Financial Stress at Work: The Hidden Threat to Productivity and Engagement
By Amber Keister
Your employees might appear financially stable, but many are feeling the pressure of economic uncertainty. They could be struggling with student loans, consumer debt, or a family member’s job loss. They may be living paycheck to paycheck like 67% of U.S. workers, constantly worrying about their ability to cope with an emergency. Add steadily rising prices for groceries, housing, and utilities—plus a government shutdown—and it’s no wonder that people are feeling anxious.
Money worries are taking a measurable toll on mental health and day-to-day functioning, with 43% of Americans reporting depression, sleep disruption, and strained relationships, according to a Bankrate survey. At the same time, there’s a lot of guilt and shame associated with money problems, making people reluctant to talk about their finances and less likely to get the help they need.
That financial anxiety doesn’t stay at home. It shows up at work as distraction, exhaustion, and disengagement. In fact, stress costs U.S. employers more than $300 billion annually through increased healthcare expenses, higher absenteeism, and lower productivity.
By providing support and guidance to help employees reduce their financial stress, employers can help workers improve their overall wellbeing. Building financial resilience is good for employees, but it’s also good for business—because it can eliminate one of the biggest obstacles to productivity and innovation.
