CMO & Head of People at BrightPlan, a Total Financial Wellness company.
getty
When playing a word association game, most Americans would likely respond to “2021” with “COVID” and “2022” with “inflation.” Domestic and international economic uncertainties are the factors that weigh most heavily on workers. They're more stressed about their finances, which is forcing them to rethink their approaches to everything from saving for retirement to financing a home.
This shift is, in no small way, compelling HR executives to reconsider how they can best support the needs of their workforce and what’s most important in the employment relationship. As evidenced in the 2022 Wellness Barometer Survey, the increase in economic challenges is influencing employees’ overall well-being, with financial stress impacting both mental health (77% report an increase) and physical health (52% report an increase).
COVID-19 forced a radical, permanent transformation in the terms of engagement between companies and their workers. With economic stress now front and center, companies and people leaders must continue to reshape their definition of employee wellness and act accordingly if they are going to attract, retain and motivate their best employees.
Be A Trusted Partner
In employees’ eyes, personal wellness is no longer something for them to wrestle with alone. They expect their company to be a full partner in providing solutions for work/life balance, caregiving, mental health, personal finance, career development and more. Of all the cooperative support options, financial-wellness-related benefits top the list this year. Nearly nine in 10 employees expect their employers to offer financial education and/or tools for investing. Mental health benefits, flexible time off and professional development are also highly sought after.
These progressive benefits are important because it keeps trust in employers increasing. Perhaps driven by the changes brought about during COVID-19, more employees feel their companies are concerned with their health, safety and well-being. For employers and HR leaders, this is a unique opportunity to further demonstrate that company assistance doesn’t happen only between 9 and 5.
When employees are supported both inside and outside the workplace, the company benefits as well. Workers overwhelmingly believe that enhanced benefits are motivating. They are more likely to work harder, feel more secure, be more engaged in their work and ultimately stay longer in their jobs.
Offer Financial Literacy Solutions
With financial stress tightly connected to physical and mental well-being, financial literacy is a great place to begin the pursuit of holistic employee wellness. In the 2021 TIAA Institute-GFLEC Personal Finance Index survey, only 50% of U.S. adults were able to answer basic financial questions correctly—a drop of 2% from 2020. Money management is rarely taught at home or in school, a predicament that follows many individuals into adulthood.
Companies can help by offering easy-to-digest financial education, as well as tools for financial planning, investing, day-to-day money management and access to financial professionals. While younger generations are most in need of education about financial concepts, older employees value expert assistance on how to navigate issues regarding healthcare options, retirement planning and wealth management.
Include A Focus On Holistic Wellness
At a time when stress is rampant and employees are struggling for answers, HR can be a highly valued source of information, resources and encouragement. It begins by prioritizing wellness in all its forms—physical, mental, social and financial—and responding with both compassion and strategic solutions. While literacy and skills development are important, holistic wellness involves more than educating the employee. It’s about evolving workplace culture.
Understanding diverse employee needs and ensuring employees feel seen and accepted is key to this equation. Most employees still strongly believe that their employer has room to improve in the area of diversity, equity and inclusion (DE&I). Moreover, many feel only somewhat safe, accepted and comfortable at work. Initiatives to increase inclusion across gender, age, sexual, cultural and racial lines are improving but still need further expansion. Employers can do more by focusing on hiring diverse candidates, engaging in progressive equity policies, offering mentorship programs and expanding DE&I training.
With the mounting global concerns, energy shocks and historic inflation, workers have every reason to be uncertain and anxious about the future. The events of the past several months have further accelerated the need for new perspectives and strategies among HR professionals and C-Suite executives alike. It’s time for creativity, empathy and responsiveness. Embracing and prioritizing the holistic well-being of workers improves productivity and creates a more supportive, welcoming environment. This can help ensure that workers will associate “2023” with “belonging.”
Forbes Human Resources Council is an invitation-only organization for HR executives across all industries. Do I qualify?
