Elizabeth Halkos, Chief Revenue Officer, talks about increasing productivity by improving employees’ financial stress.
The world of personal finance can be confusing. For some employees, it’s a living- paycheck-to-paycheck world, often struggling to meet household expenses and being able to save money for emergencies. For others, it’s concern about funding their children’s college education or retirement planning and their financial future. Either way, it’s stressful to employees and it’s affecting their work performance when they bring their financial issues and distractions to work. Their financial stress becomes the employer’s problem as well.
While introducing a new benefit or two might put a “band-aid” on employees’ financial stress or help with a short-term financial issue, only a financial wellness education program is going to help the real problem. Changing the course of employees’ financial behavior is going to help them make better financial decisions, sending them along the path to financial wellness.
Our new white paper, “Money Smarts: Helping Employees Make the Grade",, emphasizes that employers have a role in financial education for their employees. This white paper explores the effect financially-stressed employees have on the company and the need for a financial wellness education program. It examines the employer’s role and outlines how to incorporate it into your benefits package.
Some industry experts predict that financial wellness is the next big trend in 2015. Worksite wellness is expanding beyond physical health to include a financial wellness component, helping employees ease economic stress, overcome money challenges and promote financial health.
Companies that offer financial wellness education programs see the benefits from it in a number of ways. A recent SHRM study found that 72 percent of HR professionals who had implemented a financial education initiative found it very or somewhat effective in improving their employees’ financial wellness.
It’s time for employers to take a more active role in their employees’ financial wellness.