How to support your employees during the cost-of-living crisis
25 September 2024
Employers exploring how to help employees with cost-of-living increases... look no further! Statistics suggest the cost-of-living crisis is past its peak of summer 2022, but with 52% of Brits reporting their living costs are still high (Finder), it’s not a topic that’s going away. Employers continue to act, searching for how to help employees through the cost-of-living crisis, ensuring life remains as affordable and joyful as possible. Read on to discover how to help employees with the cost-of-living crisis and why it’s beneficial to do so.
We’re here to answer two questions: How can companies support employees with cost cost-of-living crisis woes, and what positive impact could it have on their business if they do?
We’ll answer the second part first- what positive impact does helping employees financially and mentally during the cost-of-living crisis have on your business?
Our exclusive Money Mastery research explores the impact of the cost-of-living crisis on employee mental health.
48% of our respondents rated their financial wellbeing as average, poor, or very poor. 73% said this caused them more stress, and 57% said they have poor mental wellbeing. Mental ill-health is the biggest cause of long-term sickness absence, costing businesses billions annually.
The steps you take to support employees through the cost-of-living crisis will significantly reduce their money worries and enhance their mental and financial wellbeing.
How to support employees through the cost-of-living crisis… Six Steps to Financial Wellbeing
1. Financial Education
57% of our Money Mastery research respondents want financial education to become part of their employee benefits package. 75% of the HR professionals we questioned believe their business should do more to support employees through the cost-of-living crisis. Still, half believe employees are responsible for their financial education.
There’s a disconnect, and it’s increasing employee money worries, which is detrimental to your business.
Our Financial Wellbeing App contains the tools your employees need to enhance their financial wellbeing, including a money management app, educational tools - even debt consolidation and savings schemes.
Listen to our podcast - Your Financial Health Toolkit - for top money management tips from an award-winning financial advisor.
2. Salary Sacrifice Schemes & Commuter Benefits
Salary sacrifice schemes are an asset to any organisation’s employee benefits package and an impactful way to support employees through the cost-of-living crisis.
With electric cars and cycle-to-work schemes, businesses and employees benefit from tax and NIC savings. Both schemes can form part of your commuter benefits package, helping employees spread the cost of a new bike or EV car, which are also cheaper to run.
Our Refurbished Tech scheme helps alleviate digital poverty, making the tech your people need for themselves and their families more affordable. With the latest tech available cheaper than buying brand new, employees can pay upfront or spread the cost through a salary deduction or salary sacrifice scheme.
They can also sell or trade in old tech they no longer need!
3. Employee Discounts Platform
How can companies support employees with cost-of-living crisis cutbacks? They can make everyday essentials more affordable and help employees save money!
A firm favourite of every employee benefits package, our Employee Discounts Platform reduces the cost of your employees' living expenses. We partner with over 150 retailers and offer up to 20% discount on anything from the weekly shop to a family holiday.
Small savings on daily spending make a big difference, as we proved when we challenged our Pluxeers with our 21-Day Money Marathon. Read our blog - How do you boost engagement with employee benefits? - to discover how we did it.
4. An Employee Cashback Card
Like our Employee Discounts Platform, our Cashback Card reduces the cost of living by allowing employees to earn up to 15% cashback when they use their prepaid card - powered by Visa - with one of our over 80 participating retailers.
All your employees need to do is change their payment method when making their regular purchases, and they can earn cashback, reducing the cost of their next shop!
5. Employee Assistance Programme (EAP)
Money worries are more prevalent during the cost-of-living crisis, and employers should build financial resilience into their employee wellbeing strategy.
Financial uncertainty negatively impacts employee mental health, and you can ensure your people have the support they need 24/7, 365 with our Employee Assistance Programme.
6. Hybrid & Remote Working
Working from home a few days a week reduces commuting costs. That’s one less expense your employees need to worry about each week and an effective way to support employees through the cost-of-living crisis.
Discover how to enhance remote worker mental wellbeing in our blog - A Spotlight on Employee Mental Health: Remote Workers.
Support Employees During the Cost-of-Living Crisis and Beyond with Pluxee UK
Your employees can’t perform at their best if they're experiencing money worries and the cost-of-living crisis negatively impacts their way of life. Stressed employees are less productive, engaged, and motivated, and this will impact your bottom line.
We’re Pluxee UK, committed to making the lives of our employees and yours more joyful and opening up a world of opportunities for your business. Get in touch today.
FAQs
What’s the difference between salary sacrifice and salary deduct? Read our blog - What is Salary Sacrifice, for all the answers you need.
Can a cashback card really make a difference? Absolutely! We explore this topic in our blog - What is a prepaid card?
Do you have more information on the tangible savings your Employee Discounts Platform provides? We do. Our 21-Day Money Marathon highlights the difference we made for our own people, but our blog specifically on discounts will also help bring this to life.
Can you provide more information on supporting employees with debt? Yes, please read our blog created for Debt Awareness Week.
How can we empower our employees to become financially resilient? Download our free Financial Wellbeing Guide for more information on how to support your employees with the cost-of-living crisis and support financial wellbeing.
I'd like to know more about your Refurbished Tech scheme. Fantastic. Read our blog on Refurbished Tech. It tells you all you need to know.
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