How financial stress is affecting employees and how to help

December 23rd 2022 | Posted by Phil Scott

Financial stress is a major concern for employees and can significantly impact their work performance and overall well-being.

According to a report by Champion Health, financial pressures are now the leading cause of stress outside the workplace, and working professionals suffering from financial stress are twice as likely to think about self-harm and suicide.

As the cost of living crisis continues to rise in the UK, it is crucial for HR Directors to address these issues and provide support to employees.

One way HR professionals can address financial stress is by adopting a holistic approach that includes financial well-being in their care initiatives. This involves understanding the specific challenges and pain points of employees and providing targeted support to address these issues.

This support can range from signposting to resources such as the Money & Pensions Service to more direct assistance such as debt management, budgeting, and saving advice. Some companies also provide additional perks like shopping vouchers and bike-for-work schemes to make life easier for their employees.

In addition to providing support for financial stress, HR directors can also implement company-wide policies and programmes that aim to reduce financial burden for employees. For example, some companies offer flexible work schedules or telecommuting options to help employees save on transportation costs. Others provide employee discounts or perks such as free or discounted meals or gym memberships.

Providing support for financial stress can have a powerful impact on employee well-being and productivity. Reducing stress levels can improve individual performance and decrease the likelihood of time off due to illness. By addressing financial stress, HR directors can not only support their employees but also benefit the overall success of the business.

In today’s uncertain economic climate, it is more important than ever for HR professionals to prioritize the financial well-being of their workforce and take proactive measures to address financial stress. By providing the necessary resources and support, HR directors can help their employees navigate financial challenges and foster a healthy and productive work environment.

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