Posted by Health Wellness | Posted in workplace wellness | Posted on 25-06-2010
Do you know the fastest-growing reason for employee assistance program (EAP) use since 2003?
It isn’t for substance abuse or depression. Actually, it’s financial in nature. Over the last five years, there’s been a stated 69% jump in employee EAP use related to personal financial concerns.
The trend isn’t all that surprising in this era of salary freezes, high deductibles and cost-sharing of benefits premiums.
Statistics show that, for the first time since the Great Depression, the typical American has negative savings – in other words, debt exceeds income – in a typical month.
A lot of employees are racking up high credit card debt, make the problem worse.
Here are some ominous numbers from a recent staff member survey –
27 percent of respondents said they were “one major setback away from financial disaster”
22 percent say they were “worse off than last year, with less take-home income and more debt”
40% say their company is “insensitive to their employees’ financial needs,” and
only 6% said they felt comfortable with their current financial situation and ability to manage their debts.
The majority of personal-finance related employee assistance program (EAP) use arises from concerns over debt management, household refinancing and/or failed investments.