Employees’ financial worries affect performance at work

More than a quarter of workers do not feel in control of their finances and believe their financial worries are affecting their performance at work.

According to research published by the Institute for Employment Studies, 30% of employees are concerned about their financial wellbeing, while almost 10% felt this issue had a negative impact on their work performance.

However, just 15% had made use of financial education programmes run by their employer. Out of the two-fifths of respondents that had used financial advice services, the majority would seek help from independent financial advisors, banks or building societies.

Annette Cox, associate director at the Institute for Employment Studies, said: “Employees who report better financial well-being are more likely to report increased productivity. Now more than ever, people are going to need help and support to better manage their finances. Employers are in a good position to do this, and offering even basic information about taking care of your money will go a long way. It’s really important to think about how people who are in most need of financial advice can access it easily.”

The Financial Wellbeing in the Workplace report, which surveyed over 1,900 UK employees also revealed that only a third of workers felt positive about their financial future and less than one-third of respondents thought they would have sufficient savings for retirement.