We all know that supporting employee financial well-being is the right thing to do, especially as Americans’ financial situations seem to deteriorate.
And our recent MyChoiceSM Recommendation Engine Report backs up this statistic. During the 2019 Annual Enrollment season, nearly 500,000 employees were asked how they would handle a large, unexpected expense; 42% said they would go into debt, dip into their retirement savings, or simply not know what to do. Even among employees earning $100k or more per year, 20% said they would go into debt.
But supporting your employees’ financial concerns isn’t just good for them, it’s good for your business.
How Financially Fragile Employees Hurt Your Organization
Consider these statistics from PwC’s Special Report: Financial stress and the bottom line. Financially stressed employees hurt your business on several fronts:
The Direct Impact to HR
The data also suggest that poor employee financial well-being has a direct impact on the competitiveness of your organization to attract and retain top talent. The same PwC study found the following:
It’s clear: when your employees are hurting financially, your entire organization suffers — from productivity to healthcare costs to hiring and retention.
Doing More with Less
The challenge HR professionals face these days is that they are being asked to produce more with increasingly fewer resources. Benefits teams, for example, are smaller than ever before, but are expected to deliver two, three or four times as many options than they did just 10 years ago.
So, when it comes to investing in employee financial well-being solutions, it’s natural to have a few concerns and questions, especially if this is new territory for you. Here are the top 3 most common questions we receive from our clients and the HR community at large when considering a variety of financial well-being benefits.
Supporting employees’ financial well-being is important, but it’s not as easy as flipping an “on” switch. There are many questions that need to be answered before you can implement a successful program. Read the full guide below that goes into more detail and lists 7 more FAQs about financial well-being benefits from HR/benefits professionals like you.