Half of UK employees anxious about their financial future

 

A new study reveals that half of UK workers are concerned about their financial future and one third expects to leave their job in the next two years because of stagnant salary concerns. 

Willis Towers Watson’s Global Workforce Study concludes that employers need to address pay and how it is delivered as a key element in attracting and retaining top talent.

Ranking salary as the number one reason to leave a job, the research confirms the continued existence of money worries in the workforce. Just a half of workers also feel that what they get paid is fair.

The research is revealed at the same time as Willis Towers Watson’s global study of companies reveals an upturn in the jobs market.

Their Global Talent Management and Rewards Survey indicates that a third of employers have increased their hiring activity on the previous year. Another third report that employee turnover is rising and are concerned about the increasing challenge of retaining their best talent.

Just 33% of employers feel that their organisation hires highly qualified employees, while even fewer (23%) think their company does a capable job of attracting and retaining the most appropriate talent.

The two reports highlight a disconnect between what employees want from their employment and what companies think are key drivers of attraction and retention.

The reports also indicate that companies underestimate the value candidates put on job security and overestimate the importance of relationships with managers.

Willis Towers Watson also highlighted the importance of effective employee engagement to retention.

Tom Hellier, GB Practice Lead, Rewards, at Willis Towers Watson, said: “As churn increases in the labour market, employers need to get savvier about what makes staff tick. Increased pay transparency through websites like Glassdoor, coupled with mounting anxiety fuelled by headlines about stagnant pay growth, has re-focused workers’ minds on their salary and whether they are getting a fair deal. 

“Putting more money into the salary budget is a difficult task for business leaders in the current economic climate. However, with talent mobility on the rise, employers might benefit from listening more closely to their employees and paying attention to available data on the drivers of attraction and retention.

“Shrewd employers recognise the cost of not securing talented candidates and of high staff turnover in terms of frequent recruitment investment, but many still underestimate the impact to their bottom line from reduced productivity among employees resulting from high levels of disengagement. In contrast, improved employee engagement would help UK employers improve their financial performance with the talent they already have today.”

Thursday, 3 August 2017

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Half of UK employees anxious about their financial future