Why HR teams are being asked to solve problems they didn't create
Why HR teams are being asked to solve problems they didn't create
The role of HR has changed considerably over recent years. Alongside recruitment, employee relations and workforce development, HR teams are increasingly involved in supporting the wider wellbeing of employees.
This often means helping people navigate challenges that extend far beyond the workplace, from mental health concerns to financial pressures and uncertainty about the future.
While employers cannot control the cost of living, mortgage rates or employees' personal circumstances, these issues can still influence how people feel and perform at work.
For HR professionals, this creates an interesting challenge. How can businesses provide meaningful support for problems they haven't created, without placing even greater demands on the people responsible for employee wellbeing?
When personal financial pressures enter the workplace
Financial concerns rarely remain separate from working life. An employee worried about meeting their mortgage repayments or managing household expenses doesn't simply leave those concerns behind when they arrive at work.
These pressures can affect concentration, confidence and overall wellbeing, sometimes in ways that aren't immediately obvious to colleagues or managers.
Research from the Chartered Institute of Personnel and Development (CIPD) highlights the extent of this challenge. In its 2025 Good Work Index research, 31% of employees reported that money worries had negatively affected their performance at work.
Financial concerns also affect people differently. Someone struggling with everyday household expenses may have very different worries from a colleague approaching retirement or preparing to buy their first home.
For employers, recognising these differences is important. Financial wellbeing isn't necessarily about whether someone earns a good salary. It's also about how confident and secure they feel managing their financial circumstances.
Why HR teams are feeling the pressure
Supporting employee wellbeing has become an established part of modern people management. Businesses increasingly recognise that employees' experiences outside work can influence their wellbeing, engagement and performance.
However, identifying an issue and knowing how to address it are two very different things.
HR professionals already balance numerous responsibilities, from recruitment and retention to compliance, performance management and organisational development.
Financial wellbeing introduces another consideration, often involving questions that require specialist knowledge.
An employee might want to understand their pension options, explore mortgage affordability or consider how to protect their family's financial future.
These are important questions, but they're not necessarily ones an HR professional is qualified or expected to answer.
The challenge, therefore, isn't simply recognising financial wellbeing as an important issue. It's finding an appropriate way to support employees without expecting HR teams to become financial experts themselves.
Financial wellbeing is about more than salary
When discussing financial pressures, it's natural for conversations to turn towards pay.
Competitive salaries and fair remuneration remain essential. However, increasing someone's income doesn't automatically resolve every financial concern they may have.
Financial wellbeing also involves understanding financial options, making informed decisions and feeling prepared for future circumstances.
For example, an employee considering their first mortgage may benefit from understanding the borrowing process and their available options. Someone approaching retirement might want greater clarity about their pension arrangements and future income.
Others may be interested in protecting their family financially, building savings or understanding how different financial decisions could affect their longer-term plans.
The Money and Pensions Service describes financial wellbeing in terms of feeling secure, in control and able to manage both everyday finances and future needs.
This broader perspective creates opportunities for employers.
While businesses cannot remove every financial challenge employees face, they can help people access information, education and professional support that might otherwise be difficult to find.
Importantly, this doesn't have to involve changing existing salary structures or introducing expensive new benefits.
What meaningful financial wellbeing support looks like
Financial wellbeing initiatives are most effective when they reflect the circumstances and needs of the people they're designed to support.
A generic presentation about managing money may provide useful information, but employees are unlikely to share identical financial priorities.
A workforce could include graduates managing their first salary, parents considering larger homes, employees reviewing their pensions and individuals preparing for retirement.
Providing access to a range of financial topics allows employees to engage with information that's relevant to their own circumstances.
Practical support might include:
- Financial education workshops: Helping employees understand topics such as pensions, mortgages, savings and financial planning.
- Access to professional expertise: Providing opportunities to speak with appropriately qualified specialists about individual circumstances.
- Mortgage guidance: Helping employees understand the homebuying process, remortgaging and available borrowing options.
- Pension and retirement education: Supporting employees in understanding their existing arrangements and considerations for later life.
- Financial protection information: Raising awareness of options that may help protect employees and their families against unexpected events.
Confidentiality is another important consideration. Financial circumstances are personal, and some employees may be reluctant to discuss their concerns with colleagues or managers.
Providing access to external professionals can help establish appropriate boundaries between personal financial matters and an employee's relationship with their employer.
Ultimately, the objective isn't to tell employees what to do with their money. It's to help them understand their options and access the right support when they need it.
Supporting employees shouldn't mean more work for HR
One of the biggest considerations when introducing any new employee benefit is the time and resource required to manage it.
Even worthwhile initiatives can become difficult to sustain if they create additional administrative responsibilities for an already busy HR department.
Financial wellbeing support should therefore be practical, accessible and straightforward to coordinate.
Working with an external financial services provider can offer a solution, allowing employers to introduce specialist support without developing that expertise internally.
For example, financial education sessions can be arranged around topics that reflect the needs of the workforce, while individual employees can be directed towards appropriate professional support.
This approach also helps establish clear responsibilities.
HR teams can focus on understanding employee needs, communicating available benefits and encouraging participation. Qualified professionals can provide the specialist financial knowledge and, where appropriate, regulated advice.
Rather than becoming another substantial responsibility, financial wellbeing can become a valuable addition to an existing employee benefits and wellbeing strategy.
Sharing the responsibility for financial wellbeing
Employers cannot eliminate the financial pressures people experience outside work, nor should HR teams be expected to resolve every personal challenge affecting employees.
However, businesses can make a meaningful difference by recognising where support might be valuable and helping employees access the right expertise.
Financial wellbeing is increasingly relevant to wider conversations about employee engagement, workplace culture and long-term wellbeing.
For organisations exploring how to strengthen their employee benefits, the focus should be on finding an approach that's useful for employees and manageable for the business.
At Chesterton Grant, we work with businesses looking to provide practical financial wellbeing support for their employees. By helping people access financial education and professional guidance, we aim to make financial matters easier to understand, without creating unnecessary additional work for HR teams.
If you're considering introducing financial wellbeing support within your organisation, get in touch with our team to discuss how we could help.
