommend it as part of any organisation’s employee benefits proposition.  

Money First Aider made me aware of a number of free and available resources for employees to use such as MoneyHelper (www.moneyhelper.org.uk) and Turn2Us (www.turn2us.org.uk).

There are a number of other strategies to promote Financial Wellness, including:

– Financial Education Programmes: Offering workshops or online resources including coaching and guidance to help support employees with budgeting, saving, and investing.
– Access to Financial Advisors: Providing employees with access to financial counselling and planning services.
– Adopting the use of salary sacrifice benefits whenever possible.
– Salary Advance Schemes: Allowing employees to access a portion of their earned wages before payday to ease financial strain.
– Discount schemes and voluntary benefits: Offering discounts on essential services and goods to help employees manage expenses.

Conclusion

Implementing financial well-being initiatives should be seen in exactly the same light as other wellbeing programmes.   Creating a supportive environment to encourage employees to seek help when they need it most is key. It need not be complex either. 

Investing in financial wellness is not just an employee perk, it is a strategic move towards a resilient and thriving workplace.