Financial wellness can affect more than just employees’ accounts and retirement readiness. It also can affect their physical wellness — as well as the employer’s bottom line.
In “Financial Wellness in the Workplace 2015,” Alliant Credit Union cites statistics from the American Psychological Association that state that more than twice as many Americans are seriously concerned or worried about their finances than are obese. It also cites a Society of Human Resource Management study that found that 38% of employees now face greater personal finance challenges than they did just before the Great Recession.
The study argues that financial stress affects people at all income levels, and that financial worry takes its toll. It cites American Medical Association data showing that stressed people are three times more likely to have ulcers or digestive tract problems, 44% more likely to suffer migraines, 200% more at risk of a heart attack and 500% more likely to experience increased anxiety and depression.
Addressing that by increasing financial wellness can accomplish more than boosting employees’ financial and physical health, Alliant argues — it can help an employer’s bottom line. In a January 2015 study, it found that employers which instituted financial wellness programs realized the following positive results:
- 43% increased employee engagement/morale;
- 40% improved productivity;
- 40% provided education for employees’ goals;
- 36% helped alleviate employees’ financial stress; and
- 23% helped reduce employee absenteeism.
