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The recent Wagestream Cost of Living Report 2022 has found that close to all UK employees (96%) have seen their living costs rise and, as a result, 70% now worry more about money.
Three quarters (76%) of those worrying more have seen their mental health decline. Unsurprisingly, therefore, one in five (19%) of those who have asked their employer for support in the last three months asked for help with mental health.
In this podcast, Chris and Adam Morris speak to OrgShakers’ Therese Procter about the report and what businesses can do to help their employees through these difficult times.
You can access the podcast by clicking on the image below:
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
Simon was 21 years old when he met his girlfriend, and their relationship quickly became serious; the pair had moved in together in a matter of weeks. Eighteen months later, Simon lost his life to this same girl, who his family and work later discovered had been abusing him physically, emotionally, and financially for the entire duration of their relationship. Yet, due to the attached stigma of a man being abused by a woman, Simon did not seek help – and because many external bodies, such as his workplace, have only been trained to spot signs of domestic abuse in women, no one was able to direct Simon to the help he needed.
Simon’s workplace, like all companies, have a responsibility to offer support and guidance when they are led to believe or made aware of a member of staff who is experiencing domestic abuse. Whether it be physical, psychological or a mix of both, managers should be trained on how to respond to these appropriately.
However, many organizations are failing to address the intersectionality of domestic abuse through their support strategies.
For one thing, lockdown brought with it a significant spike in domestic violence reports, with MSI Reproductive Choices finding a 33% increase. Refuge also released new figures which found that calls to their domestic abuse helpline had increased during lockdown by 61%. Despite leaving the pandemic behind, the hybrid and remote working models are more popular than ever, and so the increased proximity risk for domestic abuse to occur is still very much present.
Employers must begin to look at ways of updating their support strategies to keep up with these changing working environments. One way that businesses can start to do this is by training staff to be aware of a Violence at Home Signal for Help. This would be teaching a covert hand signal that can be made over a video call to make their colleagues aware that they are in danger but are unable to verbally say so.
But this is only the first step. Companies need to start shifting their perception of domestic abuse as being something that only affects heterosexual women. Most strategies will be tailored to the experiences of straight women, as this is the group of people who statistically suffer the most. But a ‘one-size-fits-all’ approach can mean employers fail to recognise and respond to those who fall into different groups.
According to the Crime Survey of England and Wales, 27.6% of women have experienced domestic abuse behaviors compared with 13.8% of men. However, many men do not report domestic abuse due to perceived embarrassment and the reluctance to even admit to themselves that they are victims. As a result, the number of men suffering could be much higher.
Similarly, the experiences of people from the LGBTQ+ community will vary significantly from those of straight men and women with around 25% of LGBTQ+ people suffering violent or threatening relationships.
For those in queer relationships, there are a number of unique attributes in the way they are abused. For example, some people are threatened with having their sexual orientation ‘outed’ to people who they have not shared it with. As well as this, many queer people will believe their sexuality or gender identity is the reason why they are being abused, which fuels feelings of internalised homo/bi/transphobia.
Employers must continue to educate themselves around the diversity of domestic abuse. Knowing how it can affect different people, as well as being able to recognise the varying signs, will allow the company to be able to support their employees promptly, and avoid tragic cases like Simon’s.
Those suffering can have noticeable issues in performance, as well as higher absenteeism, which eventually leads to reduced productivity and lower output. And just because domestic abuse is something that happens in the home, does not mean it won’t follow people into the office – up to 75% of employed victims are harassed by their abusers while at work, through repeated calls and texts and visits to the workplace.
Businesses that begin updating their strategies will be able to help those that are suffering, as well as mitigate the effects that domestic violence can have on work performance. Fostering a culture of openness will make it easier for staff to approach leaders with these issues. And when approached, it is important to avoid gendered language when asking questions – substitute ‘boyfriend/girlfriend’ for ‘your partner’ – so to avoid making someone potentially uncomfortable.
Organizations should also be able to direct men and LGBTQ+ people to appropriate helplines. Men’s Advice Line is dedicated to helping male victims, while GALOP provides a national LGBTQ+ domestic abuse helpline.
If you need guidance on how to develop your domestic abuse strategies, please get in touch with me at therese@orgshakers.com
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
The recent rise of what is apparently called ‘quiet quitting’ has sparked the need for organizations to re-examine the modern psychological contract between employer and employee.
‘Quiet quitting’, in terms of working with reduced motivation, has always existed since work first began, and usually resulted in the individual leaving to find a new role that inspired them. However, working less hard while looking for a new role is not the same as consciously setting boundaries around your work in order to have a life – which is what I believe the new ‘phenomenon’ actually represents.
Employers risk falling into the trap of conflating demotivated employees – who are in the process of leaving – with those who love their work but are setting boundaries. And what strikes me the most is that ‘quiet quitting’ is a derogative term which is being used to describe, in many cases, employees doing the job that they were hired to do, for the amount of time they were hired to do it.
It is the younger workers who have been described as igniting this quiet revolution in the workplace, opting to operate broadly within the boundaries of their job and not expanding beyond it if they so choose. If they work certain agreed hours, then they do not expect to be contacted before or after those hours except in exceptional circumstances. If they are given a project beyond their job title, they may choose to politely decline if they do not have the capacity or if they were not contracted to do so.
They value time to live their lives, as well as do their work, and this does not mean they are any less dedicated, talented or that their output is reduced. No one is ‘quitting’ and they should not be accused of such!
They are rejecting the ‘always on’ culture that they have seen work so badly for their parents and older work colleagues. The additional work hours that once were paid as overtime became gradually seen as a badge of honour for the ‘workaholic’, and an expectation by employers as something you had to do if you wanted to ‘get on’ and reach the senior echelons of an organisation. Now with remote working making it possible to work 24/7, working way in excess of your contracted hours has become an expectation that has generated a tidal wave of stress-related mental health issues.
So, why did young people feel the need to push back against the relentless tide of work coming their way?
For one thing, people are working an increasing number of unpaid hours. A global study by ADP Research found that 1 in 10 people work at least 20 extra hours a week unpaid. To add context, they are often working for global organisations which are making millions in profit to give to the shareholders, yet their workers are ‘donating’ swathes of their time for free. Hours being ‘donated’ to organisations by their workers had also doubled in North America, while in the UK, the number of unpaid hours worked in 2021 was equivalent to £27 billion.
The idea of an unpaid overtime-work-ethic has arisen from a toxic mindset that equates commitment and effectiveness with working very long hours and never saying ‘no’. The younger generation are entering into a corporate world with some leaders who believe that giving your ‘all’ to a job (i.e., prioritising your work above everything else in your life including family, friends, hobbies and health) is a good way of measuring productivity and passion.
I believe it is the responsibility of leaders to manage their people resources such that they have sufficient people to deliver what they expect to deliver, not the ‘do more work with less people’ attitude that seems to prevail. Managers also need to support individuals and role model what it means to set boundaries, as well as being alert to when enough is enough.
Knowledge and awareness of the huge impact of overwork and stress on mental and physical health was scarce for previous generations, but we are now much better informed and amongst Gen Z, the stigma attached to discussing wellbeing has largely decreased. And yet, a generation that are more aware of what it means to have a balanced, brain-healthy lifestyle and want to work in a high quality, output-measured way, are having to operate within an outdated working culture.
And so ‘quiet quitting’ was born. Originally starting as a movement in China, ‘quiet quitting’ is a phrase used to describe workers putting in reasonable boundaries between their work and their home time, and rejecting the idea that work has to take over your life. Chinese companies responded by trying to persuade workers that to ‘struggle’ was to achieve a happy life. Younger workers were not convinced.
This is a wake-up call to companies and leaders everywhere, that individuals are deciding that their job cannot consume their entire life. There is both a strong moral and business case for this message needing to be heard:
Morally, companies should not come to rely on the additional cashflow produced through its workers not being paid for the time they are working. This is a fundamental breaking of the work/payment psychological contract. Good resource management does not mean expecting people to work 12 hours but paying them for 8 hours. This ‘discretionary effort’ ethos has got so out of hand that it is no longer the badge of a hardworking and ambitious person, but rather an expectation of all, which is creating a mental health crisis.
In business terms, tired people create tired ideas. Businesses need to recognise that, with the rise of AI taking on repetitive tasks, the next generation of workers will be hired and valued for the quality of their ideas, their innovations, and their thinking. Therefore, we need to work in a way that fosters the best of this thinking. Businesses need to start placing real value on creating environments of mental wellness and brain health, so that they can optimize the best brains and gain a competitive advantage. This is forward-thinking and makes great business sense.
The first steps towards this can be seen in the UK, as the trial for a 4-day working week commenced amongst participating organizations. This was in response to a successful trial in Japan, which found a 40% boost in productivity due to improved wellbeing. A shorter working week acknowledges that a person’s happiness is just as important as their job – having an extra day to indulge in one’s personal life can make all the difference to one’s mental health.
However, there is a fine line to this. As pointed out in the above citation, attempting to cram five days’ worth of work into four can lead to increased feelings of stress and burnout. If companies are shortening the week, they also have a responsibility to decrease the load. It is about playing the long game – productivity will go up despite the loss of a working day because staff will be more rested and motivated. As well as this, their brains will be able to work consistently at an optimal level, creating higher quality output, because they will feel less pressure and have more time to rest.
Henry Ford proved this in 1914 when he upped his workers’ wages and reduced their hours, as well as reducing the work week from 6 to 5 days. Described as a stroke of brilliance, he built a sense of loyalty and pride in his workers and as a result actually boosted productivity.
His son Edsel Ford said, “we believe that in order to live properly every man should have more time to spend with his family”. This seems to have been forgotten in 2022.
The 4-day week suggestion is only one solution. For most businesses currently operating within a five-day working week, it is time to think about shifting the focus from hours being put in, to the work that is being generated. We need to be output-focused whilst being utterly realistic about what any human being can be expected to achieve in the timeframe needed for the desired output.
Neuroscience already informs us what we need to do in order to create optimal brain function. Why do businesses not draw on this wealth of knowledge and create working practices that support this?
Humans are not computers, we cannot operate for hours on end without a marked drop off in our cognitive abilities, as well as a huge decline in our thinking, decision-making and creativity. In the end, overwork and stress can deeply damage mental and physical health, so it is no wonder that younger workers are rejecting this.
As a leader you have the responsibility to hire well, train well and trust your people to do their jobs. Focus on output and quality, whilst being realistic about what a human being can achieve, and resource effectively whilst supporting them to find the best pattern of working to suit their cognitive needs. A study by Harvard Business Review found that managers who were rated the highest at balancing results with relationships saw 62% of employees willing to give extra effort, while only 3% were ‘quiet quitting’.
Leaders who are implementing policies that promote mental wellness and brain health will need to realise that this means re-evaluating the psychological contract that they have with their employees.
For their mental and physical health, and to reverse this epidemic of stress related illness, people need to be able to switch off from work and embrace a personal life. If this is being encouraged by their employers, then these workers will reward their employers with fresh, inspired, and innovative thinking instead of bad decision making and ‘tired ideas’.
If you would like to discuss implementing mental wellness practices in your workplace and developing brain health programs, get in touch with me at pamela@orgshakers.com
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
With the cost of living continuing to rise, supporting the wellbeing of staff has been at the forefront of employers’ minds.
According to a LendingClub report, 64% of Americans are living paycheck to paycheck in 2022, so organizations are trying to support their employees financially wherever they can.
But if you are a small business or a start-up, having the financial means to help your staff may not be possible.
So, what are the other things you can be doing to improve employee wellbeing?
1. Apps to help manage personal finances
Earning money is one thing, but knowing how to manage it is another. There are many apps available for companies to promote to their staff which can help them track spending habits and expenses. Examples of these are Mint (cashflow tracker and planner) and EveryDollar (budgeting and savings).
2. Flexible Spending Accounts (FSAs) and 401(k) loans
Companies can discuss with their investment broker about setting up FSAs for their employees. These are essentially saving accounts to put money aside that is solely for healthcare or dependent care costs. As long as the money in this account is used for eligible medical expenses, the staff member will not have to pay income tax on it.
Alternatively, businesses offering a 401(k)-retirement plan can find out what loans are available to them. This will allow your employees to take a loan out of their retirement money and then pay it back over five years with a low interest rate. What’s even better is that any interest paid goes back into the employees 401(k) fund.
3. Giving employees space
Sometimes, distance can be good. In times of high stress and financial unrest, it can be a good idea to offer working flexibility – hybrid and remote working mean people are more comfortable and spend less time (and money) coming into the office. Not applying extra pressure to attend networking events or other gatherings outside of work can also help relieve stress and allow for a focus on what their job actually is.
4. Subscribing to mindfulness and meditation apps
The Stress in America report from earlier this year found that 87% of respondents were stressed about the rise in prices of everyday items due to inflation. Employers placing a real focus on the mental health of their employees is very important during such an uncertain time, and so organizations can purchase subscriptions to mindfulness apps such as Calm or Headspace to help their staff ease rising stress levels.
5. Discounted/free gym memberships
Physical fitness has been widely known to have mental health benefits, as well as helping to relive stress. Exercise causes the release of endorphins in your brain, which trigger a positive feeling in the body.
6. Talk to your staff
As simple as it may sound, communication is key. Making a conscious effort to speak to your staff and listening to their needs can be extremely beneficial for their wellbeing. For start-ups, being malleable with job roles can help boost engagement while also helping you get off the ground. Where someone may feel they are burning out in one area and someone else is hungry for development in another, this can be used to your advantage by swapping the two. Finding creative ways to improve development and learning is vital during such a testing time.
The cost of living is a sensitive time for all of us. It is difficult to avoid feeling its effects, and so if your small business needs guidance on how to support the wellbeing of your employees, get in contact with me at brittany@orgshakers.com
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
In June Carers Week 2022 published a report highlighting the challenges facing working carers in the UK.
To discuss the implications for employers, I brought together Vivek Patni, CEO of care service access provider WeMa, and Max Lintott, UK General Manager of financial wellbeing platform Wagestream.
Both WeMa and Wagestream are actively engaged in helping working carers cope with the burden of caring for sick or elderly relatives, and their perspective on the report’s findings were enlightening and provocative!
Here is a brief extract from our conversation:
Therese
One statistic that stood out to me in the Carers Week report is that workers on lower incomes are disproportionately impacted by the need to provide unpaid care for a loved one – 34% of carers with an annual household income of £20,000 or less are caring for over 20 hours a week, compared to 24% of carers from higher income households.
For me that cuts right to the heart of why employers need to help their people on lower incomes access services and manage their day-to-day finances.
Because you’re more likely to face mental health issues due to your inability to be able to get the help you need, or to speak up about the problems you’re facing, because of the fear of losing your job, or whatever it might be.
Vivek
I think there are two angles to this.
Firstly, the number of people now caring for their family has significantly increased; there were 4.5 million additional informal carers in the UK in the 6 months from the start of Covid back in early 2020 (2.6 million of these were working carers). Did you know, by 2025 there will be more adults of working age with adult dependents compared with child dependents?
As well has having little knowledge of how to care, finding time to do so around work, and not being paid for the care they deliver, two-thirds of these carers are in fact using their own income and savings to cover the cost of care for their loved ones, 40% of which are struggling to make ends meet. It’s these people that we’re really trying to support with the WeMa service, because they’re struggling massively.
Secondly, there’s the shortage of professional care workers – and the challenge you’ve got there is that it’s a very low paid job. This is one of the biggest factors as to getting more people coming into those jobs, but it’s also a very difficult, demanding job which must be respected much more than it currently is. The lack of professional carers puts more pressure back on the informal carer.
To build on what you were saying about the impact on these people, Therese, other research has shown that 54% of carers suffer from negatively impacted financial wellbeing, 70% suffer with mental ill health, and 60% struggle with physical ill health due to the burden of delivering that care.
Max
Add to that the fact that the Carers Week report says that more than 10.5 million adults in the UK are now acting as unpaid carers. I mean, there are only 12 million frontline workers in the UK and there are only around 30 million employees in all, so around a third of the total workforce are impacted by this.
And the burden will often fall on lower-income households which aren’t given access to affordable private healthcare to help.
Vivek
I think that’s why this conversation is really timely. If you look at the social care market, everyone’s trying to figure out how are people going to fund their care moving forward, because they’ll definitely be a very limited amount of money going into it through the state.
The cost per hour of privately funded homecare can range anything from £19 to £30 per hour – the average is estimated to be £21.50. So, based on 2 hours a day, 5 days a week of care required for an individual who’s got, say, early-stage dementia, that’s about £13,500 a year.
So, the question is what kind of support can we put in place around access to care services and the finances to pay for that care?
Therese
We also have to remember that some of that support is short term. If an elderly relative has just come out of hospital I don’t need six weeks off, but I desperately need two or three days.
So, I think the thing that employees want more than anything, is some flexibility. And what you’re both giving in different ways is a new flexibility for people to be able to shape and live their lives.
Vivek, your WeMa service is helping working carers to connect quickly and simply with healthcare providers in the community, removing the massive stress and distraction of accessing the services their loved ones need.
And Max, Wagestream, for example, might be helping someone in a situation where they’ve just had to fork out £50 or £60 on some stuff from Amazon that’s going to help an elderly person coming out of hospital live their life a bit easier. When you’re on £20,000 or less, you’re a frontline worker, and you’ve budgeted every single penny, and you’ve got all the utilities going up, how can you afford this stuff that then comes on top? Being able to access the wages you’ve already earned can be a lifesaver in that kind of situation.
Max
I’d like to add to that too. We’re now finalizing an income protection insurance to cover people on zero-hours contracts for sick leave.
On a zero-hours contract if you don’t do any hours you don’t get any money, right? So, there’s a very innovative insurance company we’re working with to underwrite it so that you can insure yourself very cheaply – it’s hopefully going to be something like £2.00-3.00 a month to insure yourself for a set number of weeks’ pay if you get sick.
We’re still ironing out the details but could imagine a very similar product to insure against time off for care.
Vivek
I think the bottom line here is that there’s no money from state to support working carers – and there’s going to be limited funding for social care going forward.
So, it’s going to come down to employers giving their people the support they need to deal with it in their own way. I wonder what incentives the government could give to businesses to stimulate business-backed support?
Therese
And I think the more we can get that into the mindset of the CEOs and the board – the people that are making decisions around the table – the better, because this has got to go faster up the agenda.
It shouldn’t be this difficult for working carers!
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If you’d like to find out more about any of the issues we were discussing, please contact me: therese@orgshakers.com.
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
Hybrid and remote working have become a post-pandemic norm, and have paved the way for an entirely new working environment – the metaverse. This is a virtual reality environment where employees can meet and interact from anywhere around the world through avatars – digital versions of themselves – which they have designed.
The concept of the metaverse has started to gain significant traction, with a poll conducted by HR Magazine finding that over a third of respondents thought the technology was suitable for business, and that they were excited about using it. Many companies have even started rushing to buy virtual ‘offices’ in prime locations in these simulated universes.
On the one hand, the introduction of a digital working world can offer those working remotely the ability to interact with their colleagues more authentically. However, the rise of the metaverse also brings with it the question of how to approach it from a HR perspective.
How do you monitor diversity and inclusion when people can choose what they want to look like?
The process of designing one’s avatar is important for the metaverse to work. Having face-to-face interaction is what makes this technological development so attractive to organizations, but this will require a different set of people policies to those we currently have in the real world.
For example, when someone is creating their avatar, they will probably want it to look like them – but it will likely be an ‘enhanced’ version of themselves. After all, this is an opportunity to make yourself look the way you have always wanted! This is known as the ‘Proteus effect’ with employees adjusting their height, age, wardrobe, etc. to fit their desired self-image.
However, this risks creating an expectation that avatars should be physically ‘perfect’ which, in turn, could undermine the self-esteem and mental wellbeing of some individuals.
And while altering your avatar to have features which are manifestly different to your own might be considered harmful (or even offensive), organizations will need to decide whether there certain circumstances where significantly changing your avatar’s appearance might be acceptable. For example, if a wheelchair user were allowed to create an avatar which does not use one, would this create a workplace culture where people can be recognised for their ability to do their job rather their physical differences – or one where physical conformity is a requirement for an individual to feel that they belong? These are difficult ethical choices.
How do you design people strategies for people that are no longer physical?
Creating policies surrounding the creation of avatars is one thing, but the way employees behave towards each other in the metaverse workplace in another.
‘Trolling’ is a common internet phenomenon in which people will bully and harass others online through harmful comments. In the context of the workplace, if a colleague is offensive to you online it would probably be considered equally as severe if they were offensive to you in person. Most organizations already have procedures in place to deal with this type of verbal harassment – digital or otherwise.
But what about ‘physical’ harassment in the metaverse?
There have already been issues of avatars being assaulted by virtual colleagues, which begs the question whether this would (or should) be dealt with by employers in the same way they would respond to a similar assault in the real world. If I virtually strike your avatar, is that as bad as actually striking you?
So, the full implications of working in the metaverse are yet to be determined, but it is already clear that the HR strategies and policies we will require for this virtual workplace to be safe and inclusive for every employee will require careful consideration.
And although this may be a vision of the future, organizations should be starting to think about it in the present.
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
In both the US and the UK employers are waking up to the fact that the workforce is ageing. And they should, because for the first time in history, over 1/3rd of the working population are over 50!
There is growing evidence, however, that organizations on both sides of the Atlantic are failing to act.
In the UK the Chartered Management Institute (CIM) works with business and education to inspire people to become skilled leaders.
Their research found that although 85% of managers taking part in a recent survey said their organization was age inclusive, only 5% reported proactive efforts to recruit older workers.
Ann Francke, the CMI’s chief executive, described this as “a wake-up call for all organizations to practice what they preach”.
Meanwhile, in the US AARP is the nation’s largest nonprofit organization dedicated to empowering Americans 50 and older to choose how they live as they age.
In a recent interview AARP’s CEO, Jo Ann Jenkins, highlighted that “78% of our members recently surveyed told us they had faced some type of age discrimination in the last year … Yet, at the same time, older people are going to be the solution for many companies that are trying to hire people to deal with labor shortages and bring folks back into the workplace.”
OrgShakers’ Therese Procter reflected at the end of last year that “for many years the HR community (me included!) put our energy, focus and effort on progressive processes and practices that were supporting the needs of the younger working generation. Many of these innovations were ground-breaking – especially around maternity/paternity, IVF, adoption, childcare, etc. – and we should be proud of what we achieved.
“However, the ageing workforce means that we now have to widen our focus to meet the wellbeing and mental health needs of those in midlife and to consider how they can help them to live their best life while performing their job.”
As a proud midlife HR practitioner, Therese’s aim – along with her likeminded OrgShakers colleagues around the world – is to shine a light for employers on the issues people face at midlife and to provide education, policies, training, seminars, and guidelines to ensure organizations can maximize the performance of an age diverse workforce.
If you would like to know more, please get in touch: hello@orgshakers.com
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
A YouGov survey of 1,025 HR decision makers working across UK businesses has found that almost three quarters (72%) of businesses do not have a menopause policy.
This is despite it being widely accepted that the effects of the menopause can be debilitating for a woman’s physical and psychological wellbeing.
Symptoms such as joint pain, hot flushes, memory loss, fatigue, and anxiety can have a huge impact on a women’s confidence and workplace performance.
Indeed, a recent survey published by renowned GP and menopause specialist Dr Louise Newson found that 99% of respondents said their perimenopausal or menopausal symptoms had led to a negative impact on their careers, with more than a third calling the impact ‘significant’.
Almost 20% were off more than eight weeks and half of this group resigned or took early retirement.
Key findings from the YouGov survey include:
The YouGov survey was commissioned by employment law specialists at Irwin Mitchell. The total sample size was 1,025 HR decision makers and fieldwork was undertaken between 10th – 28th February 2022. The survey was carried out online.
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
The UK government were calling it ‘Freedom Day’ – the day when all Covid-19 restrictions would be lifted after two long years.
To be honest, even though Thursday 24th February was also my birthday, it felt the furthest thing from a Freedom Day that I had ever experienced in my HR career. As one newspaper headline summed it up: ‘The sun is shining, but we’re keeping our umbrella’.
That morning I had taken a call from a HR director who was talking about the pressures her colleagues were facing. Change and uncertainty were causing stress-related absence to spike like never before and, for the first time, her Board had asked about employee financial poverty.
She wasn’t alone – it was the third call I’d had in a week where financial impact was the number one topic of concern.
For years financial poverty has been a ‘dirty little secret’ in many boardrooms – known about, but never really aired in public.
The CIPD recently published data in partnership with the Joseph Rowntree Foundation that 1 in 8 UK workers are in financial poverty. While research by financial wellbeing platform Wagestream has shown that 75% of the UK workforce have volatile and unpredictable pay, 50% run out of money before payday, 39% are not comfortable managing money, and 11.5 million have less that £100 in savings.
When financial issues are experienced, there is a direct link to mental and physical wellbeing with an impact on absence. If employees are worrying about money or covering up concerns this can also lead to a negative performance of up to 30% in productivity.
In short, the moral case and business case for acting on financial poverty is compelling.
Over the past two-years’ the world has experienced a profound economic and social shock that has affected businesses and individuals alike. And the war in Ukraine is adding to heightened emotions of fear and distress as well as accelerating an increase in the cost of living – all of which are being highlighted in news, on social media and in every conversation, by the hour!
Now more than ever, it is critical to scrutinise whatever insights and data you have within your organisations thoroughly, to work out who is worst affected. Use the data determine how the trends are changing or have changed and get a plan of action in place to support your colleagues. Where data is light, or insights are not easily accessible, look internally and externally for support, advise and solutions.
Being aware of employee financial poverty it is no longer good enough. You need to demonstrate that you understand workplace poverty and engage in a conversation across the business about what is driving it and how it feels to be in financial difficulty. Only then can you start to put meaningful solutions and practices in place to help.
In my experience, the core to financial freedom begins with education on money health. It’s a topic that I was never taught at my school or in business. But increasingly it is coming onto the agenda of wellbeing, and rightly so. It’s never too late to start educating – and your employees will welcome your support.
Many HRDs and organisations are looking at external solutions to support their efforts on this topic. There are some really great technology-based solutions available which can help give employees ‘power over pay’.
I’m engaging more and more on this topic happy to share my knowledge and insights about the impact it has on wellbeing and inclusion as well as wider People Strategies.
It’s a conversation that is not going away, and it will require a dedicated focus if you are to retain your talent, maximise , workforce productivity, and demonstrate your understanding of what is , going on in everyone’s lives right now.
As I write this, I’m few days older, perhaps a little wiser, and the sun is streaming through my window. But I am acutely aware of the need for umbrella!
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020
Midlife is a pivotal period in our life journey. It can suck – or rock!
Neither well defined nor well understood, Midlife is described simply as ‘the time between youth and old age’. A time which is often associated with stress and crisis – especially for women.
I can relate to this, but there are many positives to celebrate in Midlife too, including higher earnings, status at work, leadership in the family, authority in decision-making, self-confidence, and contribution to the community.
The reality is that these negative and positive aspects of Midlife are not exclusive to women – these are things we will all experience.
Employers are slowly starting to take more interest in Midlife workers … and they should, because for the first time in history, over 1/3rd of the working population are over 50!
On reflection I realise that for many years the HR community (me included!) put our energy, focus and effort on progressive processes and practices that were supporting the needs of the younger working generation. Many of these innovations were ground-breaking – especially around maternity/paternity, IVF, adoption, childcare, etc. – and we should be proud of what we achieved.
However, the ageing workforce means that we now have to widen our focus to meet the wellbeing and mental health needs of those in Midlife and to consider how they can help them to live their best life while performing their job.
I suggest there are three issues we need to prioritise:
In most cases if these issues are identified early, they can be treated positively and permanently.
So, is your organization encouraging Midlife colleagues to be aware of these issues and encouraging them to get regular health checks? And are they being given time to get appointments booked and time off to support these issues?
I’m in the camp that wants to Rock my mid life and get up every day and perform at my best.
So, I recently started taking HRT – not because I had any menopausal symptoms, but because my mum has osteoporosis. I have also had a blood tests and bone scans.
My parents are my role models, they exercise every day and have done since I can remember, and they are 83!
Diet and exercise are important. And so is being aware of what is going on in our bodies.
So, my call to arms is for all of us in Midlife to take control of ensuring that we can live our best lives – and for organizations to provide the encouragement, environment, and policies that support their employees throughout their working lives.
For more information, training, policy reviews or insight on how your business can navigate this important topic and “shake” things up, please contact therese@orgshakers.com.
Copyright OrgShakers: The global HR consultancy for workplace transformation founded by David Fairhurst in 2020