Alight Study Reveals Employee Wellbeing Has Plateaued and Trust in Employer Efforts Has Eroded

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Only 51% of employees report positive feelings across mental, physical, and financial wellbeing, a decline from 53% in 2022. 41% believe their employer cares about their wellbeing, down by 6 percentage points. 75% of workers experience adverse effects of job-related stress. 31% feel financial stress and often have no money left over. 47% have been unable to access necessary healthcare services. 32% of employees do not use available benefits. Employers can improve engagement by tailoring HR tools and benefit programs to employee needs.

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51% of employees report positive wellbeing
Employers can improve engagement

Negative

Decline in employee trust in employer wellbeing efforts
Adverse effects of job-related stress

09/19/2023 - 09:00 AM

Alight’s 2023 International Workforce and Wellbeing Mindset Study finds employee wellbeing has stagnated, with only half of workers feeling positive across their mental, physical and financial wellbeing

LINCOLNSHIRE, Ill.--(BUSINESS WIRE)-- Financial pressures and extensive layoffs have created an atmosphere of uncertainty, resulting in employees to feel less in control of their wellbeing. In addition, employees have lost trust in their employers' wellbeing efforts, according to findings from the 2023 Alight International Workforce and Wellbeing Mindset Study.

The study reveals employee wellbeing has remained relatively stagnant over the past year, with only half (51%) of the workforce reporting positive feelings across their mental, physical and financial wellbeing in 2023, compared to 53% of employees in 2022. Notably, less than half of employees (41%) believe their employer cares about their wellbeing — a six-percentage point decline year-over-year— and just 56% of employees say they feel in control of their wellbeing.

“Maximizing the effectiveness of wellbeing programs requires that organizations consider critical moments that impact employees' mental, physical and financial health,” said Alison Borland, chief wellbeing officer, Alight. “By addressing all facets of wellbeing through integrated, personalized HR and benefit programs, organizations can eliminate complexities and empower workers to better engage with available resources.”

Mental wellbeing

The study shows three-quarters of U.S. employees report they are experiencing moderate to high stress levels, rising to 80% among Gen Z and Millennial workers. Personal finances (56%), job challenges (52%) and physical health (32%) rank as the top three sources of stress, while 29% of employees say their mental health has declined due to the current economic environment.

Meanwhile, 75% of workers report experiencing some adverse effect of job-related stress, with sleep disruption (53%), low morale (43%) and anxiety attacks (37%) having the biggest impacts. Nearly one-third (30%) of workers believe their job negatively impacts their mental health.

Financial wellbeing

Thirty-one percent of workers report feeling financial stress and often have no money left over at the end of the month. This is despite taking actions such as reducing their spending, which more than two-thirds (67%) have done. Additionally, nearly half (49%) of employees are concerned the money they have won’t last, 46% feel their finances control their life and 39% fear they will never have the life they desire due to their finances.

Physical wellbeing

When U.S. employees need to see a doctor, many cannot access one. Almost half (47%) say they have been unable to receive services like doctor visits, lab work, urgent care, specialist care or surgeries when required.

Of those that did not or could not seek healthcare, 41% attribute it to costs, 23% were unsure where to go and 23% faced long wait times. Plus, 38% say they had problems trusting their doctor, often due to a lack of time spent with them.

In terms of employee benefits, 71% are enrolled in an employer health plan, with the rest evenly divided between a spouse/partner’s plan, a private health plan or no plan at all. However, only 62% say they know where to go to get information on picking the right plan, and 44% regret a healthcare decision because they took bad advice, jumped into treatment, did not check costs or neglected to see if a provider was in-network.

How employers can reignite engagement

Nearly one-third (32%) of employees report they do not use the benefits available to them. The top reasons include not having enough time to evaluate the offerings, overly complex access or benefits that simply do not meet their family’s needs.

Employers can strengthen engagement and value by tailoring HR tools, benefit programs and communication to the needs of their employees. For example, 85% of employees agree that a ‘one-stop-shop,’ such as a mobile app, would prove useful in terms of making better health and financial decisions, utilizing personal recommendations and accessing varied vendors and partners.

“It is crucial for employers to prioritize initiatives that facilitate easy access to relevant and effective resources to engage their employees around their wellbeing,” said Laine Thomas Conway, vice president, engagement services strategy and thought leader at Alight. “Part of their role is to help employees use their benefits effectively, especially when they are needed in those moments that matter. It’s also about showing that the company genuinely cares about their employees and telling an authentic story about that commitment.“

About the report

In its 13^th year, the 2023 International Workforce and Wellbeing Mindset Study, examines employee perceptions around wellbeing, culture, total rewards and workplace technology to help employers optimize their employees' experiences to improve wellbeing, engagement, productivity and performance.

Between March and April 2023, responses were collected from over 2,000 U.S. employees working full- or part-time at employers with at least 1,000 employees. The employee sample is representative of a range of age groups, along with race, gender and sexual orientation.

About Alight Solutions

Alight is a leading cloud-based human capital technology and services provider that powers confident health, wealth and wellbeing decisions for 36 million people and dependents. Our Alight Worklife® platform combines data and analytics with a simple, seamless user experience. Supported by our global delivery capabilities, Alight Worklife is transforming the employee experience for people around the world. With personalized, data-driven health, wealth, pay and wellbeing insights, Alight brings people the security of better outcomes and peace of mind throughout life’s big moments and most important decisions. Learn how Alight unlocks growth for organizations of all sizes at alight.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, statements related to the expectations regarding the performance and outlook for Alight’s business, financial results, liquidity and capital resources, and other non-historical statements, including statements with respect to potential benefits of Alight’s offerings to its clients and recipients of its services. In some cases, these forward-looking statements can be identified by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties including, among others, those described in the forward-looking statements can be found under the section entitled “Risk Factors” of Alight’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission (the "SEC") on March 1, 2023, as such factors may be updated from time to time in Alight's filings with the SEC, which are, or will be, accessible on the SEC's website at www.sec.gov. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be considered along with other factors noted in this presentation and in Alight’s filings with the SEC. Alight undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.