23 November 2024

Diversity and Inclusion Key to Financial Wellness Programs

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Employers are bolstering financial “wellbeing” programs to help ease pandemic-related financial strain, with an emphasis on diversity, equity, and inclusion (DE&I), according to a new report by Alight Solutions.

According to Alight’s 2022 Hot Topics in Retirement & Financial Wellbeing report, seven in 10 employers are creating or implementing a financial wellbeing strategy and another 17% say their strategy is fully executed.

Overall, 83% intend to include diversity, equity, and inclusion in retirement and financial wellbeing programs by taking steps like reviewing communication materials with an eye toward DE&I, measuring financial wellness by different employee segments, and leveraging employee resource groups to discuss retirement and financial wellbeing topics.

“For the first time, we asked employers about their plans to expand DE&I in their retirement and financial wellbeing programs and the answer was a resounding yes,” Rob Austin, head of research at Alight, said in a statement. “Many companies are realizing that focusing on DE&I can help with attraction and retention of workers while helping promote a more equitable environment. It comes as no surprise that we’re seeing the DE&I focus extend to employee benefits now.”

The employer approach 

In addition to a focus on DE&I programs, the report also identified other key strides employers are making when it comes to their approach to retirement and financial wellbeing:

57% of employers are satisfied with the participation rates of their defined contribution plans– up from 46% in 2018.

There’s been rapid growth in the percentage of employers offering specific tools to help with topics including

budgeting (35% in 2018 to 59% now),

debt management (27% in 2018 to 51% now)

and financial planning (28% in 2018 to 52% now).

Click here for the original article.

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