Bosses are financial gurus, according to staff

Nearly a half of UK employees look to their employers for guidance about their finances, according to research by investment and pension technology company, Equiniti. 

In the survey of more than 6,000 savers and investors, almost a half indicated that they would like their employer to provide financial education that informs their investment decisions. 

A similar number opined that, when it comes to making informed decisions on savings and investments, they do not receive sufficient workplace support. 

The upshot appears to be that employees are reluctant to make investments. 58 per cent indicated that they do not save or invest as much as they would like to, with one in five blaming this on uncertainty about what to do next.

But as Phil Ainsley, managing director of Equiniti’s employee services business, points out, employers can provide their staff with a valuable gateway to financial security.

“Of the people we surveyed, many got into investing through their employer when they joined a company share plan,” he says. “Coming from the same source as their salary and pension, it’s unsurprising they look to their employer for further guidance.”


One employer leading the way in financial education is Old Mutual. The investments and savings organisation provides its staff with a regular flow of financial information, personalised to their particular circumstances. Employees receive the information via a series of online “nudges”, automatically triggered by certain events such as lifestyle or legislative changes.

Nationwide Building Society is also helping its staff to plan for the future, with the introduction of an online retirement planning tool. The resource educates employees about how much money they may need in retirement, allows them to set income goals, and helps them to make financial decisions to achieve these. 



Speaking on the topic, Just Recruitment Ltd director, Emma Kershaw, says: “It's one thing to offer financial incentives to staff in an effort to drive productivity and loyalty. But in order to help them make the most of such opportunities, employers should seriously consider providing guidance and support that informs their decisions.

“Then, staff will not only gain from the chance to invest for the future. They'll have every hope of doing so wisely, and in a way that matches their needs and aspirations."

 © 2018 Just Recruitment Group Ltd. 

Posted on Monday Dec 5