5 ways financial stress is hurting American employers
Published July 18, 2014 11:44 AM
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Updated September 3, 2014 9:52 AM
1 Min Read
1. Economic problems hurt employees.
According to FinFit, a financial wellness solutions provider, 71% of the more than 250 business owners surveyed say the difficult economy is forcing their employees to live paycheck-to-paycheck.
"Employers at our customer companies are increasingly faced with situations involving employees in need of financial help in between pay periods," says Jennifer Creech, director of business development at FinFit. [Image: Fotolia.com]
"Employers at our customer companies are increasingly faced with situations involving employees in need of financial help in between pay periods," says Jennifer Creech, director of business development at FinFit. [Image: Fotolia.com]
2. Financial stress leads to a less productive employee.
Approximately 86% of respondents indicate that financial stress is leading to an increase in absenteeism, a lowering of productivity and more distraction for their employees while they are at the workplace.
"Unfortunately, while they are work, you know employees are walking around, talking on their cell phones and dealing with their significant other about how they can't pay the rent or they have a child that may be sick," Creech explains to EBN. [Image: Fotolia.com]
"Unfortunately, while they are work, you know employees are walking around, talking on their cell phones and dealing with their significant other about how they can't pay the rent or they have a child that may be sick," Creech explains to EBN. [Image: Fotolia.com]
3. The price of health care is a constant concern.
Emergency health care costs were cited as the top reason why employers should offer a loan or lending program between pay periods to help employees deal with the stress of medical bills.
"Even if you are making a decent salary, it is difficult to concentrate on work when youre worrying about how to pay this months bills, or to find the money to cover a health emergency," says David Kilby, president of FinFit. [Image: Fotolia.com]
"Even if you are making a decent salary, it is difficult to concentrate on work when youre worrying about how to pay this months bills, or to find the money to cover a health emergency," says David Kilby, president of FinFit. [Image: Fotolia.com]
4. Financial wellness as an employer benefit.
Because financial wellness programs can be a valuable benefit, employers should consider incorporating more opportunities to educate their workforce on how to effectively manage their money, monthly bills and other costs that can hurt their bank accounts. [Image: Fotolia]
5. How should employers target their financial wellness program?
FinFit states that about 69% of company leaders believe that their workforce will participate in a financial wellness program if it covers health care coverage premiums, deductibles and co-payments.
"We can get them back to being productive employees, and focused at the job at hand instead of their financial worries," explains Creech. [Image: Fotolia.com]
"We can get them back to being productive employees, and focused at the job at hand instead of their financial worries," explains Creech. [Image: Fotolia.com]
