UK employees waste 20% of their time worrying about their finances

07 September 2016

This week we celebrate National Payroll Week and what better time to educate your employees on ways in which they can save money through their payroll.

According to a new report that researched 10,000 UK workers, 70% of the UK workforce admit to wasting a fifth of their time at work worrying about finances, costing the economy £120.7bn a year.

At least 17.5 million working hours are lost per year by the UK workforce as a result of employees taking time off work due to financial stress. These are the findings from Neyber’s DNA of Financial Wellbeing report, the first of its kind looking into the impact employees’ money worries have on UK businesses.

One of our members, Paul Gibbons, highlighted this report and enthused about National Payroll week being a chance to share knowledge to help employees stop stressing and start taking home as much money as they are entitled to.

With the theme of ‘employee financial education and well-being’, Pay Dashboard has shared a case study where an individual learned she was on the wrong tax code and received a £3,500 rebate from HMRC – an example of how a well-timed piece of education can save an employee thousands of pounds.

CIPP comment

Do you offer a credit union facility?

The CIPP’s 2016 annual payslip comparison report shows that saving with a credit union through the payroll is rare with only 15.38% of respondents offering such a scheme.  The results indicate a direct correlation between the size of the employer and the likelihood of offering access to a credit union with no respondents paying fewer than 250 workers offering this facility. Results suggest that employers are more likely to offer access to a credit union if they also operate a Payroll Giving scheme with 75% of respondents operating a Payroll Giving scheme also providing access to a credit union. Our findings also show that local government and public sector employers are the most likely employers to offer one or both schemes to their workers.