When people talk about employee benefits, they typically focus on health insurance, 401K programs, employee assistance programs, and maybe even healthy snacks in the vending machine. These are all important benefits to be sure, but today’s employers should also take stock of their employees’ financial wellness—the ability of those who work for them to make confident financial choices that enable them to avoid stress today and provide for secure financial futures tomorrow. While a company-supported 401K plan is a good start, there is so much more that companies can provide to help their workers get on good financial footing.
Amidst the COVID-19 pandemic and its economic impact, financial wellbeing has never been more top of mind. According to Alright Solutions’ 2020 Employee Wellbeing Mindset Study, factors such as debt and overall financial health can take a significant toll. In fact, 24% of workers surveyed in the study report their level of debt is ruining the quality of their life, and 61% fear they do not have the financial wherewithal to retire when they want. PWC’s 2020 Employee Wellness Survey echoes those points, revealing that 54% of survey respondents list money matters as their top stressor, and 38% reveal they have less than $1,000 saved for emergencies. If you think financial stress doesn’t impact workplace performance, think again: 49% of employees say they spend three hours or more hours at work weekly thinking about their personal finances, and 28% admit their productivity at work has been impacted by financial concerns. What’s more, Financial Salary reports that decreased productivity, absenteeism and turnover related to financial stress accounts for 13% to 18% of businesses’ total salary costs annually.
All this data points to the tremendous value that companies can offer their employees through onsite financial wellness programs as part of their overall health and wellness benefit packages. At KeyBank, we offer an onsite program called Key@Work® that focuses specifically on the financial wellness of our business client’s workforce at no cost to the employer or employee. While other financial institutions may partner with employers to offer banking products and discounts to their employees, Key@Work goes further by taking a comprehensive approach to employees’ entire financial picture. Our mission is to provide an employer’s workforce with one-on-one, ongoing professional financial advice meant to enhance their financial outlook and help them realize their financial dreams. Key’s uniquely personalized approach to our workplace financial program has yielded notable results and accolades from our clients.
Employers considering a financial wellness program should look for the following services:
- Onsite sessions for employees to learn about financial wellness and best practices for understanding their personal finances and how to take control of their finances;
- Personalized advice that is tailored to employees’ individual financial concerns;
- Online resources that enable employees to track their spending, set budgets and document their progress toward specific financial goals;
- Banking and financial products that support employees’ financial goals.
Financial wellness is a multi-generational need, and a well-designed program should address your employees’ entire career journey. It can also help you as an employer — by showing your workforce that you are invested in their overall health and future, helping you to attract and retain talent, and improving employee engagement and performance that leads to better production and results for your business.
About the author: Louis Hoxha serves as Regional Retail Leader responsible for the branch network throughout KeyBank’s Atlantic Region, which includes Westchester and Fairfield Counties. He can be reached at 845-620-4425 or Louis_Hoxha@keybank.com
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