A productive, engaged, confident, and less stressed workforce is a reality.
Your employees have been exposed to significant changes in the economy which may have impacted their wellbeing. The importance of providing financial wellbeing has grown dramatically and is now a board-level conversation. That’s where Financial Wellbeing from MHR comes in.
Financial wellbeing means business impact
The state of financial wellbeing
With the cost of living being a chief concern for employees of all salary brackets, more people are worrying about money than ever. The knock-on effects on mental health and productivity are huge, and can have a big impact on the workplace, costing UK organisations £2.5 billion a year.
What is flexible pay?
Traditional fixed pay cycles are functional, but flexible pay can unleash new levels of financial wellness. Flexible pay lets employees choose to access a percentage of their earned wages throughout the month, allowing them to shape their pay into a form that suits them. Cover unexpected costs, take advantage of opportunities, and pay bills in a way that’s part of a larger, sustainable budgeting strategy.
What is the value to employers?
Financial wellbeing is the single most inclusive benefit you can offer to your employees- because literally everyone can benefit from a better relationship with money. When financial wellbeing is at the heart of your thinking, you can create a stronger employer brand, enjoy engaged staff, and even see a reduction in attrition by as much as 16%.
What is the value to employees?
Financial wellbeing isn’t just for employees in crisis, who might be in debt or have to rely on additional help. Financial wellbeing can support all employees and help them feel more secure. From that, you see an increase in personal confidence, improved mental health, reduced stress, and better physical health as a result.
Data silos? What data silos? Financial Wellbeing from MHR fully integrates with our HR platforms
Discover the game-changing possibilities that financially secure employees bring to the table
Everything you need to know about financial wellbeing
FAQs
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Across all of the organisations who have implemented Financial Wellbeing from MHR, we find that individuals use the flexible pay feature in different ways depending on their circumstances:
- Some choose to use flexible pay as a way to manage their budget on a weekly cycle, and will regularly draw down the full amount of pay available to them each week
- Some people use flexible pay as their everyday payment tool, for example instead of using a credit card or overdraft. Many people report that they find using flexible pay better and safer for their circumstances because the mechanical link between earnings and pay means they cannot inadvertently overspend
- With 14m people in the UK having £100 or less in savings, some will rely on the feature to cover unexpected expenses such as a car repair or replacing an appliance, which can be highly problematic if there’s no money saved up to cover it
- Roughly 35% of individuals who use flexible pay report that their hours vary so substantially that some months they can pay all their usual bills and some months they cannot. They use flexible pay to smooth out lumpy cash flow month to month
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There is a £1.95 transaction fee for each withdraw.
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Employers can change their pay cycles from weekly to monthly pay to reduce internal costs, free up time for the payroll team and reduce risk of admin errors. Employees are therefore enabled to manage their pay frequency when it suits their lifestyle.
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No it is not. Flexible pay access gives employees access to a proportion of the money they’ve earned already that month, so they only ever access their own money. It is not a loan or salary advance.
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MHR Financial Wellbeing is available to every employee, regardless of their credit rating or financial history. They’re also founded and built by charities, with a social charter at their core, meaning they remain accountable for building an app focused on providing fair financial services for all.
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61% of users say their quality of life has improved because they have access to the app, while 67% say it makes them feel more in control of their financial future. Just under half (46%) have avoided a payday loan and 55% have reported an improved ability to plan their finances.
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An independent report from Ipsos MORI found that the platform reduces attrition and improves retention by up to 16%.
