The retail industry is among Australia's most financially stressed with 20% of workers are concerned about money, according to AMP's Financial Wellness report.
It found there are currently 2.44 million Australians suffering from financial stress.
This is having a significant impact on the economy, costing Australian businesses an estimated $31.1 billion per year in lost revenue.
2 in 5 Australian workers suffer from financial stress at some point in their careers with nearly half feeling financially stressed for an average of six and a half years or more.
Employees troubled by their financial circumstances take an extra 2.4 sick days per year and spend almost an hour per week dealing with money problems at work.
However, since 2016 financial stress has declined by 4% in the retail industry.
AMP director of workplace super Ilaine Anderson said that this was a positive change but the industry still had a way to go.
“It's positive we are seeing financial stress decline in Australia's retail trade industry, but we still have a long way to go.
“Businesses can play an important role in improving employee financial wellbeing and helping educate employees on how to overcome their financial challenges.”
Anderson believes January and February can be the worst months for financial stress and this is something employers should look out for.
“As the holiday season comes to an end, and credit card bills start to roll in, many Australians will be starting the new year under significant financial pressure.
“While many people think money worries are a personal issue, our research shows being financially stressed spills into our working lives, increasing absenteeism and impacting productivity.”
She commented employers can play an important role in promoting financial wellness.
“The research found flexible working hours and the ability to work from home improved employee performance, engagement and financial wellness.
“Reducing the stigma around financial stress is also important, as many of those surveyed cited embarrassment and guilt as a major reason for not tackling their financial woes.
“We need to make sure talking money isn't seen as a taboo and implement financial literacy campaigns within our businesses to help employees achieve their financial goals.”