Financially troubled employees are more likely to smoke, eat unhealthy diets and be overweight and are less likely to exercise regularly, researchers found.
In a survey conducted by Two Medicine Health & Financial Fitness in Bozeman, Mont., one-third of school, hospital and technology employees surveyed reported being so depressed that they could not perform the tasks expected of them at work, and this was directly related to high levels of financial distress.
"Financially distressed employees have trouble functioning in their jobs, and this is hurting their physical health as well as taking a bite out of the employer's bottom line," said E. Thomas Garman, president of the Personal Finance Employee Education Foundation (PFEEF).
Such lifestyle risks contribute to poor health outcomes – another factor connected with reduced workplace productivity and absenteeism.
"Depending upon the workplace, 30 percent to 80 percent of employees waste work time dealing with personal financial matters, and it typically amounts to 12 to 20 hours a month,” said PFEEF Director of Research Aimee Prawitz.
"Research shows clear links among financial distress, workplace productivity and health. Employers who improve employees' financial well-being will see improvements in their bottom lines as well," said researcher Pete Shatwell of Two Medicine.
Of 441 employees surveyed in Colorado and Montana by Two Medicine, 36 percent reported reduced emotional health, including depressive symptoms; 26 percent of this group, however, stated they had no plans for managing their emotional health. Whether such employees do not know where to turn for help or do not seek help for other reasons, the outcomes for employers are negative.