How Do Employees Feel About Financial Wellness and Stress?
The awareness around workplace stress and the health impacts it can have on employees has been a significant HR trend in recent years.
Burnout and stress at work have become such a big concern that the World Health Organization classified workplace burnout as a legitimate medical diagnosis in their latest revision of its handbook.
There are many factors that can influence employee stress, but one of the most common comes from finances and a new report from Ceridian HCM Holding Inc. revealed just how big an impact money has on wellness.
Let’s take a closer look at the results from this survey and what it means for employers and employees.
How does money impact stress and wellness?
Ceridian’s first ever Pay Experience Report was taken online by 1,891 workers 18 years of age or older, 982 who were from the United States and 909 from Canada.
The first thing the survey asked respondents to do was select the reasons why they weren’t satisfied with their jobs. The top 3 answers were:
- I don’t make a good salary – 46%
- Terrible or no benefits – 33%
- Work isn’t interesting – 27%
Considering that the top two answers both involve compensation, it’s not too surprising to see them as reasons for job dissatisfaction.
Next, the survey asked employees how stressed they are about pay and money issues:
- Slightly stressed – 32%
- Moderately stressed – 26%
- Not stressed – 20%
- Very stressed – 12%
- Extremely stressed – 10%
In total, 80% of survey takers were at least slightly stressed about money issues.
And most employees do not feel that their employer cares about their financial wellness. Just 24% said their employer cares very much, while 34% said they care a little and 27% said their employer doesn’t care at all.
How do employees feel about pay transparency and reviews?
Many employees today feel that pay transparency is important, so the survey asked respondents if they were satisfied with this in their organization.
57% said they were somewhat satisfied, while just 13% said they were dissatisfied.
When asked about if employees had an understanding about what others were making at their company, 47% responded that their company is transparent about pay.
The survey then goes into communication and the role it plays in creating a positive pay experience. 66% agreed that their employer clearly communicates with them about pay matters.
Next, the survey dives into pay reviews, which is an important factor in overcoming workplace stress due to money issues. The results show that just 56% of employees were at least somewhat satisfied with the fairness of pay reviews.
Part of the problem could be the frequency of these reviews, as 25% said their company never has pay reviews and 24% are unsure of when they occur.
For employers, having dedicated review periods and being open with employees about them can help alleviate the unknowns around performance and pay reviews.
Employers can help employees overcome financial stress
More and more employers are taking actions to help their employees handle stress and improve their wellbeing.
In addition to pay increases, business leaders can also explore the idea of adding employee benefits that help with wellness, such as Employee Assistance Programs (EAPs).
Doing so can give employees access to a wide-range of resources such as financial advisors and educational materials that can help them better manage their personal finances and hopefully reduce their stress!
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