Why Financial Wellness
Is there a need for financial wellness in the workplace? The following statistics are from the 2017 PwC ‘s Employee Financial Wellness Survey:
- 1 in 3 employees say financial issues have been a distraction at work.
- 53% of employees are stressed about money.
- 51% of millennials withdraw from retirement savings to pay for unexpected expenses.
People are living paycheck to paycheck. Sixty percent of Americans spend more than they make. We live in a spend economy. Instant gratification will have disastrous effects on the future state of one’s financial stability.
Eighty one percent of Americans do not have adequate savings set aside for emergencies. When emergencies occur, people have to rely on credit cards or dipping into retirement savings to cover it.
These money issues people are facing go to work with them. Employees surveyed admit to spending up to three or more hours during the work week dealing with financial matters. This is resulting in lost hours of productivity in the workplace and this is hurting business.
Stressed employees are less productive, absent more often, and have health issues caused by financial stress.
A financial wellness program can help organizations save money, recruit top talent, decrease turnover, and gain a competitive advantage. Employee engagement increases when an employee feels their employer is concerned about their wellbeing.