Editor’s note: For a full methodology, see the footnote of this article.
Last year at the 2018 HR Southwest Conference, DailyPay surveyed conference attendees to discover what HR professional identified as their key priorities for 2019.
Now that we're through the first quarter of 2019, and moving into the HR conference season, we're sharing the results of that survey to see if we're still aligned on HR priorities.
This infographic highlights they key findings the end of 2018:
As you can see, the four most common initiatives include:
- Reduce Turnover
- Improve Recruiting
- Improve Productivity
- Increase Engagement
In order to achieve these strategic goals, HR operators need to get a holistic view of what employees need, and what the fiscal impact would be if these initiatives are not met.
Accounting for Employees Fiscal Well-Being
Just this week, the Wall Street Journal reported on a soon-to-publish Federal Reserve Survey that states that, "one-third of middle-class American adults couldn’t afford a $400 surprise expense, and some 6% also couldn’t manage such a cost even by borrowing money or selling something."
These bleak numbers mean that much of the American workforce is financially stressed, because the inability to cover unexpected expenses can create a never-ending debt cycle fueled by:
- Overdraft fees
- Payday loan interest
- Credit card interest
The silver lining might be that, of those HR Pros we surveyed at the HRSouthwest Conference, they truly understand and empathize with their employees struggles. Survey results showed that 69% of respondents reported that they think their employees are financially stressed.
However, of those who shared their input, 62.5% said their organization doesn't have a financial wellness program, or they didn't know if their organization was planning to offer a financial wellness program.
HR Priorities for Healthcare Businesses
Based on our survey, the top three strategic priorities for healthcare HR professionals related to HCM in 2019 are:
- Increase engagement
- Improve productivity
- Reduce turnover
Of those we spoke to at HR Southwest, 71.4% of respondents think their employees are financially stressed, but only 42.8% currently have a financial wellness program at their company or are looking to invest in financial wellness in 2019.
71.4% of respondents in the healthcare industry weren't familiar with the concept of a daily pay benefit.
HR Priorities for Manufacturing Businesses
Of those we spoke to in the manufacturing industry, 55.5% of respondents reported “reducing turnover” as their highest HCM priority in 2019.
In manufacturing, 88.9% of HR professionals think their employees are financially stressed but 77.7% either don’t have a financial wellness program in place or aren’t looking into invest in financial wellness in 2019.
Of interest, more than half (55.5%) of respondents reported that their employees have asked for a paycheck advance.
How to Mesh Business Needs and Employee Needs
Providing a safeguard against unexpected expenses can be the first steps in providing employees with financial wellness. A daily pay benefit can have a noticeable impact on employee productivity, engagement, and retention. Through financial wellness benefits, employees can live more financially fit lives. And, as their stress decreases, they are likely to attribute their newfound comfort to employers who helped them.
Happy employees translate into tenured and highly productive employees, which help protect an employer's bottom line.
Even though the logic is simple, according to our survey at HRSouthwest, 62.5% of respondents don’t have or don’t know if they had a financial wellness program established at their place of work (which is arguably the same issue).
Luckily, there are easy options for financial wellness that benefit both parties.
DailyPay gives your employees financial freedom by allowing them access to their earned but unpaid wages before payday. And, DailyPay comes at no expense to the business. According to our data, companies who offer DailyPay:
- Reduce turnover between 41-77%
- Fill vacant job openings 52% faster
- Improve productivity by 30%
Enter the new year with a plan of attack. Join the growing number of organizations who are prioritizing employee financial wellness to help recruit and retain their top talent.
Want to learn more about how DailyPay works?
While at the HRSouthwest Conference held in Fort Worth, Texas this October, the DailyPay team conducted a survey to understand the HR priorities respondents have for the upcoming year. Of the 58 responses, the primary sectors account for were the following three:
- Government (Local, State, Federal): 19%
- Manufacturing: 15.5%
- Healthcare: 12.1%
Of those who responded, primary professional titles include:
- Directors: 17%
- HR Generalist: 12%
- HR Managers: 12%
- VP: 8.6%