As we head into 2025, financial worries are affecting many employees. For HCM professionals, understanding what’s causing financial stress and implementing supportive measures can help create a workplace that takes the pressure off employees and builds a more resilient team.

The Financial Landscape: What Employees Are Worried About As We Head Into 2025

1. Economic Uncertainty

Markets are fluctuating, inflation is rising and industries are shifting globally. Many employees are unsure about their income and investments. This uncertainty is particularly stressful for those nearing retirement or those who have seen their investments fall in value.

2. Rising Living Costs

Cost of living is going up – from groceries to healthcare. Many employees feel their salaries haven’t kept pace with inflation and they’re feeling the pinch and struggling to cover the basics.

3. Debt and Loan Repayments

Credit card debt, student loans and mortgages can be crushing, especially in times of economic stress. Employees with high debt burdens worry about paying the bills, interest rates, and their overall financial future.

4. No Emergency Savings

According to recent research, many people have limited savings to cover emergencies and that’s adding to the financial stress. Employees facing unexpected expenses – whether due to health issues or family needs – feel particularly exposed.

HCM’s Job: Addressing Financial Stress and Supporting Employee Wellbeing

Financial wellbeing is linked to overall employee health and productivity. When financial stress is high it impacts mental wellbeing, job satisfaction and engagement.

How to support employees in building financial resilience and stability in economic uncertainty:

1. Financial Education and Resources

One of the best ways to reduce financial stress is to give employees access to reliable resources and education. Run financial wellbeing seminars that cover the basics – budgeting, managing debt, investment 101. Partner with financial experts or institutions to deliver accessible information so employees can make informed decisions.

Implementation Tip: Run a financial wellness program that includes workshops, webinars or one-on-one sessions with financial advisors. Make these sessions available during flexible hours or online to cater to different schedules.

2. Promote Employee Assistance Programs (EAPs)

Many organisations have Employee Assistance Programs (EAPs) that include financial counselling services, but employees may not be aware that they can provide financial advice. Regularly remind employees about the support options available and how confidential and supportive these resources are.

Implementation Tip: Promote EAP resources through various channels – email reminders, team meetings and HR newsletters. Consider personalising EAP promotions during times of high financial stress – after holiday spending or tax season.

3. Flexible Benefits

Consider developing or enhancing benefits that support employees’ financial needs. Flexible benefits like emergency loans or pay-on-demand programs can help employees manage cash flow without resorting to high interest credit. Consider offering retirement savings matching or financial planning assistance to support long term financial wellbeing.

Implementation Tip: Survey employees to find out what type of financial benefits would be most valuable, then work with benefits providers to create a bespoke package. Share these options in onboarding and through regular HR communications.

4. Remove the Stigma Around Financial Stress

Financial stress can be stigmatized, so employees feel embarrassed or alone. Creating an open culture where employees feel comfortable talking about financial worries can help reduce this stigma. Encourage managers to be understanding about financial pressures and offer support, not judgment.

Implementation Tip: Train managers to recognize the signs of financial stress and approach conversations with empathy. Tell them financial wellbeing is part of overall wellbeing and that they are there to support not judge.

5. Practical Financial Tools and Resources

Tools like budgeting apps, debt management guides and access to emergency savings programs can give employees control over their finances. HCM professionals can share these tools in company newsletters or financial wellbeing events.

Implementation Tip: Create a list of recommended financial resources – trusted budgeting and financial planning apps – and put them on the company intranet. Highlight free tools employees can access in their own time to develop financial skills.

Practical Tips for Employees to Build Financial Resilience

Giving employees tangible actions to take independently can also reduce financial stress. Share these with employees in company communications:

  • Set Financial Goals: Setting financial goals helps employees focus on progress, not the bigger picture. For example, saving a small amount monthly or cutting back on non-essential spending can give a sense of achievement and control.
  • S-O-S for Financial Wellbeing: This approach encourages employees to stay-informed (S) self-care (O), and seek support (S). Tell employees what they can control and to take small, manageable steps to build financial security and let go of worries about market fluctuations or external forces.
  • Practice Positive Mental Health Habits: Since financial stress affects mental health, remind employees to do activities that support wellbeing like exercise, sleep and time with loved ones. These habits build resilience and reduce the impact of stress on overall health.

A Financially Resilient Workforce

Supporting employees’ financial wellbeing requires a proactive and understanding approach. By understanding and addressing the root causes of financial stress, HCM professionals can help employees feel more secure, focused and supported. When times are tough, a wellbeing approach that’s empathetic and holistic can make all the difference to employee engagement and morale.





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