The high of receiving their degree and beginning their contribution to the professional world can quickly be met with the harsh reality of repayment. As an individual already experienced in the corporate world you can help the new hires at your company understand how to add this financial responsibility into their budget without feeling overwhelmed by it. Offering resources and advice from the vantage point of someone already practicing this behavior gives new hires an opportunity to ask questions and request help when needed, which leads to increased comfort regarding their debt which then leads to decreased stress levels. For example, you can recommend that they try to pay off their student loans early so they can save money on accrued interest costs, get rid of student debt once and for all, and move on to bigger and better financial goals.
Fact-Based Solutions
Helping a new hire with their student loan debt is a generous gesture but you will have to also mind your company policy regarding disclosure and any sensitive subject matter. Having said that, providing help in general terms without having to be too specific to each case is a good way to provide guidance without any risk of violations. You can refinance your existing student loans with a private lender in order to save money on your monthly expenses. This is option that most recent graduates overlook since their repayment period has only just begun, however it is never a bad thing to at least check into student loan refinance options. Interest rates have likely changed since the conception of their loan, and pending other requirements, offering this as a solution for them to feel more comfortable with their monthly payment is a logical choice.
If your company offers student loan repayment benefits discussing them with your new hire will also help to not only alleviate some stress, but also provide encouragement. Depending on the requirements for your company’s specific policy, giving a new employee an incentive to meet them will result in higher levels of productivity as well as company loyalty. Giving staff the opportunity to release some of their mental energy surrounding student debt stress increases retention and focus, they will have more mental more energy available to give to their work responsibilities.
Open Door Policy
As a member of the HR staff at your company, being an available resource for its employees is part of the gig. With new hires specifically, an open-door policy is essential because it sets the tone and their expectations for the culture of the workplace. Providing assurance that they have you as an ally consistently and not just during step one will help them build the confidence required to eventually be self-sufficient in their student debt repayment plans.
Setting a new hire up for success will show them that the goal is achievable, and additionally provide encouragement that will lend itself to their morale in the workplace as it regards to their actual job. Minding corporate boundaries is to be expected but creating an environment where new hires feel comfortable to ask questions regarding topics like student debt, simultaneously creates an environment for asking questions in general. Open communications and knowing they are not on an island alone will inevitably decrease errors in their work-related projects because you have shown them that not only is asking for help appropriate, but it is also encourage
