Making new connections: health, finances, and workplace engagement.

Making new connections: health, finances, and workplace engagement

Connecting the dots to help improve workplace productivity & engagement

Mental health in the workplace

1 in 3 workplace disability claims are now related to mental illness1

Half of all workers in Canada say they have or have had a mental health issue

2

Almost 90% of employers identified stress as the most significant mental health concern

3

1. Sairenen, S., Mantzanke, D., Smeall, D. (2011)2. Conference Board of Canada (2011)3. Ceridian Workplace Wellness Survey (2013)

Sources of stress

Industry restructuring, a challenging economy and family/personal environment can all be sources of stress

However, almost 3 out of 4 Canadians are also carrying large amounts of debt1

The average Canadian owes $1.65 for every dollar of disposable income earned2

With consumer debt so high and mental health claims increasing, Manulife wanted to explore the links between employee financial stress, physical health and mental health to see how that affected performance on the job

1. CIBC Debt Poll, May 20122. Financial Post/Bloomberg News, Mar. 15, 2013

The 2014 Manulife/Ipsos Reid Health & Wealth Wellness Study

2000 working Canadians

Working 20+ hours

Ages 25-65

Half with plans

Varying income levels

Methodology

The “Financially Prepared” vs. the “Financially Unprepared”

Financially Prepared:

Has a financial plan

Has a debt management plan & appropriate level of debt

Saving sufficiently for retirement

Financially Unprepared:

No formal financial plans

High debt levels, maxing out credit, minimal savings

Not saving for retirement

Employee Engagement

Cares about their work and accomplishing company goals

Isn’t working just for the money, they truly want to be there

Engaged employees go the extra mile

Takeaway 1

There are strong links

between how financially

prepared an employee

feels, and how healthy,

engaged and productive

they are in the workplace.

Takeaway 1

The financially unprepared are:

Twice as likely to be distracted by financial worries

Takeaway 1

The financially unprepared are:

MORE LIKELY TO BE LIVING PAYCHEQUE TO PAYCHEQUE

AS LIKELY TO BE HAVING DIFFICULTY MAKING ENDS MEET

MORE LIKELY TO BE DISTRESSED ABOUT FINANCES

GREATER LIKELIHOOD TO BE WORRIED ABOUT FINANCIAL STATE OF HEIRS

Takeaway 1

The financially unprepared are:

MORE LIKELY TO BE WORRIED ABOUT LACK OF EMERGENCY MONEY

MORE LIKELY TO MAX OUT CREDIT CARDS

LESS LIKELY TO HAVE A RETIREMENT SAVINGS GOAL

MORE LIKELY TO STRESS OVER LACK OF RETIREMENT PLAN

Takeaway 1

1 in 5 employees are financially unprepared

Takeaway 1

The financially prepared are:

MORE LIKELY TO BE ENGAGED AT WORK

MORE LIKELY TO BE ENJOYING THEIR WORK

MORE LIKELY TO SAY THEY’RE LEARNING NEW THINGS

MORE LIKELY TO BELIEVE OPINIONS ARE VALUED

MORE LIKELY TO FEEL SUPPORTED IN CAREER

MORE LIKELY TO SAY KNOWLEDGE AND SKILLS ARE USED

Takeaway 1

The financially prepared are:

MORE LIKELY TO BE MOTIVATED TO DO THEIR BEST

MORE LIKELY TO SAY THEY’RE PRODUCTIVE

Takeaway 2

There is a positive link between health and financial wellbeing.

Employees that are financially prepared are more likely to be healthier than those feeling unprepared.

Takeaway 2

Financial wellbeing and health

More likely to exercise 1+ hours weekly

More likely to identify as being very healthy

Takeaway 3

Having a workplace benefits and retirement savings plan is a way to become financially prepared.

Takeaway 3

MORE LIKELY TO BE FINANCIALLY PREPARED THAN THOSE WITHOUT PLANS

OF THOSE WITH WORKPLACE PLANS WERE FINANCIALLY PREPARED

OF THOSE WITHOUT WORKPLACE PLANS WERE FINANCIALLY PREPARED

MORE LIKELY TO HAVE A PERSONAL RETIREMENT SAVINGS PLAN

MORE LIKELY TO HAVE A PERSONAL DEBT MANAGEMENT PLAN

Individuals with both workplace benefits and retirement savings plans:

Takeaway 4

Financial advisors improve chances to be financially prepared.

Takeaway 4

5x more likely to have a financial advisor

3.5x more likely to have set retirement goals

Encourage your employees to become financially prepared

Encourage your employees to stay active and lead a healthy lifestyle

Encourage your employees to find and work with an advisor

Thank You