Dive Brief:
- A new CareerBuilder study found that 78% of American workers are living paycheck to paycheck. The survey, conducted online by Harris Poll for CareerBuilder, queried 2,369 full-time employers and 3,462 full-time U.S. employees in a cross section of industries and company sizes in the private sector.
- Key results in the study show that 10% of workers earning $100,000 or more live paycheck to paycheck; more than 1 in 4 employees don't save money each month; and nearly 75% of workers say they're in debt, with more than half believing they always will be.
- The survey also shows that debt is growing among American workers. About 71% said they're now in debt, up from 68% last year. One in four workers have been unable to make ends meet each month in the past year, and 20% missed payment on a few small bills.
Dive Insight:
The CareerBuilder study shows that even earning a six-figure salary isn't keeping workers from struggling financially. Employers should have some concerns. Cash-strapped workers are often stressed out workers, and stressed out workers are likely unhealthy and unproductive.
Employers can expand their wellness programs to include financial and emotional well-being components to help workers cope. But they also may need to improve their compensation programs overall by getting payments in on time and without delay.
Some states are beginning to opt for predictive scheduling laws to not only prevent 'clopening' (working a closing shift one day and an opening shift the next) but to stabilize hourly worker pay and lessen the stress of wildly varying hours.
Paychecks are bound to get bigger this year, according to recent budget-planning studies and salary data from Willis Towers Watson, but increases have remained steady. Hourly workers may receive even less of an increase.
