EVEN without giving a raise, companies can still give more money to their workers by making financial wellness programs accessible to them, a financial advisor said.
Maria Vienne Solon-Latonio, a unit manager and financial advisor at Philam Life, believes one way to increase the country’s financial literacy is to involve companies in this long-standing campaign.
She said it is not the lack of money that is the culprit behind most financial problems but rather the lack of interest in saving and budgeting among Filipinos.
“Financial literacy is rarely taught in school but companies can actually help their employees be free of money problems by incorporating financial wellness programs into their employee benefits packages,” said Latonio.
She noted that distraction stemming from debts and other money issues are some of the factors that could lead to lower work productivity.
Helping employees become financially stable could result in employee loyalty and higher productivity, and create a more vibrant and positive working atmosphere, she said.
Latonio noted that companies or organizations involved in overseas manpower deployment, such as those who hire seafarers, and those that employ young workers such as in the business process outsourcing (BPOs) are now reaching out to financial advisors. “The times have changed. We noticed that the younger ones are conscious already. They listen to (financial literacy) talks and are active in investing,” she said.
Interest in getting insurance has also improved, according to Latonio. “It all boils down to cash management. Many are still not savvy on saving and budgeting. No matter how big or small you earn, you have to set aside something. Discipline is another skill to learn,” she said. She suggested to set aside a portion regularly, such as 30 percent every payday, to cover for savings, retirement, emergency funds or for some specific goals.