In this day and age, there’s simply no denying that it is critical for consumers to have a basic knowledge and understanding of financial matters. However, financial illiteracy not only affects consumers, it can have a severely negative impact on your staff. FES financial education services can undoubtedly change your business for the better, especially once you better understand why it is needed.
While many on your staff may believe they financially literate, few actually are. FES financial education services are super important these days because the National Bureau of Economic Research estimates that a third of the income inequality around the globe is directly related to disparities in financial education.
Conversely, it has been found that critical mistakes and downright misconduct by financial advisors tends to be concentrated in areas where there is a significant elderly population or low levels of financial education. This is exactly why FES financial education services should be extended to your staff. It’s undeniable, financial literacy is critical.
In fact, lack of financial education can result in costly health issues for your staff.
The Side-Effects of Financial Stress
Without any sort of FES financial education services, many of your employees are struggling with financial stress. These days, a good portion of the population is stressed out about money and this can wreak havoc on an employee’s health and productivity.
Not only can that result in increased depression and anxiety, Cambridge Credit Counselling has found that financial stress can also attribute to additional health issues as:
- Weight Gain/Loss
- Eating Disorders
- Diabetes
- Heart Disease
- Heart Attack
- Gastrointestinal Issues
- Substance Abuse
- High Blood Pressure
- Insomnia
- Psoriasis
- Cancer
Not only can financial stress affect your employee’s health, it can have a similar adverse affect on your company’s bottom line. According to a survey a few years ago from Mercer, it’s estimated that financial stress can cost U.S. employers up to $250 billion in lost wages due. The study found that the average employee spends 13 hours per month, on the clock, worrying about their finances. Another 16% revealed that they spend more than 20 hours per month.
Another report by Financial Fitness found that this type of stress affects an astounding 80% of employees in the U.S. Furthermore, when employees simply cannot afford to retire, it creates high healthcare costs. FES financial education services can help combat these negative effects.
These studies make it clear that financial stress decreases employees’ productivity and could be detrimental to their health and wellbeing and have a definitive negative impact on their work production and your bottom line.
You & Your Employees Need FES Financial Education Services
Financial education services can be used to educate your staff and improve their financial literacy. They’ll learn about retirement planning and saving, ensuring that they have emergency savings, understand budget management, and how to protect themselves from identity theft.
When you implement a FES financial education services plan for your staff, you’re empowering your employees and going above and beyond to care for their health and overall well being.