Financial worries are causing employees stress, anxiety, sleep loss and depression, and this is costing UK employers some £15 billion each year.
The above is according to the findings of a survey by the financial wellbeing provider Neyber entitled The DNA of Financial Wellbeing 2019/2020.
Based on over 11,000 employees and more than 700 employers, the survey made a number of conclusions.
Financial worries are the top concern of UK employees, with three in five individuals feeling the strain. as well as worrying about their later life and retirement too — the second biggest concern.
Financial worries are taking an enormous toll, with one in three employees having felt stressed, one in three anxious, one in four losing sleep and one in five having felt depressed.
Across the UK, an estimated 20.3 million workers are affected by money worries and these worries are not just confined to the young or lower paid in the workforce. Although money worries do decrease with income, almost half (46%) of employees earning over £70,000 per year are affected too. Nearly half of those aged up to 64 are saying they are affected by money worries.
Just over half of the employees (52%) surveyed have to borrow money to meet basic financial needs. Around 27% use credit cards to get by, while just 2% borrow from their employer, perhaps through a loan or payroll lending.
For those employees who have debt, the average amount is £7555, around a third of their annual salary.
The survey also estimates that nearly 3 million employees are struggling to focus at work; costing £516 million, while 3.6 million employees are looking for a new job because of money worries; a potential cost of £14.2 billion in turnover.
Ultimately, it is estimated that failing to prioritise employee financial wellbeing could be costing UK employers a grand total of £15.2 billion each year.
Last reviewed 13 December 2019