The UK is on course for a “severe” cost of living crisis which is set to leave families with significantly less cash for spending, a new report has found. According to data from Retail Economics and HyperJar, the least affluent households will see their discretionary income fall by 19.5% per household, or almost £850 ($1,116), as food, clothing, fuel and energy prices continue to soar, and wages lag behind inflation.
How can organisations ensure their workers’ financial wellbeing doesn’t suffer? Solutions like Earned Wage Access (EWA) can really make a difference for employees that need to access their wages and not wait weeks for a payday.
Steve Tonks, SVP – EMEA at WorkForce Software, spoke with Yahoo News about improving the employee experience through EWA and how important it is for today’s employers to offer technology solutions that meet the needs of the modern workforce.
“Rising inflation and corporate energy bills mean many business leaders struggle to balance employees’ financial wellbeing with business fiscal concerns,” Tonks says. “But, that doesn’t mean organisations are powerless. EWA is a simple yet highly effective way to improve the employee experience, while helping workers to better manage their finances both in the short and long term.”
Tonks adds that employers have a responsibility to break outdated pay cycles, now more than ever. If it is made a long-term corporate social responsibility initiative, employees will feel better supported through ongoing education and advice on money management.