Research indicates that financial wellbeing has one of the biggest impacts on overall personal wellbeing, making its influence in the resources industry profound.
Australian resource industry workers on average earn up to 40 per cent more per week than other industries but they tend to also work longer than average hours, live away from family, operate in remote areas and perceived hazardous environments, and have high job turnover.
Importantly, many resource sector workers have little knowledge of how to manage their financial situation, meaning that future planning is often precarious or even overlooked.
This is leading to anxiety amongst some in the workforce, with personal finance now the leading cause of stress for men and women.
Financial distress reduces productivity, increases absenteeism and undermines health. Even small amounts of income uncertainty are linked to reduced personal wellbeing which is greatly exaggerated among males and those who are in troubled relationships or separated.
An individual’s ability to perform at work while feeling stressed can adversely affect productivity and this is costing Australian businesses more than $10 billon per annum in lost productivity and absenteeism alone.
There is no doubt that employers must recognise work-related stress as a significant health and safety issue and that adopting preventative measures to combat stress may be more cost effective than searching for a cure.
So how does the resources industry take the lead on financial wellbeing and ensure that its employees are financially healthy?
The key is to facilitate a better understanding of financial concepts through education and personalised engagement.
It is important that resources workers receive the best financial literacy and education available to ensure sufficient knowledge of their personal financial situation and how to properly manage it to prepare for the future.
Educating and supporting employees to manage their superannuation is essential to contributing to their sound financial future while educating employees about financial concepts enables them to make decisions advantageous to their financial wellbeing.
Additionally, financial education in the workplace connects organisational productivity with a financially capable workforce. This, in turn, mitigates stress levels.
To find out more about how you can contribute to employee wellbeing, download Resource Super’s free white paper.