Two thirds of organisations rate their workplace debt management support as poor

According to the Reward & Employee Benefits Association (REBA) and Wealth At Work’s Financial Wellbeing Survey 2022, half of respondents believe that their organisation is poor at supporting employees with budgeting and money management, and 63% believe that their efforts to help employees to build a financial safety net is also poor.

The survey, which asked 290 HR and employee benefits specialists about their packages, highlights the need for employers to assess the extent to which they can help employees through the current economic challenges.

 
The research also found that pensions and insurances continue to dominate the focus of many organisations and their financial support packages.

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The majority (76%) of respondents consider their retirement saving support as "very good" or "fair", while just 37% of organisations rate their support for building a financial safety net accordingly despite the current economic climate.

 
63% of organisations across the board do not offer access to financial advice; 62% do not offer access to financial coaching; and 24% do not offer support for financial emergencies.
 
However, over two-thirds (70%) of employers want to prioritise increasing financial capability in the next two years, 34% plan to offer a financial education programme, almost one quarter (23%) plan to fund guidance on budgeting and general money management, and 22% plan to fund guidance on financial emergencies in the same period.

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Jonathan Watts Lay, Director, WEALTH at work, said: “Employers can start by looking beyond their pensions and insurances, which continue to dominate the focus of many organisations. 

"Diversified financial support packages include offering benefits such as; a range of savings schemes to build financial resilience, discount schemes (e.g. money off grocery shopping), help with financial planning including debt support, and salary sacrifice schemes to help reduce costs for travel, mobile phones, gym passes and health and dental care. It is important that any scheme introduced is explained properly to staff so they understand how it works.”

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“Financial education and guidance delivered in the workplace can really help members understand the benefits on offer and should also cover topics such as how to budget, tips for saving money, and debt management. 

"With the cost of living crisis hitting many hard, supporting employees to build their financial resilience and improve their financial wellbeing is of the utmost importance right now.”