Many workers don’t feel supported financially by their employer

With the cost of living rising, 19% of workers say they don’t feel their employer is doing enough to support their financial wellbeing.

A YouGov poll of more than 2,500 employees revealed that 12% say their pay is not enough to support an acceptable standard of living without having to go into debt for food and bills. Ten per cent believe that their job does not protect them from falling into poverty.

As many as 28% admit that they have money problems that impact their job performance, which rises to 34% for those earning less than £20,000. Nineteen per cent say they have lost sleep due to worrying about money.

The CIPD is recommending that all employers need a financial wellbeing policy put in place committing to supporting people to achieve a decent standard of living.

Charles Cotton, senior reward and performance adviser at the CIPD, the professional body for HR and people development, said, “Even before the current cost-of-living crisis unfolded, work was failing to protect many people from poverty and failing to support good financial wellbeing in the way it should.

“While the government is best placed to provide immediate support for people affected by the cost-of-living crisis, our research shows there are opportunities for employers to do much more to support the longer-term financial wellbeing of their people.

“The biggest difference an employer can make is to pay a fair and liveable wage. But even organisations who can’t afford to increase wages right now can support their workforce in other ways.

“Our research highlights that employers with a financial wellbeing policy really do make a much-valued difference to the lives of their people. Unfortunately, the cost-of-living crisis is likely to push more and more employees into in-work poverty. This, along with the competition for talent right now, should motivate all organisations to adopt a financial wellbeing policy or improve their existing one.”

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