Financial Wellness: You Know It When You See It

John Iekel 

In a storied decision, a judge one wrote that he couldn’t define a certain topic, but he knew it when he saw it. So, too, financial wellness—an expert panel recently suggested its meaning is “amorphous” and “evolving.” 

“Financial wellness” can mean different things to different people and depends on how one defines it, said Allison Mintzer, Managing Director of ISS Media and moderator of “Plan Sponsor View — Supporting Employee Financial Wellness,” a session in the recent EBRI-Milken Institute 2024 Retirement Symposium.

But nebulous or not, the panel had ideas about how to start employees on the pathway to financial wellness and help them build it. Panelists included Joss Jessup, General Manager of Global Retirement and Financial Wellness at Delta Airlines; Justin Roberts, Principal, Global Financial Health, Amazon; and Chantel Sheaks, Vice President, Retirement Policy, U.S. Chamber of Commerce. 

First Steps 

Jessup outlined a core issue in motivating employees to take steps to build their financial wellness. “How do you get people to eat their vegetables when dessert’s on the table?” he asked. 

According to Roberts, Amazon starts by defining what a financially healthy person looks like, and then considers how they can get them to that state. 
“It starts with a strong foundation of financial literacy,” said Jessup of Delta Airlines’ approach. And after increasing employees’ financial literacy, Delta then pursues what will make the process of attaining financial wellness easier for employees. 

EBRI reports that in a recent survey, 55% of employers said they provide education, seminars, or webinars about financial investments and education, and another 27% plan to do so. Almost as many—53%—provide education, seminars, or webinars about financial planning, and another 30% plan to do so. 

Sheaks suggested that emergency savings programs can be a stepping stone in building financial wellness. That has been Delta Airlines’ experience, according to Jessup; they had put their emergency savings program in place in response to interest employees expressed, and have found it to be especially successful. 

“We’re starting with the basic, foundational piece of financial health,” said Roberts of the financial assistance program Amazon put in place in early 2022. It includes financial counseling; one of its goals is to relieve stress employees experience concerning financial matters. Employees who take advantage of that program work with the same person the entire time that they participate in that program. 

Sheaks told attendees that the Chamber of Commerce finds it to be a struggle to get employers that belong to the Chamber “just to have a plan” period. She suggested that showing the C-suite the return on investment of financial wellness programs can help in advancing them; so too can reeducating human resource departments on their value. 

Implementing a Strategy 

To build employees’ financial wellness, it is necessary to know the employee population, argued Roberts. But how to do that?

Sheaks advocates using employee surveys and asking employees what their needs and interests are. “It doesn’t have to be complicated,” she remarked. 

Jessup similarly suggested asking employees, as well as vendors. He said that Delta Airlines has a “tradition of a two-way door.” 

EBRI reports that it found that 37% of employers provide incentives and use gamification to encourage employees to take action to build their savings and financial health, and another 36% plan to do so. 

Technology also has a role, panelists indicated. Amazon turns to technology to help them determine what to offer and when, said Roberts, as well as what employees need. The U.S. Chamber of Commerce is hoping to use AI to simplify plans and to meet the challenge of “constant changes to the law, which result in ‘Rube Goldberging’ the entire platform,” added Sheaks. And Delta Airlines looks to vendors for help in utilizing technology, Jessup reported. 

It’s a Journey

“We’re at an interesting time right now,” said Roberts. He said that what “financial wellness” means for Amazon is changing. It is shifting into a “total journey,” with increasing focus on the end goal.

“Once you start employees on a positive path, they will continue to use the program,” he said.