92% of Employees Are Losing Sleep

New Research shows that 92% of employees are losing sleep due to financial worries.
~SHRM online poll

Many employees have finanical worries that you may or may not know about. It's not always apparent in the office.  However, feeling financially stressed at home can often have significant impact on your companies bottom line.

44% of 1,100 employees surveyed are asking their employer for a wider variety of voluntary benefits, like a mortgage or financial planning.  And what's interesting is that currently 55% of Americans are getting their finanical products and services from their workplace already so clearly they like it because they want more services and benefits.  Makes sense because this is an added free benefit to both the employee and the employer that you can provide and feel good about it too.  They are requesting it!!

What is encouraging is that 45% of employers are already increasing their wellness communications to highlight services that can help employees get through this economic downturn.

Isn't it time to start thinking about, planning and scheduling Free lunch and learn workshops for your employees for 2010?  Visit our website for more info.  It's easy, free and you'll FEEL great!

The Society for Financial Awareness

The Changing Face of HR

What is Your ROEI, Return on Education Investment?

Should HR be a leader rather than a partner? As a leader and an employee advocate, HR increases employee commitment and productivity through communication, providing educational opportunities not only on work matters but also about finances, health and wealth matters that promote stability in families.

Productivity and Performance ~ Improving Business Results

HR functions provide core services such as compensation and benefits, employee relations, learning and development.  But doesn't it make sense to also focus on improving productivity of the workforce?  And doesn't that often start with finanical health and stability?

A productive and happy employee feels secure in their job and financially stable at home. Best performers are self-confident, are results oriented, can cope with uncertainty and change such as with the current economic market, and are taking action to have finanical stability at home. 

The problem is is that most of us were not taught how to handle finances or how to prioritize our money (cash flow).  Money management has been a big source of Americans troubles over the past 3 years.  Wouldn't it be nice to know that your employees have the opportunity to get the sound advice and direction?

Look ahead at what needs to be done. Be the leader for your team.  Help your employees get the right education, information, and direction they need to feel confident once again!

Society for Financial Awareness

More Job Loss, Increasing Uncertainty.... How Can You Help Your Employees?

In the news, Initial Jobless Claims increased more than expected, indicating ongoing weakness in the labor market. The ISM Manufacturing Index also came in slightly worse than expected.

Just yesterday one of our services providers closed their doors.  This is happening often under the radar more than we know.  How is this affecting your business?  Well for one, many employees are feeling concern about their job security because a companies finanical strength is not always completely known.  And even if the company that someone works for is secure, what if their service or parts providers go under?  Does this leave them hanging?

We often think of  financial distress as a family issue.  What if we think of the dollars at stake in financial hardship in a different context?  Think of it not as the costs imposed on a business by customers that don't pay but as the costs imposed on a business by employees who can't pay.

In 2003, Dorothy Bagwell and Jinhee Kim published Financial Stress, Health Status, and Absenteeism in Credit Counseling Clients. They report on an analysis that they conducted using a random sample of consumers who contacted credit counseling agencies. These consumers were asked questions about their financial stress, absenteeism, and demographic qualities. Bagwell and Kim perform a regression analysis that indicates that financial stress is strongly correlated with missed work days. The effect of financial stress was more profound than many other factors, including marital status, gender, age, household income, and even health.

The study's findings suggest that companies would improve their balance sheets by helping their employees with their balance sheets. Employee absenteeism has high economic costs; businesses interested in reducing such costs ought to consider whether they should be supporting legislation or programs that seek to reduce the incidence of financial stress.

Many companies offer Employee Assistance Programs; given that approximately 3 million households seek credit counseling annually, it would seem crucial that these programs have reliable resources to help employees with financial problems.

The Society for Financial Awareness offers these programs as a Free service to employers.  Lunch and Learn workshops are an excellent way to extend help to your employees especially in this time of need and uncertainty.  And you will FEEL great helping your employees feel secure about their future.

Financial Stress May Hurt Productivity

The financial stress due to an increase in mortgage defaults, late payments on credit cards, decreasing value of personal savings and retirement plans is overwhelming employees and is ultimately impacting  the workplace and potentially draining productivity and increasing emotional stress on the job.

Stephanie Armour, USA TODAY, writes

Major employee-assistance counselors serving Fortune 500 companies are reporting a surge in calls from employees worried about mortgages and finances.

"Our calls in general for mortgage-related issues are up over three times compared to last year," says Richard Chaifetz, CEO of ComPsych. "(Employees) become preoccupied with financial issues at work. You see absenteeism, lack of performance and turnover as people look for jobs that may pay more."

"There is a connection between emotions and finances," Jonathan Hefner, manager of legal and financial counseling services for Ceridian says. "Employees are calling about the mortgage crisis and financial squeeze. They're very anxious. We're hearing a lot more concern about foreclosure. It can have a real significant (impact) at work."

Nearly three out of five employees say they're worse off financially this year, according to an August survey by ComPsych. Just 16% said they are better off, with more savings and less debt.

When your employees are stressed out about their finances or family life;

• They are less motivated
• Less productive
• And often not happy at work   

These stresses can cause employees to moonlight to pick up extra money, feel anxiety, depression and fear about their financial future.  Often absenteeism increases and productivity problems affect the bottom line.

Providing the Education and Help they need to get back on track is key to a companies growth and productivity and long-term sustainability.  Providing these resources while employees are already at work is key.