In today's rapidly evolving environment, the financial wellbeing of employees is increasingly recognized as a critical component of both employee satisfaction and overall organizational health. Addressing the financial concerns of employees goes beyond benefits management; it is a strategic necessity that is imperative for fostering a resilient and engaged team, significantly influencing organizational success.
Prioritizing employee wellbeing, including financial aspects, is not just a nice-to-have but a strategic imperative that reduces costs and builds a more engaged workforce. The return on investment is evident in various forms, including reduced turnover rates, lower absenteeism, and higher employee morale. Moreover, as employee appreciation for wellbeing programs increases, companies see a tangible payoff from their investments in these programs.
When employees are not facing financial struggles, it enables them to thrive and avoid delaying retirement beyond the typical retirement age. Our 2024 Global Benefits Attitudes Survey highlights a concerning trend among employees in Switzerland, with over half reporting challenges across multiple areas of their wellbeing, including financial stress. This substantial figure underscores the need for employers to prioritize financial wellbeing as a key component of their strategies.
A notable gap exists between employer priorities and employee needs in wellbeing programs (Figure 1). Employers are heavily focused on emotional and physical wellbeing, with 68% prioritizing mental health and 41% emphasizing physical health, reflecting rising mental health issues and widespread physical health challenges.
However, employees place a greater emphasis on financial wellbeing, ranking it higher than emotional wellbeing. This divergence likely stems from the immediate pressures employees face, such as inflation, rising healthcare costs, and housing expenses, which affect a larger portion of the workforce.
While mental health remains essential, employers must balance proactive emotional wellbeing initiatives with targeted financial support. Aligning priorities with employee needs will ensure wellbeing programs deliver meaningful impact, fostering resilience and engagement across the organization.
68% Companies plan to prioritize emotional wellbeing
59% Employees want more help with financial wellbeing
Figure 1: Employee priorities are misaligned with employee needs
Employees express a strong desire for support in areas such as savings growth, debt management, and financial education. These needs point to a broader requirement for comprehensive financial wellbeing programs that not only address immediate financial concerns but also provide long-term support through education and planning resources (Figure 2).
Figure 2: Growing savings, maximising value from benefits, and emergency funds are most important to employees
By focusing on these areas, HR professionals can significantly enhance the financial wellbeing of their workforce, leading to a healthier, more productive, and more engaged team.
