Eight in ten employees face financial difficulty in January due to early December payday

Eight in ten (82%) UK employees find that getting paid early in December has a negative financial impact in January, according to research by Hastee.

Its Christmas research report which canvassed 1,000 employees across the UK and Ireland in November 2019, found that 78% have to use some form of credit in the new year due to overspending in the festive season.

Furthermore, almost three-quarters (71%) of respondents proactively source additional funds during the festive period, with over half (55%) working overtime to make extra money in the run up to Christmas compared to 48% in 2018, and four in ten (40%) citing they need to work more than one job.

Alongside this almost one-half (47%) have resorted to payday loans, credit cards and overdrafts to pay for the Christmas period so it is no surprise to see that six in ten employees (61%) admit to suffering from Christmas-related financial stress which in turn affects their performance at work.

James Herbert (pictured), chief executive officer at Hastee, said:  “What’s supposed to be a time of celebration has become a stressful ordeal for workers with many feeling forced to borrow. This negatively impacts workplace productivity and this impact can last for months as workers struggle to catch up with their finances.

“Wellbeing solutions that increase liquidity by giving workers access to their earnings on demand are readily available for employers to implement at zero cost. Employers benefit from improved productivity and workers get a fair chance to enjoy a happy Christmas. These solutions can also help businesses align themselves with destination employers that attract and retain talent more effectively with the range of benefits they offer.”