Money is a huge part of life. It dictates where you live, how you live, and even what career path you choose to pursue.
It is also the cause of financial stress for your employees. 69% of employees say they worry about financial stress multiple times a week. 44% say they worry every single day.
Financial stress doesn’t just impact the individual employee. When your team is stressed, it decreases their productivity at work which, in turn, impacts your company.
At least 55% of employees aren’t fully engaged at work. Financial stress is a contributing factor. According to a study in 2017, financial stress costs employers $250 billion per year.
While the ideal situation would be giving everyone in your office a raise, that simply isn’t feasible or good business practice. Compensation is a great lever in your overall employee retention strategy, so it is best to be competitive. However, there are strategies you can implement to alleviate financial stress for your team members that aren’t related to compensation.
Identify the problem.
While more money seems like a simple solution, it doesn’t necessarily guarantee a decrease in an employee’s financial stress.
The first step in helping your team is to identify the root cause of financial stress.
What causes financial stress? Is it the lack of money or is it the lack of knowledge of how to handle money? Most likely, it’s the latter.
We live in a world that normalizes debt and spending money you don’t have. While this is considered normal in our world, it is often the reason so many people face financial stress and hardship. It’s because no one taught them how to handle money.
Due to the recent pandemic, many people in the U.S. faced unemployment and financial stress. The pandemic revealed how necessary it is to budget, have savings and an emergency fund, and take control of your personal finances.
You can’t predict the future, like a pandemic, but you can be prepared.
So, what’s the solution to helping your employees with financial stress?
Every employee situation is different which makes it hard to address it in a uniform way, but one of the best ways to support your team during financial crises is to equip them with the resources they need.
Consider providing a financial wellness program.
Personal finance can sound scarier than it actually is. In reality, it’s about 80% behavior and 20% head knowledge. People don’t need a math degree to excel at personal finance. The simple solution is to educate your team.
Companies around the U.S. are offering financial wellness programs as a part of their employee benefits packages. Financial wellness programs equip your team with the tools they need to address financial challenges and stress.
In a general financial wellness program your team will learn:
- How to manage money
- How to budget based on their income
- How to save for retirement
When your employees take the initiative to take control of their finances, they will be able to focus at work, increase productivity, and feel free from financial stress.
When you, as a leader, take the initiative to empower and encourage your team to learn about finance, it will transform your company culture and show your team that you care about them as more than just employees.
Encourage budgeting and planning.
A financial wellness program usually only lasts a couple of weeks, and you meet once a week. There’s a time limit to a program, but personal finance continues past the class.
Encourage your team to build healthy habits after the class. After the class, you can provide time for your team to meet to discuss what they learned and what they are implementing in their personal finances.
One of the best ways to manage money is to create a budget. There are many free tools that make budgeting easier and fun:
Set up webinars and online financial Q&A sessions.
Educating yourself and your team doesn’t have to stop with a financial wellness program.
Take initiative in the workplace and schedule a webinar that addresses personal finances. If your team has any questions after the financial wellness program, host an online Q&A session. You could also ask a guest speaker to come in for a lunch-and-learn with your team.
Whatever you choose, don’t just stop with a financial wellness program. Personal finance is ongoing, which creates a great opportunity for you to equip and care for your team!
How CCA Can Help
Prioritizing your team and taking the time to invest in them through financial wellness programs, employee benefits, and more will transform your company culture. Not only will your team feel cared for, but they will also be more productive, be able to focus at work, and be free from financial stress. Many of our partner companies have chosen their Corporate Chaplain to be the financial wellness subject-matter expert in their company.
At Corporate Chaplains of America, we work with businesses nationwide to provide teams in the workplace with the support they need to get through life’s ups and downs.
When you invest in professional and emotional support for your employees, you show that you care for them as human beings, not simply as employees.
At CCA, our team is dedicated to you and your team. Your chaplain is a trusted confidant that your team can go to no matter what.
Our chaplains are available 24/7 for you and your team. When your employees have someone to talk to, it can make an unsteady time seem a little steadier. Your team needs that support, and our team can be that for them. Contact Corporate Chaplains of America today to learn how to support your team as you seek to grow a thriving, healthy work culture for your team.