It is expected, by most employers, that their workers will miss a certain number of workdays each year. When employees begin to chalk up excessive absences, decreased productivity and morale – as well as an impact on a business’s finances – become apparent.
We’ve written about how the lack of financial security is a catalyst of increased turnover, absenteeism, and overall financial unwellness. It’s easy to read about financial insecurity and not link the struggles to the employees who work at your organization. But, it is more than likely a percentage of your workers are currently struggling to make ends meet.
Why send a handwritten letter when you can shoot a quick e-mail or text message? That analogy may best describe the difference of processing paper checks versus direct deposit. More than being an outdated and time-consuming practice, writing paper check is a more costly process for many businesses.
Employee turnover is expensive, and in many industries, the cost of losing good workers is rising. Tight labor markets, and young employees job hopping at an increased rate are two proven contributors to turnover increases. Turnover is a meaningful expense for companies who constantly have to recruit new employees and bear the cost of that employee ramping up and becoming productive. According to Glassdoor, it took an average of 52 days and $4,000 to fill an open position in 2016. To keep workers engaged, employers must take special steps to ensure their employees are as productive as possible. For example, employers can implement employee listening strategies or they can promote financial wellness strategies amongst employees.
Financial issues are burdensome and distracting for everyone. In fact, when one of your employees is concerned about financial security, you lose them as an engaged employee.
This case study about RLS Logistics details how the company was able to reduce its employee turnover and improve employee retention.