Employee Benefits
Today’s employees are more likely to fall into financial difficulty than they were 30 years ago, according to new research from Cass Business School and Income Protection provider Unum.
Although the workplace has changed dramatically, employee benefits haven’t kept pace. The research shows that older workers, people with caring responsibilities and those with long-term illnesses are most at risk, and that women are more likely than men to fall into these groups.
Linda Smith, HR Director at Unum, has put together these tips to help you get the right financial protection at work.
1. Review your financial needs
We all have different priorities when it comes to our finances, so take time to think about your financial needs and the employee benefits that best match them.
Our research shows that if you are older, have caring responsibilities or have a disability or long-term illness you might be more financially ‘at risk’.
2. Check your employee benefits
Most of us don’t know what employee benefits we are entitled to at work, yet they can provide vital protection if you are one of the 300,000 people who go on long-term sick leave each year, if you leave work to care for a family member, or if you retire.
If you don’t have the protection you need, ask your boss if they will provide it as part of your benefits package. It’s cheaper to get protection through work than to buy it yourself and if you have an existing illness you’ll often be covered.
3. Get a back-up plan
The number of employees with disabilities or long-term illnesses has increased by 11% in the last 30 years, yet 90% of people have no financial back-up plan to protect them if they cannot work due to illness or injury.
To make sure you’re protected, ask for Income Protection as part of your benefits package. It provides a regular replacement income if you’re off sick for six months or more and pays up to 80% of your salary until you can return to work or retire.
Most policies also come with a rehabilitation service to support you and your employer if you choose to return to work.
4. Make plans for retirement
By 2020, a third of the UK’s workforce will be over 50. Yet we’ve found that more and more workers are under-prepared for old age and will struggle to support themselves in retirement.
Where you can, try to contribute a higher proportion of your salary to your workplace pension scheme and ask your boss to do the same.
5. Ask for flexible working
There are a far greater number of employees with caring responsibilities than 30 years ago - both for children and older relatives. It can be tough to juggle these responsibilities with work, so ask your employer if they will allow flexible working - whether that’s working remotely or having flexible hours.
6. Don’t be afraid to ask your boss
Talking to your boss isn’t as scary as it sounds - recent research showed 46% of employers who’ve introduced a new employee benefit in the last 12 months were influenced to do so by their staff.
And offering financial protection makes sense for your employer too: financial insecurity has a negative impact on employee wellbeing and productivity.
Tagged in Money