Businesses constantly look for ways to attract talented staff and simultaneously retain the valuable team members they have. Many workplace-sponsored support programs focus on physical and emotional health to reduce stress and sickness in the workplace. An alternative solution? Financial workplace wellness programs. The ROI of financial workplace wellness programs is extremely compelling.
Financial uncertainty is a large contributor to stressed out staff and can lead to a lack of focus among other problems. Continue reading to learn why more and more organizations are implementing these financial literacy curriculums.
People are Reluctant to Talk About Financial Wellness
Personal financial difficulties can affect employees in the workplace, but many people will hide their situation from their peers. The stigma associated with money issues often leads your valued team members to not directly admitting their problems and indirectly exhibiting a lack of productivity or increased absenteeism because of the stress they are feeling.
The reasons for financial struggles vary. Recently, the global pandemic caused many people to dip into their savings to support themselves and others, so much so that they are delaying their retirement. Others have had to pay substantial medical bills. Some now face financial challenges for the first time in their lives such as the loss of a job by someone in their household.
Financial worries distract and cause anxiety. Even employees who have questions such as how to plan for retirement or save for a new home can feel the effects. A financial workplace wellness program offers a solution that can help your staff overcome challenging issues and chart a proactive path forward.
The ROI Financial Workplace Wellness Programs
Financial wellness programs offer a range of services to individuals, from debt management support to advice on managing loss of income and retirement planning. Your company likely already has those covered, but what about knowing how to manage money? Where is that benefit? While you may know the standard payback for your current employee programs but you may be asking “What is the ROI of financial workplace wellness programs for my business?”
Attracts Talented Employees
Every company wants to employ the brightest and most talented employees. When there’s a growing shortage of professionals, the very best employees have their choice of places to work. The power is in their hands, and your main concern is to make job offers as attractive as possible.
Good company benefits attract the right candidates and help you retain the talent you already have. If you have a financial workplace wellness program in place, it will attract experienced professionals looking for work. Having to advertise for staff and employ interim workers costs your company money, so it pays to have a solid and talented team that is happy to stay right where they are.
The distraction of financial worries does not let employees fully focus on their job, and that affects productivity. Money anxieties can also lead to sleeplessness, arguments, and other issues that can affect an employee’s mental health and work performance.
One of the major benefits of a financial wellness program in the workplace is that it offers confidential advice that can help get financially frustrated people back on the right track. Research shows that financial education significantly improves productivity by supporting people as they resolve their financial difficulties.
One study conducted by Warwick University proves that happy employees are up to 12% more productive in the workplace. Consider the ROI of having an entire team that’s 12% more productive! Your organization will be more successful, and each of your team members will be on track to a healthier lifestyle.
Reduces Sickness and Absence
When employees are unhappy or distressed, sickness rates rise. Financial difficulties can also lead to mental illnesses such as depression, and even suicide. By hosting a financial workplace wellness program, you are taking a proactive approach to preventing poor mental and physical health. Studies reveal that a financial wellness program can reduce sickness and absenteeism, which is a boon to both productivity and cost efficiency.
In addition to the large-scale advantage of offering a financial workplace wellness program, there are smaller savings you’ll see add up, such as:
- Decreased HR administrative costs. Your HR department will spend less time discussing benefits and payroll advances.
- Decreased payroll taxes. Employees that use HSA or pre-tax health benefits affect Social Security payroll and contributions.
- More 401(k) participation. Employees will learn how to properly save for retirement and you both reap the tax benefits.
- Decreased healthcare premiums and accidents. High stress and constant illness drive up healthcare costs and can lead to accidents in the workplace.
- Increased on-time retirement. Businesses can better plan for gaps in their workforce and employees have more peace of mind knowing there is an end in sight.
101 Financial Workplace Wellness
As an employer, you have a responsibility to care for your employees. Go beyond simply sponsoring a retirement plan or giving an annual bonus! Improving financial literacy among your team has far-reaching benefits for everyone involved.
Finance wellness programs are best delivered by someone who is outside the business and has the expertise to deal with a range of issues confidentially. The independence and credibility of a neutral third party like 101 Financial Workplace Wellness will give employees the confidence to seek financial help without fear that it will negatively affect their employment or how their peers treat them.
Implementing 101 Financial Workplace Wellness’s program is an excellent initiative for your company. Our team offers a proactive approach to creating a productive and engaged team, and we genuinely care about helping your staff achieve their financial goals.
Get in touch with 101 Financial Workplace Wellness today to learn more about what we can do for your organization. In the meantime, download our free ebook about the ROI of financial workplace wellness programs.