As the world becomes more fast-paced and work-life balance management gets more challenging, holistic employee wellness gains more significance.
Financial wellness programs are one such type of employee benefit that organizations can provide to their employees. However, a lack of this can increase absenteeism and tardiness.
Research conducted by the Society for Human Resource Management provides compelling evidence supporting the impact of financial stress on workplace attendance. It reveals a staggering statistic: financial stress can increase punctuality issues and absences by 34%. These findings highlight the significant influence of financial concerns on employee attendance and punctuality.
Another financial firm John Hancock depicts that almost 69% of workers remain stressed about their finances, while 72% of employees are financially concerned.
According to Abishek Sen, CHRO at Myntra-Jabong, engaging employees goes well beyond conducting picnics and giving rewards and recognitions.
Key Elements of Effective Financial Wellness Programs
Unlike other employee wellness and benefits, financial wellness programs require systematic planning to be implemented and must be oriented as per employee needs. Here are a few key elements CHROs must consider to create an effective financial wellness program:
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Assessing Employee Needs and Goals
The first and foremost step is to assess the requirements of the employees and where they stand financially. Every employee has unique financial goals and challenges. Amber's Pulse Survey can help create tailor-made survey questions to assess their specific financial goals, grievances, and expectations.
CHROs can identify common financial goals of the employees through the data collected during the survey. Using these, they can organize financial education and planning programs. They can also specifically conduct debt reduction programs for struggling employees struggling.
According to Abhishek Sen, CHRO at Myntra, “We developed a comprehensive wellness program which covers physical, mental, social and financial wellness of an individual. There are different organizations we have partnered with to give employees peace of mind, eliminate stress and maintain their health and protect their future from a financial standpoint.”
You must understand that overall well-being stays interconnected with finance. As a result, it is crucial to prioritize financial well-being so that other engagement programs work out in the organization.
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Tailoring Programs to Diverse Employee Groups
CHROs would observe a diversity of financial aims among employees of different social backgrounds and age groups.
The older generations are more focused on savings and financial planning for retirement and prefer safer and failproof financial tools. The millennials, Gen X, and baby boomers look for better lifestyles and are more willing to try riskier financial options to get quick and better returns.
Also, the financial goals differ based on income levels, culture, and to some extent, personal agendas. All these can get deciphered through periodic surveys within the organization. While one-on-one interaction is not always feasible, AI-driven tools like inFeedo’s employee wellness survey can provide accurate analysis and insight into these factors.
As a result, CHROs can customize training and wellness programs for specific groups of employees. They can also figure out flexible income packages for certain employees struggling the most with their finance management. Productivity and sincerity towards the organization get boosted when employees feel the management cares for their holistic well-being.
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Utilizing Technology and Digital Tools
It can get overwhelming for CHROs to handle the influx of data on employee wellbeing. This is where the new-age technologies come in handy. AI-driven employee wellness platforms can automate periodic surveys and analyze the result based on the answers.
Amber’s Pulse Survey offers a humanized approach and tailor-made questions for every employee. It will periodically provide people analytics to the CHROs that help to decipher how the employees truly feel based on this information.
The surveys do not take much effort from the CHROs. But can provide an overall analysis while determining the best approach to organizing financial wellness programs.
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Evaluating Program Effectiveness and Feedback
Consistently devising engaging financial wellness programs depends on understanding what works for the employees. With the help of AI-driven employee engagement platforms, CHROs can gather feedback after an event to determine the effectiveness of the program and the improvements necessary.
Constantly updating the approach to financial wellness as per the latest financial trends and employees' requirements will help them provide refreshed solutions that truly engage the employees.
Financial Wellness Activities and Initiatives in the Workplace
There are several ways in which financial wellness activities and initiatives are possible in the workplace.
1. Employee Education Workshops and Seminars
You would be surprised to find several employees lack basic financial education. This is where workshops and seminars become the need of the hour. Even seasoned employees can benefit from such programs where the latest financial trends get discussed. CHROs can partner with financial organizations to conduct such workshops.
2. One-on-One Financial Counselling and Coaching
Through the surveys, CHROs can particularly recognize employees struggling with their finance management. The inFeedo dashboard can highlight disengaged employees in the "People to Meet" segment. Providing them with one-on-one coaching and personalized support would motivate them better.
When such employees feel the organization is doing everything it can to help them, they will be more dedicated and productive. Moreover, when such coaching proves fruitful, and their financial plans take a positive turn, they can focus better in the workplace.
3. Gamification and Incentive Programs
Not every employee is financially sound or enjoys the topic. To pique their interest, CHROs can come up with creative ways to acquaint them with financial tools. Gamifying the process with quizzes, leaderboards, rewards, or a similar approach can make them more engaged with the entire coaching. It will also encourage positive behavior towards the program and help them absorb the knowledge better.
Conclusion and Key Takeaways
Financial incentives are undoubtedly motivating, but assistance with financial planning can truly engage the employees and make them dedicated to the workplace.
Amber’s data and various studies show that good salaries and various non-financial motivators together build long-term engagement and a better workplace. With the help of inFeedo, CHROs can enable a healthier workplace sans employees with financial woes. Book a free personalized demo today.
