This is a 6% increase from the year before, according to research titled Britain at Work, published on Tuesday (1 April) by employee benefits provider, Health Shield Friendly Society.
Researchers also found that less than half (46%) of workers feel comfortable sharing their financial concerns with their employer.
Added to this, research by payroll and HR software provider PayFit uncovered employee dissatisfaction about pay. Nine in 10 (89%) UK workers reported being unhappy with their current pay, stating that it was not enough for their needs, and one in four workers were concerned their salary won’t keep up with the cost of living.
More than a third (37%) of UK workers reported needing a pay rise to better manage their financial goals, according to PayFit's findings, published yesterday (3 April).
Paul Shires, director at Health Shield Friendly Society, emphasised the role that tailored health and wellbeing employee benefits can play in supporting employees who have financial concerns.
He told HR magazine: “Many businesses introduced emergency support packages during the cost of living crisis, but the Britain At Work report suggests that employees require longer-term support. Exploring benefits that help employees fund and access physical and mental health services – including health cash plans, wellbeing services and employee assistance programmes – is a good start.”
Read more: Managers receive more financial wellbeing support than employees
Conversely, Agata Zasada, SVP of people and culture at financial technology platform ZayZoon, said: “It’s not about offering more benefits – it’s about offering the right ones. Financial wellness is not a checkbox exercise or something to set and forget, it's an active commitment."
She added that HR professionals must start by having an awareness of rising financial anxiety among the workforce.
Speaking to HR magazine, Zasada said: “Start with awareness. HR teams can begin by recognising the signs of financial distress, like increased absenteeism, reduced productivity, or quiet disengagement. Confidential surveys and feedback channels can help uncover employees’ financial concerns and guide decisions about support.
"A shame-free environment should be the priority. When employees see their financial habits and struggles as starting points, not shortcomings, it’s easier to engage with support."
The Britain at Work report highlighted that a third (33%) of UK employees worry about money every day, and that nearly seven in 10 (68%) worry about money at least every week.
The researchers also found that less than half (49%) of employees thought that their employer cared about the impact of the cost of living.
Read more: Cost of living crisis affecting women more than men
Perry Timms, founder of HR consultancy PTHR, and a contributor to the Britain at Work report, encouraged HR professionals to engage the workforce in talking about financial pressures.
Timms told HR magazine: “Invite participation, sharing and support. Foster a sense that we’re all in this together, as a venture and as people facing continued struggles with income, revenue, spend and commitments.
“To counter withdrawn social feelings, open up to more regularised, destigmatised and safe sharing of how people feel, what ideas, hopes and concerns they have, and deal with them together. Lastly, be both a listening and learning organisation through declaration and actions.”
Zasada echoed Timms' advice, and said: “HR can’t force openness among their employees, but they can create conditions that make it more likely. This is done by acknowledging the shame around financial stress and removing the barriers that make asking for help hard. Not every employee is going to want to talk about money but if they do, they should feel safe doing so.”
Zasada emphasised using inclusive and non-judgemental language, remembering that employees want to be heard, and normalising conversations with a top-down approach.
She added: “Employees are more likely to share financial concerns when they feel valued and safe to do so. Recognition, especially when it includes financial rewards, builds trust and connection to your company goals. HR has the power to shape a culture where employees feel comfortable sharing financial worries by leading with empathy, offering shame-free support, and creating a connected workplace.”
