Employees’ Financial Stress Is Fueling Workplace Incivility

Concerns about cost and affordability are already affecting the workplace in a number of ways, from employee engagement and productivity to mental health and retention. Now comes the latest effect: civility.

Concerns about cost and affordability are now among the top five contributors for incivility in the workplace, according to SHRM’s Civility Index, a measure of workplace incivility and the factors contributing to it. Incivility can be defined as rude, disrespectful, or discourteous behavior that can negatively affect workplace relationships and the employee experience. More than a quarter of U.S. workers (27%) said cost and affordability concerns were contributors to the acts of incivility they experienced or witnessed in the workplace in Q2 2026.

“I think that anybody who’s been paying attention to the headlines is well aware that we’re experiencing an affordability crisis,” said Joy Awe, well-being manager at Insperity, an HR service and technology company in Kingwood, Texas. “I also think it’s safe to say in general, people are a lot less civil than they used to be. So it’s not surprising to hear that these two things are intersecting.”

SHRM’s data comes as workers continue to face higher everyday expenses, rising healthcare costs, and broader economic uncertainty. At the same time, concerns about AI-driven workplace changes and layoffs are adding another layer of uncertainty, potentially compounding employees’ financial stress.

Financial confidence among employees is at its lowest level since 2012, with just 53% of workers saying they feel in control of their finances, according to MetLife’s annual Employee Benefits Study, down from 55% last year and 62% in 2022.

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“Inflation and cost-of-living are straining households even more and pushing them into survival mode,” said Jackie Stinnett, vice president of people and great work at Salt Lake City-based software company O.C. Tanner.

And that stress comes into the workplace — which can result in incivility.

“What many people don’t consider is that financial stress doesn’t just stay at home; it follows people right to their desk,” Stinnett said. “Their attention is focused on getting meals on the table or wondering how to pay their bills that month. That constant stress adds to mental burdens and sends employees into survival mode.”

Awe agreed, saying that “financial stress casts a shadow over every aspect of a person’s life.”

“It affects their focus, their energy, their patience, how they engage with their colleagues and their loved ones,” she said. 

“If somebody’s worrying about how they’re going to pay their bills — on top of all the normal levels of stress they already have — that pressure builds up really quickly, everyday frustrations are magnified, and interacting with people becomes a lot more difficult in general,” Awe said.

That stress may cause reactions like snapping at colleagues, being less receptive to feedback, or becoming frustrated more easily.

“When you have high amounts of stress, something that’s small that normally wouldn’t be upsetting, and something I might have been able to normally roll with, might become the proverbial straw that breaks the camel’s back,” she said. “None of this stuff exists in a vacuum.” 

Addressing Financial Stress, Cost Concerns

The data helps quantify the importance of addressing financial stress. Experts are emphasizing the importance of financial wellness benefits, including financial counseling, budgeting resources, emergency savings programs, and access to resources that can help employees better manage their finances, during this time. Financial wellness benefits can help employees handle mounting financial pressures and address stress that might bleed into the workplace. Mental health benefits can also be beneficial.

“When employers provide financial wellness benefits, it helps create a sense of security and stability,” Stinnett explained. “If [employees] feel supported in that way, it reduces anxiety and builds a strong relationship of trust with their organization, allowing them to show up fully at work and in their personal lives.”

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Mutual Communication

Experts said it’s important to communicate about the financial — and mental health — benefits they have in place, not just offer them. Simply having a benefit available does not guarantee employees know about it, understand how to access it, or feel comfortable using it.

“What’s the point of having those benefits if the people they’re intended to help aren’t using them?” Stinnett said. “Now’s the time to show up for employees by making sure they know what resources are available to them.” 

Meanwhile, Awe said, company and HR leaders should make sure to listen to employees and understand the pain points they have and the stresses they are experiencing. Then, they can make changes that may help reduce their stress, which in turn might help them bring better versions of themselves to work — including potentially reducing instances of incivility. 

“Making people feel genuinely heard is so important,” she said. “But don’t just say, ‘We’re listening’ and then not do anything with the information you receive. Actually listen, make changes as a result, and give people the kinds of support that they want.”