Until recently, companies’ concern about employee financial health was a topic virtually excluded from the HR meeting agenda. However, in recent years, the subject has come to be seen as a priority in companies of different sizes, segments and nationalities.
What made organizations change their view of it? The observation that employees with financial difficulties produce less than they are really capable of. With this in mind, the Human Resources sector started to adopt a strategy that would help in this problem. To understand how, keep reading this article.
The Role of HR in Employee Financial Health
Personal finance is a subject full of concepts and goals to be applied in people’s routine. It is very common for companies to come across their employees complaining that their salaries do not match the amount of their expenses. It turns out that this is a problem that is not related to salaries, but to personal administration.
Another recurring case related to the problem is employees who, even after completing their contribution time, discover shortly before retiring that they need to continue working to maintain their current living standards.
It was from these insights that the HR department chose to take the lead in this process and help employees’ financial health review their finances and better manage their expenses.
How HR Can Help Employee Financial Health
When an employee has financial problems, he is unmotivated and there is a significant drop in his income and work productivity, increased absences, among other problems that are directly reflected in the company’s profitability.
Debt is currently one of the main problems of companies in relation to their employees. Therefore, it is part of HR’s strategy to show these employees how to plan financially, to cope with their expenses, or to plan for their retirement, showing the amounts that should be saved and how much to collect from financial reserves.
HR is responsible for changing this reality in organizations. Many companies give a number of benefits and aids to their professionals to improve not only the work environment but also their productivity.
However, this is not enough and some end up forgetting a key factor for the stability of their employees: Financial education, a fundamental aspect for household security and, automatically, for business productivity.
The strategy adopted by companies that see the importance of maintaining the financial health of employees consists of promoting lectures, courses and explanations on the subject. There are excellent financial advisors on the market today who lecture organizations to guide professionals to better manage their personal finances, balancing gains and costs.
How Credit Offering Can Solve Employees’ Financial Health
There is another way to help employees who need to solve their financial issues in a more practical way, by offering payroll loans.
Good Finance is a credit platform aimed at simplifying private payroll-deductible loans for people who have a CLT employment contract and thus serve employees who need to take out a loan.
In the Folha Folha platform, the entire procedure is online. In addition, we have the differential of offering a tool that serves not only the financial institution, but also the company and employee in an uncomplicated, safe and privacy. Registering your company with Good Finance is very simple. Just fill out the form available on our website.