Human Resources (HR) departments are usually also the driving force behind most employee wellbeing initiatives. Workforce wellbeing is of course vital to ensure that employees remain fit, healthy and (importantly) at work. Yet employee wellbeing is a complex animal and encompasses physical, mental, and financial health.
The wellbeing triangle
This “wellbeing triangle” is very challenging for any organisation to maintain adequately. For each side of the triangle is remarkably dependent on the strength of the other two sides.
For instance, a physical injury can lead to lower earnings, and that loss of income can lead to stress and mental health pressures also. This wellbeing relationship applies to each side of the wellbeing triangle equally, and it follows that employers need to have support tools in place for every eventuality.
Yet the reality is that whilst many employers have robust physical health support tools in place, and an increasing number support at least some elements of mental health, far fewer routinely review and update their financial wellbeing support options. Yet this aspect of employee health is again under the spotlight as we enter another turbulent economic period.
Financial wellbeing
Before we look ahead, it is worth revisiting the financial challenges of recent years.
The financial crisis of 2007/8 followed by austerity and the Brexit referendum result led to a lengthy period of economic low growth (often bordering on complete stagnation or even recession). This in turn limited pay awards for millions of workers here in the United Kingdom. The finances of working people were therefore far from prepared for the energy price spike (and resulting cost-of-living crisis) following the Russian invasion of Ukraine earlier this decade. And, likewise, workers were also exposed to the rapid increase in mortgage and rental prices following that disastrous “Mini-Budget” of 2022.
Yet more recent pay awards have, on average, exceeded inflation, and mortgage rates have been (slowly) falling for a few months now. As a result, many employers have concluded that additional support around financial wellbeing is no longer a priority.
Tensions, Trump, & tariffs
Sadly, the reality is rather different.
In March the debt charity, Stepchange, pointed out that arrears on household bills had surged by 25% among those seeking debt advice. That finding was announced before the 6th April increase to so many (largely unavoidable) everyday utility services. Council tax, water bills, phone tariffs, internet costs, energy prices, car tax and the TV licence all increased significantly at the start of the tax year.
Yet another potential cost pressure has yet to be felt. On the other side of the Atlantic one Donald J. Trump has initiated import tariffs and a global trade war the like of which has not been seen in the Western world for a century or so. Occupational Health Assessment’s Brand Ambassador, Steve Herbert, spoke about this potential situation in our (very successful) January HR & Employment Webinar. In the last few days Steve has also written extensively on these worrying developments including these items for the Employer News website and Benefit Expert magazine.
Whilst the immediate impact on consumer prices will be most felt in the United States of America itself, over time it is likely that increased global prices will add to the everyday cost pressures here in the United Kingdom also. The impact on UK manufacturing exports will also be significant, a headwind that will likely slow the growth of the already fragile UK economy further, adding to economic pressures for everyday working families.
Next steps and more information
It follows that employers should once again be considering how they can better support the financial wellbeing of their workers.
This is something that Steve will explore further at our fun and informative (and fast approaching) HR & Employment Webinar at the end of the month, which is now open for reservations (please follow this link). The session also includes Employment Law updates and a deep dive into meaningful stress risk assessments, as well as delegate voting and a Q&A session.
We hope you can join us. In the meantime, please feel free to contact us to discuss any aspect of wellbeing support and (of course) the targeted use of occupational health assessments and pre-employment health questionnaires to ensure that your workforce remains fit, healthy, and fully productive.
About Occupational Health Assessment Ltd
Occupational Health Assessment Ltd are a nationwide occupational health provider. We provide rapid access to expert occupational health support for businesses right across the United Kingdom. Appointments are available nationwide within two days.
With a unique occupational health assessment service, night worker health assessments, fitness certifications and access to clinics in Belfast, Birmingham, Bradford, Brighton, Bristol, Cardiff, Coventry, Derby, Edinburgh, Glasgow, Hull, Leeds, Leicester, Liverpool, London, Manchester, Newcastle, Northampton, Nottingham, Plymouth, Portsmouth, Reading, Sheffield, Southampton, Stoke, Surrey and more, the business provides high quality, expert medical advice.
Please contact us for further information or assistance.