Employers are expanding their benefits as they try to meet the demands of a multigenerational workforce.
Findings from PNC Bank’s “Financial Wellness in the Workplace Report” analyzed the financial health of over 1,000 U.S. workers and how 500 U.S. employers are addressing those needs.
The research highlighted the top stressors among each generation, finding that while Gen Z tended to be most stressed about personal finances (76% compared to 72% Millennials, 72% Gen X and 59% of Baby Boomers), all other age cohorts prioritized saving for retirement (55% Millennials, 70% Gen X and 72% Boomers). Instead, Gen Zers were more likely than other groups to list strengthening credit as a key priority.
“The varying financial goals and priorities across America’s generationally diverse workforce shows how important it is to offer a mix of benefits that can appeal to a wide range of employee needs,” said Kaley Keeley Buchanan, senior vice president and head of PNC Organizational Financial Wellness. “In order to hire and retain great people across generations, which is critical to bringing diverse thinking and experience to your workforce, you must understand their needs and appeal to them.
Younger groups were most concerned about student debt compared to all other age groups, with 54% of respondents describing it as the most challenging debt to take on. Three in 10 workers, and four in 10 Gen Zers, said having this type of debt was like sitting “at a standstill” until it is paid off.
Furthermore, while three in five workers said they are currently living paycheck to paycheck, younger cohorts were likelier to experience this.
As a result, Gen Z and Millennial workers say they are likelier to stay with an employer who meets their wellness needs, especially when pertaining to finances. Almost all (92%) of Gen Zers would stay with an employer that offers more financial wellness benefits, compared to 85% of Millennials, 72% of Gen Xers, and 64% of Boomers.
Among the benefits that workers don’t have but want the most are emergency savings accounts (53% of all workers), financial planning (44%), financial education (40%), equity compensation (39%), student loan financing and repayment assistance (34%), and early access to paychecks (31%). Retirement plans were among the top benefits that employers already offer—94% of plan sponsors say they provide this benefit to workers.
Meanwhile, it seems as if employers are listening to their workers’ calls. According to the findings, in the last year alone, access to financial planning benefits has doubled for workers surveyed. Notably, 28% had access to financial planning benefits in 2024 compared to 14% in 2023, and one in three used a financial professional in the last three years.
Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.