Jan R. Costello
Employee benefits programs rarely get this kind of glowing review: "This has changed our life." "With the help this course has given us, we feel we are well on our way to financial independence."
"I will tell anyone who has an opportunity to be sure and take this course."
These comments come from Cook's Pest Control employees in Georgia who have taken a 13-week personal finance course, paid for by the company.
Many companies are discovering what Cook's has. one way to increase productivity at work is to help employees manage their finances better. That's why some of Atlanta's biggest firms offer financial seminars, including Delta Air Lines Inc., The Coca-Cola Co., The Home Depot Inc. and Georgia Power Co.
"Research shows that companies lose 15 percent of productive work time each day because employees are absent from work, spend time on the phone dealing with bill collectors or are distracted about other financial issues," said C.W. Copeland, the director of community outreach at Consumer Credit Counseling Service Inc. (CCCS) in Atlanta.
"We've gone on the offense and try to sell the service to corporations," Copeland said. "It will benefit the bottom line."
CCCS offers financial education seminars to companies and credit unions. A staff of six conducted more than 1,000 seminars last year in English and Spanish, reaching more than 28,000 people.
CCCS' clients choose seminars from a list of topics that includes the budgeting process, credit, insurance, home buying, identity theft and retirement programs.
The courses are designed to prevent financial troubles and to help people manage their money. They are optional, but they appeal to people from all walks of life -- either as a refresher or as an introductory course.
Bankruptcy cases filed in the U.S. Bankruptcy Court for the Northern District of Georgia were up 82.7 percent last year, from 25,586 in 1993 to 46,748 in 2003. Filings in North Georgia in 2003 were up 10.2 percent from 2002, compared with 42,434 filings, according to numbers released by the bankruptcy court in late January.
Eliminating such debt is a big part of the "Dave Ramsey Financial Peace @ Work" program offered by Cook's. Ramsey is a syndicated radio host and author who suffered the loss of a $4 million real estate portfolio in the mid-'80s. He was so far in debt, he declared personal bankruptcy at the age of 30.
Determined to help others learn from his mistakes, he founded The Lampo Group Inc. in Nashville, Tenn., to provide financial counseling to the public. He offers courses to businesses, church groups and young people.
The Lampo Group reports the average Financial Peace @ Work graduate pays off $5,300 in debt and saves $2,700 in the first 91 days after beginning the program. The goal is for participants to be completely out of debt, except for a mortgage, in two years.
More than 150 companies have participated in Financial Peace @ Work since it was first offered in 2002. The program lasts 13 weeks and covers all areas of personal finance. Managers report that everybody learns something.
"I don't think it matters what type of job you have," said Chuck Carney, regional manager for Cook's Pest Control in Georgia. "If you work as a top executive at IBM or a pest control technician, everybody has debt."
Many Cook's employees have cut up their credit cards during the course and plotted a path to becoming debt-free. They learn how to save money on insurance and invest for college and retirement.
What does the company get out of it? Cook's Human Resources Director Carl Monin said the program "sets us apart from other companies that don't offer this type of program. It is also a very good fit for our company culture, as well as our core values and beliefs."
Carney graduated from the class last October, along with 25 couples representing about 75 percent of the employees at Cook's Forest Park office.
"From Cook's standpoint, it's helping employees make better use of their income," Carney said. "They can really focus on providing the best customer service possible. That's one of the great benefits. Plus, it gives employees the wisdom to manage their finances properly."
