Worries about economic security and the stress brought about by the cost-of-living crisis are pressuring employees in Ireland ahead of Budget 2025, a recent study has discovered, with a significant portion of the workforce doubting that their employers are doing enough to alleviate this pressure.
The study, conducted by iVox for payroll and HR tech company SD Worx, surveyed over 1,000 Irish workers and found that a sizable group – 41 per cent – claimed their employer did not compensate them sufficiently for last year’s inflation.
Almost half of the surveyed employees reported dealing with financial stress, a third felt their company lacks enough concern for their financial health. Also, 44 per cent expressed their desire to ask for an advance on their salary but only 28 per cent claimed they have significant influence on wage discussion. Over a quarter mentioned personal performance is not adequately recognised at their workplace.
Another key finding was that 27 per cent of those surveyed expressed dissatisfaction with their full compensation package including salaries, bonuses, and other benefits such as health insurance. This is a concern for employers looking to retain talent in a competitive job market as 29 per cent of workers said they would consider leaving a job if they are unhappy with their financial situation or job security.
Eimear Byrne, the country leader at SD Worx Ireland, said, in the current economic situation, companies need to consider the effect of adequate compensation packages on employees’ financial wellbeing. The study shows employees tackling rising costs and are anxious over their financial stability. Disproportionate wage increases when compared with the growing cost of living adds to employees’ stress and puts a strain on their families.
According to the Central Statistics Office’s income and living conditions survey, financial anxiety among households in Ireland has been mounting since 2021, coinciding with an accelerated rate of consumer inflation during and after the Covid-19 pandemic. The previous year’s survey pointed out the proportion of populace living in forced deprivation went up from 16.6 per cent in 2022 to 17.3 per cent in 2023.