“Employees who believe that management is concerned about them as a whole person – not just an employee – are more productive, more satisfied, more fulfilled. Satisfied employees mean satisfied customers, which leads to profitability.”- Anne M. Mulcahy
One of the most decisive reasons for an employee’s lowered productivity is his/her personal financial situation. The financial stress is always carried over to the workplace, impacting performance and productivity.
But because personal finance is almost always never discussed at work, this aspect tends to be missed. ArthaYantra’s survey, conducted across 1000+ employees in different organizations, yielded that an astounding 68% of employees are financially stressed and get distracted at work.
Here are 7 possible signs indicating employees with financial stress:
1. Major Chunk Of Earnings Diverted Towards repayment of Loans/Debts: Employees approaching the organization for pay slips or employment declaration forms to avail personal loans is an indication of financial stress. This indicates that there is a lack of proper financial planning primarily because they are either living above their means and/or are facing financial exigencies for which they had failed to plan for.
2. Frequent Leaves and Irregular Attendance: Many times, lack of money or financial stress leads to irregular attendance. A financial emergency may force an employee to miss the work and make arrangements to meet the needs. Moreover, when an employee is stressed about money, health suffers first, resulting in too many sick leaves.
3. Follow Up For Pay Hikes and Increments: A financially stressed employee may constantly keep asking for pay hike or increment at every possible chance, which is not routine affair with all the employees. Financial stress could probably be the provocation point, pushing the employee to seek more income.
4. Lack Of Focus and Bad Judgement At Work: Financially stressed employees may exhibit more signs of irritability, lack of focus on work, resulting in bad judgment.
5. Underperformance and Productivity Loss: Many times, productivity becomes an issue with financially stressed people. They may get preoccupied with their pending financial matters, shifting the focus away from the task in hand. Thus, causing obvious productivity issue.
6. Increased Grievances or Complaints: Starting with poor timekeeping, till troubled behavior, many such signs are exhibited when employees are stressed about money. They may come up with increased grievances or too many complaints at working place, in a way hurting professional relations too.
7. Greater Staff Turnover And Retention Issue: Financial stress may force employees to move out of the organization in search of more income elsewhere. This over a period becomes a problem for the organization to spend precious time and energy on hiring replacements. Moreover, the newer employees are expected to speed up to deliver and maintain productivity. This may become a vicious circle in the long run.
Clearly, employee financial stress kills productivity. As a concerned employer, you may consider addressing this problem at an organizational level. But you need an expert to identify the root cause of the stress and provide holistic solutions that are tailored and customized for each employee’s needs.
ArthaYantra’s corporate financial wellness program is a perfect solution for providing the much needed support to your employees. The program is designed to offer personalized financial planning for each employee, after considering their financial status.
Taking a small step in securing your employee’ financial well being, would go a long way towards your organization’s well being. Make it happen today!