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Employee financial hardship

Money worries are the biggest cause of stress for employees in the UK.


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Anxiety around finances affects mental and physical health and social wellbeing. This in turn impacts attendance and performance at work.

  • 1 in 4 workers have lost sleep over money worries
  • 59% of employees say current financial worries prevent them performing their best
  • 18 million working hours are lost to financial stress in the UK every year

However, whilst 90% of employers agree financial worries harm workplace performance, guidance is needed on what they can do to help.

Facts and challenges:

  • 11% of the workforce find it hard to make ends meet
  • 5% of employees have been absent from work because of financial worries
  • 4% is added to payroll costs because of absenteeism caused by financial distress
  • 8% of employees have spent time during the workday dealing with money worries
  • 89% of employers agree financial concerns have an impact on staff performance
  • 46% of employees say financial pressure affects relationships with their managers
  • 1 in 5 employees think their financial situation affects their work

Money worries have a clear impact on how people feel and behave, both in their day-to-day lives and at work. So, when your workforce suffers, your business can also suffer.

There is also a problem with staff retention, with more than one third of employees willing to move to a rival company, putting financial wellbeing as a priority.

This is one area where every workplace, both large and small, could have a positive impact on reducing stress and improving productivity. The cost of living in the UK has risen massively, leaving many people struggling.

However, help may be available - and it's not just for those out of work. Support for those earning but still struggling, plus additional help if you have children, caring responsibilities, or a long-term health condition is also available.

Millions of people are missing an estimated £19 billion in unclaimed benefits, so it's worth checking if you are entitled to more, by using benefit calculators.