Workers in Scotland take more than 800,000 days off a year due to money worries, according to newly released research.
These days off, combined with time lost due to employees with money worries not concentrating at work, is costing Scottish businesses £289 million in lost output every year.
Based on a variety of factors, including their capacity to absorb financial shocks and meet financial goals, the findings suggest workers in Scotland experience poor financial well-being compared with other regions:
- Only 25% of Scots said they could financially handle a major unexpected expense, compared to more than a third (37%) of Londoners
- 43% are concerned that the money they have now or will save won’t last in the future
- Nearly a third (28%) admit to just ‘getting by’ financially, compared to one in five (19%) Londoners
Poor financial well-being is leaving workers in Scotland with a gloomy outlook for their financial future; nearly a third (28%) say they cannot enjoy life because of financial worries, while two in five (40%) feel they will never have all the things they want in life because of their financial situation. Yet, 41% said they are doing everything they can to secure their financial future.
Workers in Scotland point to high house prices (50% and rental costs (45%) and insufficient pay rises (58%) as the greatest barriers holding them back from securing their financial future. While bills and the rising cost of living combined with credit card debt and loans are the two biggest worries playing on Scottish workers.
The report reveals employers could be doing more to improve employees’ financial wellbeing; three quarters (73%) of Scots reported that their employer does not offer any financial education.
The findings follow research published by the Centre for Economics and Business Research and Aegon, which found UK employees take more than four million days off work each year because of financial worries.
This costs the British economy £1.6 billion a year in lost productivity.