Recent research highlights a significant gap in employer support for UK workers amidst rising living costs.
- Only 40% of UK employees feel supported by their organisations during the cost-of-living crisis.
- Frontline workers report even lower support levels, with only 28% feeling aided by their employers.
- A disconnect exists between HR leaders’ perceptions and employees’ experiences concerning financial well-being.
- Reward and recognition programmes remain underutilised in addressing workers’ financial challenges.
Recent data reveals a concerning disparity in support provided by UK organisations to their employees grappling with the cost-of-living crisis. According to a survey, only 40% of workers feel their organisations are providing adequate assistance, with frontline workers experiencing even lower levels of support, at just 28%.
This disconnect is further exacerbated by the contrasting perceptions of financial well-being between HR leaders and employees. While a mere 5% of HR leaders acknowledge a significant decline in financial well-being over the last two years, 13% of employees have reported such a decline.
The priority placed on financial well-being also differs sharply, with 60% of employees ranking it higher than mental well-being, compared to 55% of HR leaders prioritising it. Furthermore, less than half of the employees believe their interests are genuinely represented by HR in boardroom discussions.
Despite good intentions, many HR leaders struggle to meet employee demands for better financial support. Pay rises and financial bonuses are identified by 62% and 53% of employees, respectively, as key methods of appreciation. Yet, around 64% of HR leaders find it challenging to offer these benefits due to financial constraints.
Notably, only 14% of HR leaders confirm their organisation provides financial assistance specifically to combat the cost-of-living crisis, despite 43% claiming some level of support exists. A significant 65% of employees feel more could be done by their organisations to assist them during these challenging times.
Employee turnover is a rising concern, closely linked to inadequate pay, which has led over 36% of workers to consider leaving their jobs. This situation underscores the urgent need for enhanced reward and recognition programmes.
The research highlights a gap in awareness and perception of such programmes. Although 65% of HR leaders affirm the existence of reward and recognition initiatives, less than half of the employees acknowledge their presence. Furthermore, only 43% of HR leaders believe these programmes are well-funded, with a notable 82% suggesting improvements are needed.
Chief People Officer Nebel Crowhurst of Reward Gateway stresses that effective reward and recognition schemes can alleviate financial stress, urging companies to make these programmes more visible and accessible to employees.
The disconnect between employees and employers over financial support amidst the cost-of-living crisis necessitates immediate action.
