Morgan Stanley at Work released insights from its fifth annual State of the Workplace Financial Benefits Study, revealing increased financial stress among employees and highlighting the critical role of workplace financial benefits in supporting employee wellbeing and strategic company goals amid economic uncertainty.
Rising Financial Stress and Employer Awareness
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66% of employees report financial stress negatively impacting work and personal life, up 4 points since 2024.
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83% of HR executives worry employee financial issues reduce productivity, a 5-point increase.
Employee Demand for Financial Support
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84% of employees want more active employer assistance with financial issues, especially high among Gen Z (95%).
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Employees prioritize support with retirement preparation, financial planning, and equity compensation.
Financial Planning Benefits Impact
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81% of employees feel pressured to accelerate financial planning efforts to recover lost time.
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67% of HR leaders agree financial planning support is essential for employee goals.
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90% of employees consider workplace financial benefits crucial to achieving personal financial goals.
Strategic Alignment of Financial Benefits with Company Goals
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59% of HR executives list hiring and retention as their top financial priority for 2025, followed by technology investment.
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82% of HR leaders are integrating generative AI into HR workflows.
Retention and Financial Benefits
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Benefits that reduce financial stress strongly influence employee job satisfaction.
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81% of HR leaders fear employees will leave if financial stress isn’t addressed by benefits.
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91% of employees say they would be more invested in their company if financial benefits met their needs.
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Key financial priorities for employees include savings, long-term investing, and debt reduction.
Opportunities for Improvement in Financial Benefits
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80% of HR executives receive requests for financial benefits not currently offered.
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93% of HR leaders and 85% of employees agree companies must better help employees understand and maximize financial benefits.
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Effective benefits education is crucial at important times like liquidity events or tax season.
Morgan Stanley’s study confirms that financial stress is a significant workplace concern and that well-designed financial benefits programs are vital to employee retention, satisfaction, and productivity. Companies that align their benefits with employee financial priorities and provide clear education can better navigate economic challenges while supporting both employee and organizational financial success.
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