As the annual Mental Health Awareness Week kicks off in the UK, employers and payroll teams have been encouraged to adopt modern pay processes to bolster employee wellbeing during the challenging economic climate.
At a time when data reveals that 47% of UK adults are concerned about their finances, global pay specialist, CloudPay, has advised firms to offer modern payment models to their staff to better support their financial circumstances.
Flexible, modern pay strategies provide a more holistic solution to employees, by incorporating pay-on-demand models which enable workers to access their accrued earnings as and when they are needed, along with other employer-led support like financial education.
Borja Perez, VP Products, Payments at CloudPay, commented on the impact that modern pay models can have on employee mental health.
“Financial challenges are one of the key drivers behind the growing mental health crisis in the UK, and we urge employers to consider the ways in which they could more effectively support their staff. Businesses are also struggling, and few can offer salary increases to their employees, however there are other solutions available to them. Offering flexible and modern payroll options can help staff to meet the challenges of the wider economic climate at a time when many are struggling, and means they are less likely to rely on loans or overdrafts, if those scenarios do arise.
“The modern pay experience needs to align with what employees are actually looking for, and with the immediacy and reactivity found in other aspects of day-to-day life, which will help businesses to more effectively support their workers. Other areas of a modern pay experience include providing access to more holistic benefits, like financial education packages, which can better equip employees to deal with challenges that may arise.”