Just like us, most businesses on the fast-track to success care deeply about employees and understand the importance of providing a great environment, competitive pay and career path opportunities.
According to new research, however, manual expenses equals very grumpy employees.
In May and June, Wakefield Research ran a survey of 1,000 business travelers and the results show that when it comes to employee job satisfaction, expense reporting is no trivial matter.
The survey found that 71 percent of respondents actually said they would look for a new job if their employer were constantly late in reimbursing their business expenses. So what are the main reasons employees are so grumpy about manual expense claims?
Personal out-of-pocket costs can be staggering
With the longest average wait time for reimbursement taking five weeks (which is more than the typical credit card billing cycle of 30 days) it’s not surprising that three out of five business travelers have had problems paying a personal bill because they were waiting for an expense reimbursement from their employer.
What’s worse than doing taxes – expense reports!
According to 53 percent of survey respondents, expense reports are. According to 53 percent of survey respondents they would rather labor over their taxes than undertake the cumbersome process of filling out an expense report. 53 percent have actually eaten the cost of a business expense to avoid doing an expense report.
Poor expense reporting could be hurting millennials most
If your workforce has millennials, then as you might expect, they are 21 percent more likely than gen Xers or baby boomers to have difficulty paying a personal bill while they wait to be reimbursed for business expenses. For new professionals who are less likely to have the financial security of their older colleagues, being put in precarious financial positions at the hands of their employer could be enough to drive them to work for your competitor, who may have a more friendly reimbursement process.
Additionally, more than half of all surveyed employees said they have not participated in one or more professional development opportunities – such as a training or conference – because their employers’ expense reimbursement process made it difficult for them to attend. This adversely affects millennials, who often weigh professional development opportunities heavily into their job satisfaction criteria.
Luckily, the solution is a simple one!
Clearly, the solution to effective, beneficial and employee-friendly expense reporting is to make reimbursement as simple and quick as possible. Cloud-based expense reporting products like expensemanager are especially effective in automating expenses for quick reimbursements.