More than half (52%) of U.S. employees are most concerned with their financial health in the wake of the novel coronavirus (COVID-19) pandemic, MetLife’s 18th annual U.S. Employee Benefit Trends Study (EBTS) found.
Employees are more concerned about their finances than any other aspect of their well-being, including physical (44%), mental (44%) and social health (44%).
The new study of U.S. employees with full-time positions, measured the impact COVID-19 is having on employees’ financial well-being, and reveals that three in 10 (29%) now earn less as a result of the virus.
Meanwhile, nearly four in 10 (38%) say their employment status has been directly impacted by the pandemic, and an additional 36% expect to be impacted in the future.
“The coronavirus is clearly contributing to employees’ overall stress, especially as it relates to their financial well-being,” said Todd Katz, executive vice president, Group Benefits, MetLife. “It should come as no surprise that this is particularly true among those with incomes below $50,000, and those in healthcare. Across industries, employers have an opportunity to be a source of support for employees facing unprecedented challenges by offering tools and resources to address their immediate concerns.”
Employees’ expectations of employers increase
An analysis of pre-COVID-19 data from late 2019, compared to data from April 2020, shows that employees are now more likely to believe their employers have a responsibility to address their health and well-being (73% pre-COVID-19 vs. 80% during COVID-19), particularly when it comes to their financial well-being (40% pre-COVID-19 vs. 47% during COVID-19).
They point to employer-offered benefits and programs (such as financial wellness) as a crucial way to ease employee stress and improve their well-being both now and in the future.
According to the study, 41% of employees feel their employer is not currently offering benefits or programs that help support or improve their well-being during this challenging time, while 77% say there are benefits or programs that, if offered by their employer, would ease their stress and improve their well-being.
The study found 25% of employees see financial wellness as a “must have” employee benefit, while an additional 60% consider it “nice to have” and just 15% say it is “not needed.”
To support their workforce during this time, MetLife says employers should consider a holistic approach to overall well-being. Employees say being offered flexible work hours is a top action their employers can take to help alleviate their stress and increase their well-being.
The COVID-19 pandemic has required employers to show heightened support for their employees, and those who do are seen more favorably, the study found. Respondents who felt their employers are “doing enough” or going “above and beyond expectations” related to support during the pandemic feel more holistically well than those who say their employers have not done anything nor indicate any plans to start (58% vs. 31%), as well as more productive, engaged, valued and appreciated.
“Now more than ever, it’s critical to understand employees’ needs,” said Katz. “In this time of crisis and beyond, providing a mix of benefits and programs can help mitigate stress, improve employees’ holistic well-being and support them when they need it most—which in turn can help bolster engagement and loyalty from the workforce.”
Veteran financial services industry journalist Brian Anderson joined 401(k) Specialist as Managing Editor in January 2019. He has led editorial content for a variety of well-known properties including Insurance Forums, Life Insurance Selling, National Underwriter Life & Health, and Senior Market Advisor. He has always maintained a focus on providing readers with timely, useful information intended to help them build their business.
