The cost of living crisis: Five ways you can support your employees
Employers shouldn’t leave their people to cope with rising prices on their own – here’s how you can help to ease the strain.
It’s no secret that prices are rising faster than they have in a generation. Inflation is heading rapidly for double figures, energy bills have doubled in 12 months, and millions of employees are feeling the squeeze. According to a survey by the Post Office and The Trussell Trust, 38% of Brits had to choose between heating or eating in the three months from November to January.
At the same time, employers are facing a slowing economy and the prospect of recession – financial reality dictates that simply offering more pay is not an option for many. Research by the Chartered Management Institute in April found that almost half of UK organisations (48%) were not planning to offer any pay rise at all this year, due to fears over their future financial performance. Of those that were, the average uplift was 2.8%, a long way short of keeping up with prices.
Does that mean employers should simply leave their people to face the challenge alone? No, says Francis Goss, director, people experience consulting at Gallagher: “Employers are in a unique position to support their employees through financial difficulties. In doing so, they are discharging their social responsibility as an employer, as well as delivering better business outcomes for all. When employees are worried about how they are going to pay their bills or put fuel in their car, it’s not surprising that the financial stress can have a negative impact on their work, so anything that employers can do, even with limited budgets is welcomed.”
