Tag: modern employee benefits

Stressed-out employees aren’t just bad for morale; they’re a drain on productivity and can even affect revenue.   A study last year found that 72% of U.S. workers were to some extent stressed about their household finances, while one-third said they were extremely stressed.1 The growing financial pressure on today's workforce is real and widespread. Rising costs, mounting debt, tightening credit markets, and an accelerating wave of identity theft and fraud have created conditions where financial stress isn't limited to low-income earners. Inflation, rate hikes, and relentless data breaches are impacting workers at every level, eroding not just their bank accounts but also their focus, resilience and ability to function at their best. Some of this stress is due to the threatening environment we live in. Every employee, regardless of role or income level, is at risk from cyberattacks and increasingly sophisticated fraud schemes. Identity theft is ever-present, from phishing attacks and credential stuffing, ransomware and social engineering. The escalation in cybercrime has made personal and financial data more vulnerable than ever. The Federal Trade Commission Consumer Sentinel Network Report for 2025 stated that millions of identities are compromised each year, often without the individual realizing it until the damage is already done.2 Given this ongoing threat landscape, it is little wonder that employee financial stress and workplace productivity loss levels are high. The correlation between employee financial stress and productivity loss When employees feel stressed and burned out, it negatively affects their work productivity, which can lead to a loss of revenue for the company. A recent survey found that 66% of employees blamed financial stress for negatively affecting their work and personal lives.3 The same survey found that 83% of HR leaders are concerned that employee financial concerns are harming productivity.4 When employees are consumed by financial stress or anxious about identity theft, their attention is split. They're managing debt, monitoring accounts, or dealing with fallout from fraud, all while trying to do their jobs. The end result is cognitive overload. Simply put, financially stressed employees are more distracted, less engaged, and more likely to make errors. Identity theft compounds the problem because resolving it can take dozens of hours and even months of follow-up. And much of that effort is likely to be happening during work hours. The upshot of all this employee financial stress is presenteeism. In other words, employees are on the job, but their minds are elsewhere. Bottom line: workplace productivity takes the hit. The cost of this stress on employees is ultimately borne by employers. A recent report found that U.S. employers lose approximately $250 billion a year due to lost productivity and distraction caused by financial stress.5 A Gallup survey also reported that "disengaged employees — often dealing with financial stress, cost the global economy $8.9 trillion in lost productivity yearly."6 The cost of ignoring this issue can be staggering for employers, who ultimately bear the weight of workplace productivity loss, increased healthcare costs, and higher turnover, all of which impact the bottom line. Fortunately, employers can avoid most of these problems by taking the right proactive steps that better support employees in managing financial stressors. This is key to building a more resilient workforce. Targeting the source of stress with financial wellness tools Today’s employers are recognizing that simply providing a steady paycheck, basic insurance, and a 401(k) is no longer sufficient to attract and retain the best and brightest employees. The U.S. Bureau of Labor Statistics found that 87% of workers would consider leaving a company that doesn’t prioritize employee well-being and that 84% feel their employer should be more involved in helping them through financial challenges.7 Conversely, 70% of those surveyed indicated that benefits that better support their financial wellness would increase their loyalty to their companies.8 What is clear is that employees want personalized support in managing finances, building credit and securing their financial future. Providing the depth and breadth of support employees are clamoring for is essential for addressing and preventing workplace productivity loss and revenue impacts.   To address employee concerns, employers need to offer more than just tools. They need connected solutions that offer all-in-one financial protection, enabling employees to better safeguard their paychecks, protect their identities and plan for tomorrow. Instead of simply reacting to threats, a more holistic approach that proactively equips employees with the insights, tools, and support they need is called for. Zooming in on what a holistic solution should do A comprehensive, fully integrated set of holistic employee financial wellness tools offered as benefits can be instrumental in alleviating some of the stress workers feel. The right set of financial wellness tools should include: Identity protection and restoration – Avoiding becoming avictim of identity theft and fraud is crucial. Effective tools monitor personal information, send fraud alerts and help with resolution services to facilitate faster recovery. Credit education and financial management – Employees are interested in learning how to pay down debt and increase their credit score. Providing instructive credit education resources empowers them to set goals, make actionable plans and track their progress. Device and data protection – The threat to personal data is constant. Providing proactive digital privacy tools can help employees keep passwords and other personal information secure while browsing. Financial wellness benefits only work if employees actually trust them. Our My Financial Expert® platform enables employers to offer holistic benefits, including more than 50 financial wellness features designed to help employees take control of their finances. With a proven track record in credit education and identity protection, we have supported and protected more than one billion consumers. When employees stop worrying about money, they start focusing on work. It's that simple. By giving workers real tools to tackle financial stress, productivity loss, and security concerns, employers reduce distractions, boost satisfaction and make a compelling case for why good people should stay. The payoff isn't just cultural. It shows up through improved productivity and a more robust bottom line. Learn more about our financial wellness programs

In a labor market where 51% of employees are actively seeking new opportunities and 42% of turnover is considered preventable, employers are under increasing pressure to stand out. One of the biggest shifts driving this competition is the growing emphasis younger generations place on employee benefits when evaluating job offers. As a result, companies are looking beyond salary to attract the best talent and retain their top performers. One of the ways companies are addressing this problem is through modern, or non-traditional, employee benefits. These are typically perks and programs that go beyond the traditional compensation package of salary, health insurance, and retirement plans. They’re designed to address the evolving needs, values, and lifestyles of today’s workforce. Modern employee benefits can include flexible work options, which allow team members to perform their jobs remotely and/or with flexible hours. In addition to standard healthcare benefits, some businesses provide access to mental health services, such as counseling and mindfulness programs. Other businesses offer learning and professional development programs that include tuition reimbursement and job-related sabbaticals. Modern employee benefits could also include lifestyle rewards, such as gym memberships, wellness retreats, volunteer days or travel stipends. One of the most attractive benefits are financial wellness programs, which can consist of financial coaching, identity protection and restoration, and device and data protection tools. Financial wellness: a key modern employee benefit What exactly is financial wellness? The U.S. Consumer Financial Protection Bureau defines it as “the feeling of having financial security and financial freedom of choice, in the present and when considering the future.” How employees feel about their finances, especially in the face of rising costs and higher interest rates, can impact their job performance. Employees often find themselves under pressure from their everyday financial challenges. This pressure can bleed over into work performance, directly impacting productivity. Morgan Stanley’s State of the Workplace 2025 report found that 66% of employees indicated that financial stress was negatively impacting their work and personal life. The study further revealed that 91% would have a greater investment in the company if their employer provided financial benefits that met their specific needs. And 84% of those surveyed believed their employers should be assisting them with their financial issues. Modern employee benefits that focus on financial wellness can address this need. It’s important to note that financial wellness isn’t simply about bolstering employee savings and building their credit standing. Providing programs that enable employees to protect themselves against the threat of identity theft and fraud is equally important. One employee survey revealed that 77% of employees faced some form of identity theft in 2024, and 42% indicated that worries about this led to higher stress levels at the workplace. Providing a comprehensive financial wellness program that includes financial and credit literacy, as well as identity theft protection and restoration is not only good for employees, but for businesses as well. A closer look at financial wellness tools When modern employee benefits include financial wellness tools, companies are better able to secure top talent, improve retention, and increase overall workforce satisfaction. Some tools that can help employees include: Identity protection and restoration – Businesses can offer employees vital tools they can use to avoid falling victim to identity theft and fraud. Such a tool can monitor personal information, send potential fraud alerts, and provide invaluable resolution services to aid in faster recovery. By minimizing fraud risk, employees feel their personal information is safe, which allows them to focus on being productive. Credit education and financial management – When employers offer a comprehensive credit education and financial management program, employees can gain crucial best practices for paying down debt and increasing their credit score. This type of guidance is absolutely critical for empowering employees to set goals, make actionable plans, and track their progress. Providing instructive credit education resources demonstrates the employer’s commitment to supporting employees beyond the office. Device and data protection – Employees are acutely aware of the constant threats to their personal data. Providing tools that can empower team members to take ownership of their financial data and protect their information from falling into the wrong hands is essential. Employers can provide proactive digital privacy tools that help keep passwords and other personal information private and secure while browsing. Digital identity management and exposure remediation – As data breaches continue to rise, employees need support reclaiming control of their personal information. Digital identity management tools can help individuals identify where their data has been exposed online, remove or suppress sensitive information from risky sites, and monitor for future exposure. Modern employee benefits from a trusted source When offering modern employee benefits geared toward financial wellness, it is important that these tools come from a trusted source. Experian® is a leader in the industry, supporting and protecting more than one billion consumers with a proven track record of credit education and identity protection. Experian’s My Financial Expert® platform, which offers more than 50 powerful financial wellness features, helps employees be better prepared to manage their financial well-being.   Employers can also avail themselves of an anonymized and aggregated analysis of the overall financial health of the company’s employee population. By utilizing metrics such as credit snapshot, debt-to-income (DTI) ratio, credit delinquencies and more, Experian offers a roadmap to tailor benefit strategies that meet the specific needs of employees. When modern employee benefits include robust, easy-to-use financial wellness tools, employees feel supported. By educating and enabling employees to address pressing financial and security concerns, employers are able to reduce stress, minimize distraction and improve job satisfaction. This can lead to better job retention and the ability to attract high-quality applicants. In short, modern benefits can be a potent tool that shows employers value their employees, while improving productivity and strengthening the business. Watch our recent webinar or visit our website to learn more about our financial wellness programs. Learn more Watch on-demand webinar