There are many ways you can help your employees to be more focused, productive and engaged at work. Providing them with good benefits that support their lives outside of work is one, and ensuring their health and wellbeing is another. One way to do this that’s good for your business is to ensure you have financially stable employees.
The connection between finances and wellbeing
According to Statista (2015) the thing that “stresses Britons out the most” is the amount of money they have to live on. It’s likely that most people are aware they spend more than they should, but many will not be aware of how much. Many people tend to think it’s the amount of money they earn that’s the problem, but often it’s the amount of money they spend on things they don’t need and the way they manage their money.
What’s more is that people who have debts are likely to be even more stressed. They can get themselves into a cycle of borrowing that impacts on their ability to secure other financial products (like mortgages for example) as well as their mental wellbeing.
Becoming financially stable means that individuals can reduce their stress and improve their overall wellbeing.
Why financially stable employees are good for business
We have already established that employees who are financially stable will be less stressed, but what does this mean for your business? Employees who are stressed are often distracted at work and less productive which can affect their team’s and potentially the whole company’s productivity.
In addition, if stress goes unchecked it can lead to severe mental and even physical illness which can result in long absences. Poor financial wellbeing can even lead directly to absence, as in one case we have seen where employees who were struggling financially were taking days off sick because they couldn’t afford to get in to work. Absences cost your business money so anything you can do to reduce unnecessary absence and deal with the root causes will be beneficial.
On top of this, if you are active and open in your support of your employees’ wellbeing, they will probably be grateful of the value you place on them and they are likely to be more engaged as a result. Creating a culture of support for wellbeing is also likely to help you attract and retain the talented staff you want for your business.
What can you do?
Providing support for employees to become financially stable can come in several forms. You can provide them with access to financial advice, although this can be costly. You can also provide face-to-face in-house education on specific financial topics, or just general financial essentials. Face-to-face education also allows your employees to ask questions of a professional and ensure that the information they receive is relevant to their situation. You can also tailor education to include the benefits that you offer, so it acts as a communication vehicle as well as helping your employees to understand their benefits and how they relate to their lives outside of work. In addition you can provide employees with access to online education courses that they can access as and when they need it.
If you are interested in providing financial education to your employees, speak to your usual Jelf consultant.