How to help employees struggling with debts
Don’t ignore the issue
Richard Haymes, Head of Creditor Relations at debt charity Step Change, said: “The more you support your employees in times of difficulty the more likely they are to be focused on their work. We deal with 411,000 people a year who contact the charity for help and the vast majority of those are in employment and are trying to balance work-life and everything else that comes with that.
“The biggest feedback we get from people who contact the charity is that their life was better after they spoke to someone.” “So many people in society are struggling with problem debt, it’s likely that a proportion of an organisation’s workers will be affected,” Haymes said.
Petaurum Solutions’ comment
There is a range of reactive and proactive measures that an employer can take to help manage debt issues amongst their employees.
Reactively, employers can signpost their employees to debt charities such as Step Change or to The Money Advice Service, who will offer free, independent and unbiased advice.
Here at Petaurum Solutions we also believe in taking measures to prevent employees from getting into debt in the first place. Financial Wellbeing is one of the areas, along with Mental and Physical Wellbeing that we believe contributes to the level of employee engagement in your business. Engaged employees are focused on what they do, feel good about themselves in their role & their organisation & act in a way that demonstrates commitment to business values & objectives. By linking your Flexible Employee Benefit Scheme to these three areas of Wellbeing and promoting the awareness, understanding & appreciation of your Benefits Scheme to employees, delivers a real win / win.
Employees win, as they are able to access benefits that keep them fit, healthy and better off financially. Business’ win as employee engagement increases which in turn enhances performance / productivity and positively impacts on bottom line, improves your retention of key people and reduces sickness absence.
This information is intended as a general overview and discussion of the subjects dealt with. The information provided here was accurate as of the day it was posted; however, the law may have changed since that date. This information is not intended to be, and should not be used as, a substitute for taking legal, HR or benefits advice in any specific situation. Petaurum Solutions is not responsible for any actions taken or not taken on the basis of this information. Please refer to the full terms and conditions on our own website.