UK workers are facing financial worries like never before, with inflation predicted to hit 15% by early 2023, surging living costs and talks of a recession, the outlook is becoming increasingly worrying.
It is essential that businesses review how they can offer support to employees who are struggling with financial stress during this challenging time.
The real living wage is voluntary and applies to workers aged over 18 years and is independently calculated?based on what people need to get by. Businesses that voluntarily opt into the real living wage scheme can help to ensure that their employees earn a wage that is enough to live on and meet their everyday needs. Some organisations are even offering their workers salary increases that are in line with or above inflation, helping to stabilise employees’ wages in real terms.
Many people feel they do not have the knowledge or skills to cope with financial difficulties, so employers can provide financial education within the workplace. This could include seminars on budgeting, money management, debt management, retirement planning etc to ensure all employees feel they are well-equipped to deal with the pressures of the current financial climate.
Not only will this allow employees to deal with financial stress more effectively, but they will also feel valued and supported by their employer, key for retaining talented staff within a business.
Pensions are designed to provide money for employees’ retirement and are one of the most popular and widely available benefits. But since auto-enrolment was introduced and contributions became opt out, can pensions really be seen as an extra benefit that employers can take credit for?
Candidates often ask about pensions at interviews, but may not understand them well enough to appreciate the real benefits of what you’re providing. Consider changing your pension policy so that you match any overpayment an employee makes up to a certain amount, and provide education about how pensions are structured and the financial benefits (both short and long term) of making contributions.
If you’d like more advice or support please get in touch with our expert team on 0115 786 0443 or email via opportunities@source-talent.co.uk.
