Financial Wellness in Canada

Effects of High Financial Wellness Stress on Health and Personal Lives

• Mental Health Impacts:

  • Increased anxiety and depression
  • Sleep disturbances and insomnia
  • Heightened irritability and mood swings

• Physical Health Consequences:

  • Elevated blood pressure and risk of heart disease
  • Weakened immune system
  • Chronic fatigue and headaches

• Personal Life Challenges:

  • Strained relationships with family and friends
  • Reduced productivity and focus at work
  • Avoidance of social activities due to financial worries

• Workplace Effects:

  • Increased absenteeism and presenteeism
  • Lower job satisfaction and engagement
  • Higher risk of burnout

Recommendation: Employers can support employees by offering financial wellness programs, mental health resources, and stress management workshops. Digital group sessions through platforms like October can help employees learn coping strategies and reduce financial stress.

Effects of High Financial Wellness Stress on an Economy

• Reduced Productivity: Employees facing financial stress often have lower concentration and energy levels, leading to decreased workplace productivity.
• Increased Absenteeism: Financial worries can cause health and mental health issues, increasing sick days and absenteeism.
• Higher Healthcare Costs: Stress-related illnesses contribute to rising healthcare expenses for employers and the economy.
• Consumer Spending Decline: Financial stress limits disposable income, reducing consumer spending which slows economic growth.
• Increased Debt and Bankruptcy Rates: Individuals under financial strain may accumulate more debt or declare bankruptcy, impacting financial institutions and economic stability.
• Workforce Turnover: Financial stress can result in higher employee turnover, increasing recruitment and training costs for businesses.

Supporting employees with financial wellness programs or digital group sessions (such as those offered by October) can mitigate these effects by improving employees' financial literacy and stress management.

• Implement Financial Education Programs: Integrate mandatory financial literacy courses in schools and workplaces to improve money management skills.
• Increase Access to Affordable Financial Services: Promote low-cost banking, credit, and financial advisory services, especially for underserved communities.
• Provide Social Safety Nets: Strengthen unemployment benefits, healthcare support, and housing assistance to reduce financial insecurity.
• Encourage Employer-Supported Financial Wellness: Incentivize companies to offer employee financial wellness programs like budgeting workshops or debt counseling.
• Support Mental Health in Financial Services: Integrate mental health resources (like October’s digital group sessions) within financial wellness initiatives to address stress proactively.

 Ways a Company Can Lower Financial Wellness Stress

1. **Offer Financial Education Programs**  
   Provide workshops or digital sessions on budgeting, saving, debt management, and retirement planning.

2. **Provide Access to Professional Financial Advice**  
   Partner with financial advisors or counselors who can offer confidential one-on-one consultations.

3. **Implement Employee Assistance Programs (EAPs)**  
   Include financial wellness services within your EAP, offering support for financial stress and planning.

4. **Promote Transparent Communication About Benefits and Compensation**  
   Ensure employees clearly understand their pay, benefits, and any available financial support.

5. **Facilitate Access to Digital Mental Health Tools Like October**  
   Use October's digital group sessions and assessments focused on financial wellness to educate and support employees proactively.

By integrating these approaches, companies can significantly reduce employees' financial stress and improve overall workplace wellbeing.