Who should lead on Workplace Financial Education & Wellbeing?
Should Workplace Financial Education be considered by those in HR, Pay & Reward, Employee Benefits, Wellbeing or Learning & Development?
The simple answer is yes and who should take the lead depends on the company size, sector and culture.
The first step for employers is to identify what departments you already have in place and what functions they currently oversee.
Let’s explore from a learning and development (L&D) team point of view.
Financial Education and Wellbeing is increasingly viewed not just as a valuable employee benefit but as a strategic business imperative that can improve overall employee well-being, productivity, and retention.
Business Case for L&D-Led Financial Education
Integrating financial education into L&D programs offers significant benefits for both employees and the organisation:
Improved Productivity and Focus: Financial stress is a major distraction in the workplace and can diminish cognitive function. By providing employees with the skills to manage their money, L&D teams help alleviate this stress, allowing workers to be more focused, engaged, and productive.
Enhanced Engagement and Retention: Offering support for financial well-being demonstrates that an employer values their staff's long-term stability and personal growth. This fosters a sense of loyalty and commitment, which can boost morale and significantly reduce staff turnover rates and associated recruitment costs.
Attracting Top Talent: In a competitive job market, a comprehensive benefits package that includes financial education can make an organisation stand out to prospective employees.
Better Decision-Making: Financially literate employees make better decisions, both personally and professionally. This can extend to their use of company benefits (like retirement and healthcare plans) and improve their understanding of broader business financials, leading to more strategic choices aligned with company goals.
Reduced Absenteeism and Health Costs: Unmanaged financial stress can lead to physical and mental health issues, resulting in higher absenteeism. Addressing the root cause can contribute to a healthier workforce and potentially lower healthcare costs for the employer.
Role of L&D Teams in Implementation
L&D teams are well-positioned to deliver financial education effectively by:
Tailoring Content: Different employee demographics (e.g., early career, mid-career, pre-retirement) have diverse needs. L&D can create tailored programs covering topics like budgeting, debt management, retirement planning, and investment fundamentals to address these specific concerns.
Utilising Various Formats: Education can be delivered through a mix of methods to ensure wide accessibility and engagement, such as:
Workshops and seminars (in-person or virtual).
Online courses and educational resources (guides, articles, videos).
One-on-one coaching or access to independent financial advisors.
Integrating with Existing Initiatives: Financial well-being can be integrated into the broader health and wellness strategy and linked to existing benefits like payroll saving schemes or flexible benefits windows.
Measuring Effectiveness: L&D can measure the program's impact through participation rates, employee engagement levels, and staff surveys to demonstrate value and secure ongoing senior-level buy-in.
In conclusion, financial education is a valuable and strategic addition to L&D offerings that supports overall employee well-being and drives positive organizational outcomes.
We will also explore how other departments and areas can impact the effective implementation of financial education programmes including HR, Wellbeing, Employee Benefits, Pay & Reward and Mental Health First Aiders.
Additional Options
Providers like FinWELL Training are helping employers bridge the skills and experience gap when it comes to HR teams implementing award-winning, inclusive, personalised and measurable financial education and wellbeing programmes.
Many private and public sector employers have already worked with FinWELL Training on a local and global basis including the likes of ASICS, University of Birmingham, Burberry, St Barts NHS Trust, Coca-Cola Euro-Pacific Partners, Devon, Cornwall & Dorset Police, Hays, HM Land Registry, Sky, Warner Bros Discovery and West Ham United Football Club.
Further Reading & Resources