Three key steps to a financially fitter and more productive workforce
Implementing a good financial wellbeing strategy is key to this. Not only can it help employees to better understand their financial situation, it can also act as a catalyst for positive behavioural change and action – resulting in a happier, healthier and more productive workforce, and a ‘win-win’ for all.
However, it can be difficult to know where to start when thinking about putting a financial wellbeing strategy together. To help, we have outlined three key steps to a financially fitter and more productive workforce.
Step 1: Understand the needs of your employees
Each employee will have individual circumstances which are likely to result in different financial priorities. Therefore it’s imperative that employers understand the needs of their workforce before any financial wellbeing initiatives are implemented.
This means assessing the various cohorts of the employee population and considering their different needs: younger groups may want help to save for a deposit for a first home, whereas that probably won’t be a priority for older groups, but a pension will be. It therefore helps to segment the workforce and research what these different groups of the employee population may want and need.
Step 2: Develop an appealing benefits package
A good starting point is look at your employee benefits platform and investigate if employees are taking up and using the benefits on offer. Making sure benefits are relevant and well-explained can really help take-up and improve personal money management.
Step 3: Help employees to understand their finances
Many employees struggle to understand basic financial issues and often fail to realise the various benefits on offer in the workplace. Helping employees become more familiar with this is an important step in helping them to engage with their finances.
The best way to do this is via financial education. Increasing numbers of employers are putting financial education seminars in place (both online and face-to-face) to help their employees understand the various issues surrounding their finances, as well as one-to-one financial guidance or regulated financial advice for those who need more support.
Many employers are unable to offer this support themselves, hence the need for specialist financial wellbeing service providers. These providers can help employers to develop a financial wellbeing strategy that is tailored to their organisation. Not only can this help employees feel financially secure, but it can also drive improvements in employee engagement, productivity and retention.
The author is Jonathan Watts-Lay, director at WEALTH at work.
This article is provided by WEALTH at work.
In partnership with WEALTH at work
WEALTH at work is a leading financial wellbeing and retirement specialist - helping those in the workplace to improve their financial future.
