Jasmine Birtles: The importance of financial education for your employees

5 min read

We were honoured to host Jasmine Birtles, a financial expert, TV presenter, author, and business commentator as the keynote speaker at our first ever in-person nudge conference in 2022.  

One of our core beliefs at nudge is that everyone in the world needs financial education. Jasmine reiterated and solidified that belief in her keynote speech. She shared three key points about the importance of financial education, not just in the workplace, but for everyone in the world.   

What is really happening within the world of personal finances?  

• It doesn’t matter how much people earn; they’re all wondering how to cope.  
• In the UK, 1 in 4 people are in financial difficulty, 4.2 million have missed bills in at least 3 of the last 6 months, and 7.8 million people say bills are a heavy burden.  
• People are worried about paying for essentials, concerned about losing their job, or worried they will need a second job.  

When discussing the cost-of-living crisis, and the pressures employers are under now to distribute pay rises to their staff, Jasmine said: 

“One of the big bonuses of knowing how to manage your money is that suddenly it feels like you’ve had a pay rise.”  

The connection, and the impact money can have on an individual’s wellbeing and why it is critical that people receive financial education - now. 

• Very few of us have any sort of formal financial education.  “It doesn’t matter how successful or intelligent you are, people need financial education to enable them to make better financial decisions. without financial education people cannot face conversations about pensions or opening letters they get regarding their finances. People don’t know about their saving and loans.” 
• According to Money and Pensions Service, 10.7 million people rarely or never save. 11.5 million people have less than £100 in savings and. 51% could not last more than 3 months if they lost their jobs.

The impact of financial stress on the workplace

With some punchy, and quite daunting data, Jasmine highlighted how the employer can help their people in this time of need:   

• Because people haven’t got savings and have not been taught how to be financially resilient, 8 in 10 UK employees take their money worries to work. Nearly 7 in 10 employers believe performance is negatively affected when employees are under financial pressure.  
• Nearly 7 in 10 employers believe performance is negatively affected when employees are under financial pressure. A quarter of employees see their employer as their greatest sources of guidance for long-term financial planning.   
• With financial education, employers can make their employees feel better about their finances. with financial training. People want help with budgeting and bills.  

 “When you’re in control of your money, you’re well on your way to being in control of your life”  

Final remarks 

To conclude, Jasmine recapitulated that most people have little to no financial education and employers are in a position to change this. Employees need knowledge and reassurance from their employers because they trust them. Additionally, employers should bring in an external platform that is personalized and independent with regular financial education to help them meet their goals. 

Interested in learning about how nudge could help your employees? Get in touch