May 6, 2020
Why do employees leave their companies? While there are a number of reasons for this, global statistics show that around 22% of employees leave their current job position due to low pay scales. This is why, as employers, it is important for every company to have a sound financial wellness plan set in place to reduce employee attrition.
Once the financial wellness plan has been curated for your employees, you will see how it significantly impacts your business. This action falls under the duty of the HR, who are responsible for safeguarding the rights of the employees and keeping them content. The HR management today spread across various companies are slowly understanding the importance of financial well-being and are also implementing it in the workplace. The HR management should ensure that they take any action that will result in the satisfaction of their employees, so as to retain them.
Finances are becoming one of the growing issues which drastically affect the employees thus resulting in their performance. This also causes stress, thus increasing the employee stress level in the workplace. One of the factors that almost every industry is adapting now, is to engage in taking care of the financial wellness of the employee to increase the retention rates and also their performance. Although, there are several cases where the employees are never satisfied with their overall financial situation, which leads to them leaving the job. This is where the role of HR management comes into existence. Let us learn about Financial Wellness at the workplace:
Importance Of Financial Wellness
We are all aware of how the word finance plays a huge role in everyone’s life and how it creates tension among people. Finances tend to take a stand at one stage or the other and there’s nothing you can do to stop it from happening. Sometimes, it’s either about the monthly expenses, children’s fees or even retirement plans. The issue of finance follows you at every step in life. And when you pay no heed to these factors, it can cause a serious issue in your life. And one such issue that is hard to get rid of is – stress. This concern about financial issues causes stress among employees, every single day. And when the employees are stressed they will be less productive and when the higher authorities notice this, they end up getting fired.
But instead of taking such drastic measures in life, consider understanding your employees and slowly lift away the stress from their shoulders. It is important to HR management that you understand the standards and the values of your employees and change it accordingly. Once the HR management stands up and takes the initiative to ensure that their employees are secured, it’ll pay off well in the manner of increased productivity.
Maintaining Financial Wellness At Workplace
This comes with understanding the nature of the employees and taking steps to develop a plan in order to solve the concerns about financial wellbeing.
The first step is to consider financial wellness as equally important as other factors such as health and other wellbeing programs. You must’ve noticed a drastic improvement in the employees’ health after introducing the health insurance benefits to them, preventing them from falling sick often due to health checkups and activities.
Similarly, financial wellbeing should also be executed in such a way to improve the productivity of the employees. Start by understanding the goals of the employees and the payments they are going to make in the coming days. These may unknowingly add to the stress factors and fall behind causing a bad impact on the business.
Once the HR Management in Dubai executes a great financial wellness plan for the employees, it helps in promoting the overall financing and thus aids in making better decisions. This also creates a positive impact on the company as there will be a great improvement in the overall company culture.