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Employees Stress over Consumer Debt

Money problems may cause a reduction in employee?s productivity by 20% (equating to 4 missed days of work per month). With an individual`s annual wage of $30,000 (15% of employees are financially troubled) x 20%, the cost to an employer of 1,000 people is estimated at $900,000 annually.? According to the Bureau of Economic Analysis, consumer debt last year was almost $2,000,000,000,000.00 (Two Trillion Dollars).

This debt which includes credit cards and car loans but not home mortgages translates to some $18,700 per US household. It would be best if employers provided employees information about various financial solutions to help with consumer debt, credit issues and combat economic uncertainty - without focusing on a particular employee in general. That way, there are no privacy issues, but employees are empowered and businesses will benefit by a more productive and committed team.

The following are tips for employers to increase employee productivity:
? Educate employees on alternatives to their high interest rate credit cards. Provide solutions to reduce their interest rates and help educate them on creating a sensible budget.
? Partner with a company that will help educate employees, at no cost, on financial matters.