Growing Demand for Financial Wellness in the Workplace
As corporate wellness programs continue to become more popular in American businesses, so do financially-focused benefit solutions. Today, 70 percent of employers have wellness programs in place*. Among the largest US employers, 93 percent intend to focus on the financial well-being of their employees^. According to the 2015 Financial Wellness Survey from FSFE, 60 percent of employers that offer wellness programs already have a financial component.
Employers are seeing the benefits of offering a financial wellness program and it has been proven that having people who are more financially literate will help them reduce their stress and help them become better, healthier and more productive employees.
Corporate Wellness is More Than Gym & Swim
Employers who already offer wellness as a part of their benefits package are creating more customized and personalized benefit programs. While corporate wellness use to focus on physical health with gym memberships and healthier food options in the company pantry and cafeteria, now organizations are developing much more holistic programs and concentrating on well-being, which includes emotional and financial.
Employee financial health can contribute to emotional and physical health, so a growing number of employers are now providing resources to help their team manage and protect their money. There are many types of companies offering financial wellness programs, from those that focus strictly on financial education to those that offer a hotline that connects employees with financial advisors. However a truly effective comprehensive financial wellness program will prompt employees with short and long term financial behavioral changes with the help of technology and experts.
Voluntary benefits are also booming. Employers and their employees are finding the value in supplemental benefits as these benefits are a way to fill coverage gaps, customize coverage, and provide additional peace of mind in the case of an accident or unexpected illness. Popular lines include hospital indemnity, dental, and short-term disability insurance. A comprehensive financial wellness program can help employees understand how voluntary benefits work and which ones will meet their needs.
US News & World Report’s Money source also recently included financial fitness as top trend in 2016. “Employee Benefit Trends to Watch in 2016”
As we move into the new year, organizations can anticipate the wellness movement to continue with a component specifically focused on helping individuals ease economic stress, overcome money challenges and promote financial health.
Research has proven that financial wellness yields similar benefits to those from a traditional medical-based wellness program. With this, organizations will see reduced long-term healthcare costs, higher efficiency, longer tenure and decreased absenteeism among their staff.
*SHRM 2015 Employee Benefits Survey.
^2015 Aon Hewitt survey of 250 employers.