Workplace Options News: Despite Upturn in Economy, People Keep Purse Strings Tight

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Despite Upturn in Economy, People Keep Purse Strings Tight

As the Holiday Spending Season Approaches, Americans Worry Over Finances

Contact:
Christine Hall
chall@capstrat.com
919-882-1998

06 November 2009 – Raleigh, NC – While the media reports we're out of the recession and the economy may be on the upswing, a recent survey from Raleigh-based Workplace Options, the nation's leading provider of work-life benefits, shows Americans are skeptical to buy into the optimism. More than half of adults polled plan on spending less this holiday season compared to previous years. One in two people are under financial stress and are worried about managing their budgets, according to the survey.

Third quarter reports show the United States' gross domestic product (GDP) grew 3.5 percent, confirming that the recession ended over the summer. However, it appears that Americans are maintaining a conservative outlook on spending. According to a 2008 survey from the American Research Group, Inc., shoppers planned to spend an average of $431 on their holiday shopping in 2008, a decrease of almost 50 percent following a planned $859 budget in 2007. Results from the Workplace Options survey show this spending decline may affect retailers again this year.

While those surveyed reported a concern for financial stress and managing budgets, an overwhelming majority - 90 percent said they would not seek help with managing finances.

"When people are worried about their finances, it's difficult for them to focus on other responsibilities, like their families or their job. For employees, this often means undue stress and lost productivity," said Dean Debnam, CEO of Workplace Options. "Many employers offer their workers resources and avenues for confidential financial consultation, but some employees are wary to open up about issues with personal finances. This hesitancy is multiplied if the person is ashamed of his or her current situation, such as facing bankruptcy."

Debnam suggests that if companies can connect employees with a consultant who focuses on their specific situation and can help develop solutions, employee stress levels will significantly decrease as they become more financially fit.

Workplace Options offers a financial assistance program that provides comprehensive telephonic financial support and education to help employees avoid financial trouble and attain financial goals. Services include a toll free information line, financial counseling, debt management, bankruptcy prevention, credit report review, housing education for home purchase, educational materials, access to Certified Financial Planners and comprehensive financial fitness. To learn more about these services or trends in work-life issues, visit www.workplaceoptions.com.

The national survey on employee satisfaction, conducted by the North Carolina firm of Public Policy Polling, October 16-19, 2009, polled 815 working Americans. The survey has a margin of error of +/- 3.4 percent. Full survey results can be viewed at www.workplaceoptions.com/polls.asp.

About Workplace Options

Workplace Options helps employees balance their work, family and personal life in order to make their lives healthier, easier and more productive. The company's world-class employee support and work-life services provide information, resources, referrals and consultation on a variety of issues ranging from dependent care, legal and financial issues to stress management and wellness.

Drawing from an international network of credentialed providers and professionals, Workplace Options is the world's largest integrated employee support services and work-life provider. Service centers in Raleigh. N.C., London, Toronto and Dublin support more than 32 million employees in 20,000 organizations, across 170 countries. To learn more, visit www.workplaceoptions.com.