What good looks like: Workplace savings that support employee wellbeing

There’s plenty of evidence to suggest that financial worries can affect mental health and impact employee performance.

The link between finance and mental health runs deep.

Research at NatWest Cushon found that 2 out of 3 employees say money worries affect their mental health with a similar number saying it affects their performance at work.

This is why workplace savings providers will include employee financial wellbeing services with your employee pension or ISA, starting with proper education around the products; why they’re beneficial, how to make the most of them and how to feel more in control.

With increased understanding and ownership of their savings, employees can make better decisions and feel more prepared.

They’re more able to manage their money, save for goals or a rainy day, and improve their financial resilience.

What to expect from workplace savings providers

To be effective, workplace savings providers need an active approach to financial wellbeing.

It should be baked into how they build their products, the way they communicate, the journeys they take employees on.

Providers need to create an employee experience, including proper financial education and support, that is always:

Topical: The focus should be on dealing with real life issues in a practical way so employees can take action. It’s not just ‘how to use an ISA’, it’s ‘how to make a habit of saving for emergencies’ or ‘how to get on the housing ladder’. Needs-based subjects provide context and make it relatable.
Engaging: To keep attention and overcome the worries people have about money, support needs to be delivered effectively. It needs to speak the same language as employees, be available when they need it, and be useful enough to inspire action.
Accessible and inclusive: To be available on-demand so it’s there when it’s needed, with alternative formats and simple language.

Support available for employees

Workplace savings providers should complement their products with:

Needs-based financial education resources. A library of videos and guides, for instance, that cover a wide range of financial wellbeing topics, with tips that help in those moments that matter.
Constantly evolving education programmes, considering member feedback and needs.
Individual 1-2-1 guidance and interactive group webinars to listen to your employees and help with what’s important to them.
Regular communication about their savings and benefits to keep them in the loop and engaged.

Is your current workplace pension or ISA provider doing this for you?

If not, it might be worth shopping around for a better alternative.

The business case for supporting employee wellbeing

Most of us will no doubt think this is important already, especially if you’re sat here reading an article about it.

But that doesn’t always translate to getting sign off on a new workplace initiative if you need to find one.

Cold, hard facts are needed:

28% of sick days in the UK are due to poor employee mental health
£56 billion is the annual cost to UK employers, due to presenteeism, absenteeism and staff turnover
61% of UK employees left a job or plan to leave in the next 12 months because of poor mental health

These eye-watering stats came from Deloitte and give a pretty good impression of the downside.

But what about when you put the work in, provide more support for employees, and help to boost their wellbeing?

According to Oxford University happy workers are 13% more productive.

So you’re not just reducing the cost of sick days and the risk of staff turnover, you could also improve the business’ output.

Workplace savings that support wellbeing

Start your search at home.

Ask your current provider if they provide any education to support your employees’ wellbeing that you’ve not taken up yet.

If they don’t, shop around to find a provider that does.

Now you know what good looks like, you know what to look for when you compare providers.

For more on the topic of making your pension provider work harder for you, read about the three steps to make sure your most expensive benefit adds value.