Money worries are the biggest cause of stress for employees across Wales and the UK and are damaging to business too. People take their money worries to work, affecting their performance and levels of sick leave.
The pandemic and the recent increase in energy costs have shown that it is more important than ever for organisations to support their employees to build their financial wellbeing. We also know the pandemic has meant significant challenges for many organisations, resulting in financial wellbeing slipping down the ladder of priorities.
As we navigate a ‘new normal’ through the pandemic, with a phased return to the physical office and an easing of government support measures, it is clear that the case for financial wellbeing in the workplace has never been more compelling or timely.
Even before COVID-19, there were significant challenges to financial wellbeing in Wales:
- 58% of adults in Wales feel that keeping up with their bills and credit commitments is a burden
- 37% of adults in Wales feel that thinking about their financial situation makes them anxious
- 27% of adults in Wales have less than £100 in savings and investments
- 42% of adults in Wales do not feel confident about managing their money
- 53% of working age adults in Wales do not have a plan for their finances in retirement
Also; in other research;
- “94% of UK employees admit to worrying about money, and of these, 77% say that money worries impact them at work” – SOURCE: Close Brothers, The Financial Wellbeing Index (2019)
- “69% of UK employers believe their employees’ job performance is negatively affected when they are under financial pressure.” – SOURCE: Neyber (2018), The DNA of Financial Wellbeing 2018
What is Financial Wellbeing?
Firstly; good financial wellbeing isn’t about how much you earn. Here at the Money and Pensions Service, we see financial wellbeing about making the most of your money day to day, dealing with the unexpected, and being on track for a healthy financial future. Feeling secure, confident and empowered.
Money plays a part in everything that we do in life and it is likely that Covid has impacted on people that may have never had money worries in the past.
You may think that the financial wellbeing of your employees is not your responsibility or that you need to be experts in everything financial. That’s not true! As we’ve seen from the above research, the reality is that your staff would like you to provide this information and act as enablers, facilitators and be the trusted messenger, but also drawing on the expertise and support of other organisations to help you develop a financial wellbeing programme that meets the needs of your employees.
What can employers do to support financial wellbeing in their workplace?
That’s where we at the Money and Pensions Service (MaPS) can help! Talk to us if you’re wondering where to start or looking at enhancing what you already offer. We provide free and impartial money and pension guidance, tools and resources to help people make the most of their money and pensions throughout their lifetime. From pocket money through to pensions!
We also have our MoneyHelper service; here to make money and pension choices clearer. Here to cut through the jargon and complexity, explain what you need to do and how you can do it. Here to put you in control with impartial guidance that’s backed by government and to recommend further, trusted support if you need it.
MaPS has been set up by the UK Government to help ensure that people throughout the UK have access to the information they need to make effective financial decisions throughout their lives.
Get in touch: We encourage organisations of all sizes and from all sectors to support financial wellbeing.
To learn more about how we can help, reach out to your Wales Partnership Manager, Rhian Hughes at rhian.hughes@maps.org.uk or Tel: 07773045727
Visit our website to find out more about how you can support your workplace with financial wellbeing – Financial Wellbeing in the Workplace
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