Are Lawyers Struggling to Meet Day to Day Financial Needs?
A nationwide study of the financial wellbeing of UK workers ‘The DNA of Financial Wellbeing 2017’ report1, reveals that 31% cite finance as their biggest concern. However, nearly half of HR directors think that their employees biggest concern is work life balance (48%) and career development (43%), demonstrating a mis-alignment between employee and employer.
The findings from Neyber, the financial wellbeing company, highlights that half (50%) of lawyers are borrowing money to meet their basic financial needs, with 17% of lawyers over the age of 65 using credit cards to supplement their income and 14% of lawyers using their overdraft to make ends meet.
An increase in so-called zero hour contracts means that 35% of those working in the legal sector have an income fluctuation of more than 10% each month. This is significantly undermining people’s ability to manage the money on a day-to-day basis, budget, plan and save. More over this fluctuation in income is contributing to financial exclusion due to an inability to access cost effective financial products.
With mental health currently high in the public consciousness, Neyber has revealed that almost a third (30%) of lawyers are suffering from financial stress.
Monica Kalia, Co-Founder and Chief Strategy Officer of Neyber said: “At a time when personal finances are under increasing pressure, employers have a duty to offer greater support to their employees. We are calling for more companies to provide a facility to allow employees to have access to financial education tools, saving facilities and access to low cost loans. Financial wellbeing should be included in every company’s employee engagement strategy. It’s the right thing to do and a financially resilient workforce can only be positive for the company and the UK economy as a whole.
Monica Kalia continues: “The good news is that more businesses realise that staff with financial worries also struggle at work and firms are waking up to ways to help them.”
The report also highlights a divergence between employer engagement around financial wellbeing and the wishes and needs of their workers. For instance, 43% of employees have, or would like access to financial education and awareness from their employer whilst 36% of HR directors rank performance management as their main priority.
(Source: Neyber)
