How to help distressed employees during tough financial times
The highest priority of any business is to create a bottom line that is both steadily growing and profitable, providing the funds necessary to continue operations and encourage company growth effectively. Two very important components to the success of this formula are employee satisfaction and good job performance. If employees are stressed over personal financial issues, they tend to lose focus and perform poorly at work.
Success is the common goal of business owners as well as the people their companies employ. When companies are successful, owners are happy. Also when employees are successful in their lives, they feel more positive, are more focused and creative and work more energetically. There is a direct link between successful employees and successful businesses. It is therefore in the best interest of any and every company to help its employees experience success. One of the most effective ways of accomplishing this goal is to help employees become more successful in their financial lives.
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Since traditional investment education delivery methods tend to fall short of encouraging participation — and are often linked to a failure of meeting immediate personal financial needs — methods for effectively addressing these issues must be implemented. Education and improved literacy concerning financial issues help employees free up money, which in turn creates a sense of achieving goals. When employees feel financial relief and a sense of success, they more readily turn their productive energy toward their jobs and think more seriously about creating a secure future.
Target key financial areas
To realize results, key areas should be targeted to have the greatest impact on helping employees achieve their financial goals, both now and in the future. When workers receive financial education on and assistance with creating a budget, effectively managing debt, and utilizing available resources that produce greater savings, they overcome stressful financial hurdles, accumulate more savings, and are generally happier both at home and in the workplace.
Financial literacy programs are designed to meet pressing employee needs, and the financial planners that offer them normally get better retirement plan participation results as well. As people learn to take control of their day-to-day financial needs, pressing issues are more readily solved, relief is obtained, and money is freed up for more distant savings goals, which include retirement plans. The more support employees are given in this effort, the faster the process unfolds, and the sooner employers can see real results both in the performance of their workers, and in the increase of their bottom lines.