Neyber Financial Wellbeing Report Issued

Published in December 2019, Neyber’s report, the DNA of Financial Wellbeing ^[1], which has surveyed over 42,000 people since 2016 suggests that absence, productivity and turnover of staff costs UK employers over £15.2 billion per annum.

The report shows that employees’ financial woes are indeed a burden on employers as their spending habits (and results thereof) are a direct contributor to lost revenue at firms. With this report looking at 11,000 employees and 720 employers across the UK, we see that 20.3 million UK workers, or 3 out of 5 workers, are worried about their personal finances.

Two-thirds of employees facing financial stress

Key numbers from the report show that:

• Businesses with 1,000 employees lose approximately £450k annually;
• This has led to 11% of employees currently looking at new opportunities in the job market as a potential solution;
• 10% struggle to focus on their work;
• The second major concern is retirement (on top of day to day financial worries);
• 5 days absence each for those who take time off for financial worries.

This leads to cumulative figures across the country:

• The cost of this is £15.2 billion, with 3.6 million employees looking for a new job (this includes the estimated replacement cost of employees);
• £516 million in lost productivity, as nearly 3 million people struggle to focus at work (Assuming only 1 hour per month of lost productivity (1.5 days/year) at the average daily wage of £117);
• £478 million in absence, from 1.63 million employees taking time off work.

Nevertheless, Neyber also reports that 73% of employers are now offering, or have in place, a wellbeing strategy for employees. However, only 40% feel this strategy is enough, with only financial wellbeing being placed low – only 4% of employers say this is a priority.

The numbers are telling: e.g. London City Airport

• 22% of the airport’s employees living month to month;
• 21% do not have confidence in managing their finances;
• With 70% of employees in an operational role, London City Airport feels this could lead to operational issues (accidents at work, for example);

The report can be seen in full here ^[1] (your contact details will be requested).