Why financial literacy is becoming a workplace priority

Photo by Mikhail Nilov

For decades, financial literacy initiatives have focused on familiar audiences: students, schools and community groups. These efforts remain necessary, but financial pressure is increasingly being felt in the workplace.

Across the U.S. and Canada, employees are dealing with increased financial stress. Higher interest rates, housing affordability pressures, debt and economic uncertainty have made everyday decisions more difficult. For many people, the stress is no longer occasional. It is ongoing and increasingly present during the workday.  

Financial stress is now a workplace reality

Financial stress affects concentration, morale and decision making. It shows up in absenteeism, increased use of employee assistance programs and higher turnover. Managers and HR teams encounter the symptoms even when they are not clearly labeled as financial issues. 

Recent research makes the impact clear. A 2025 workplace financial wellness study found that 78 percent of employers say workers’ financial stress negatively affects business operations. Employees reported spending an average of four hours per week worrying about personal finances while at work, and 71 percent said financial stress negatively affects their mental health.

Despite this, employee financial literacy has not historically been part of corporate or HR strategy. Money has long been treated as a private matter, outside the scope of workplace responsibility. Where financial wellness programs exist, they are often limited, fragmented or focused on benefits administration rather than basic financial understanding. 

As a result, many employers recognize the problem but lack a clear, practical framework for addressing it. 

Financial literacy at a basic, practical level

Workplace financial literacy is not about turning employees into financial experts. It is about basic, everyday skills: keeping track of income and expenses, understanding credit, building savings and making more informed financial decisions.

National research continues to show that roughly half of adults struggle with these fundamentals. The Financial Consumer Agency of Canada notes persistent gaps in behaviors such as saving, budgeting and managing debt, which directly affect financial resilience and stress levels.

This reality does not stop at the doors of a business or a financial institution. Employees bring the same financial uncertainty to work that they experience at home.

Employers are first in line

Any meaningful response to employee financial stress begins with employer recognition. Employers are not expected to provide financial advice or solve individual problems, but they can create an environment that supports financial understanding and confidence.

This is particularly important for small and mid-sized businesses, where owners and managers often carry financial pressure themselves. Before financial literacy can support employees, leaders must feel comfortable engaging with basic financial concepts and conversations.

The same PNC research shows that while only 29 percent of employers currently offer financial education benefits, 61 percent of employees say they would use them if available. Among Gen Z workers, interest is even higher, with 78 percent saying they would use employer-sponsored financial tools if offered.

For employers, this is the starting point. Improving financial literacy at the leadership level supports clearer planning, more effective communication and more realistic expectations across the organization.

Credit unions are employers too

Credit unions face the same realities as other employers. Their employees experience the same financial pressures as the broader workforce and similar gaps in confidence around personal finance.

This creates a logical starting point. Strengthening financial literacy within their own organizations can improve employee confidence, enhance member interactions and reinforce a culture aligned with co-operative values. It also allows credit unions to gain practical experience with what resonates, what scales and what delivers value. For credit unions, financial literacy should begin within the institution.

Extending financial literacy to the business community

Credit unions are deeply connected to their local business communities. Through commercial lending, business accounts, payroll services and treasury relationships, they already support employers in practical and ongoing ways.

As more employers recognize the impact of financial stress on their workforce, there is an opportunity for credit unions to broaden their role. The scale of the issue is significant. Canadian research estimates that financially stressed employees cost businesses approximately $69.5 billion annually in lost productivity due to distraction and time spent worrying about money during work hours.

Rather than viewing financial literacy solely through a consumer or youth lens, credit unions can extend proven financial education approaches to local businesses and their employees. This positions financial literacy as a form of business support that integrates naturally into existing commercial relationships. 

Programs such as It’s a Money Thing provide a practical, scalable financial education solution focused on everyday decisions. It's a Money Thing materials can be used within the credit union and extended to employers as a consistent, judgement-free way to build financial confidence across organizations.

Financial literacy as part of the commercial relationship

Workplace financial education does not need to sit apart from commercial banking. It can be integrated naturally into existing business relationships alongside lending discussions, payroll services and broader advisory conversations.

For employers, this provides meaningful support without overreach. For credit unions, it deepens engagement, strengthens differentiation and reinforces long-term business relationships. 

Embedding financial literacy into a commercial product suite remains uncommon. While some banks offer workplace financial wellness programs, these are typically positioned as optional benefits or stand-alone initiatives rather than as part of core commercial relationships. Fintechs tend to focus on individual tools rather than employer-based banking partnerships.

This creates an opportunity for credit unions. By incorporating financial literacy into commercial packages, credit unions can offer a differentiated value proposition that supports business members and their employees in a practical way. It aligns with the credit union tradition of product and service innovation while strengthening relationships, deepening engagement and reinforcing long-term loyalty.

The bottom line

Employee financial stress is no longer a peripheral issue. It is a workplace reality that employers are increasingly being asked to recognize and address.

Credit unions have an opportunity to lead in an untapped market, starting with their own employees and extending financial education to the local business community they already serve.

Done thoughtfully, financial literacy can support healthier workplaces, stronger businesses and deeper relationships. It can reinforce credit unions’ co-operative purpose while contributing to both brand strength and commercial performance.

In an uncertain economy, helping people build confidence around everyday financial decisions may be one of the most practical ways credit unions can support their communities.