The impact of climate change is putting an additional financial burden on those with the fewest resources to manage financial and life stressors – creating implications for worker productivity, employers’ bottom lines, and employees’ financial security, according to a new report from the national financial nonprofit Commonwealth. Feeling the Heat: Climate Change’s Impact on Worker Financial Security reveals the profound effect of climate change on employees’ financial situations and other areas of their lives – as well as opportunities for employers, financial institutions, and other systems actors to help mitigate these effects.

The impact of climate change on workers in the United States has increased dramatically in recent years, particularly for labor-intensive jobs, service positions, and/or those who are working outdoors. In 2021, employers lost more than 2.5 billion hours of labor across agriculture, construction, manufacturing, and service sectors due to heat exposure. Additionally, a 2020 report indicated that the U.S. loses an average of $100 billion a year due to heat-induced declines in labor productivity. And a new report from the US Treasury indicates that climate change will cause significant financial strain to households in the coming years, citing reduced earnings and access to employee benefits as top concerns...

Commonwealth will be holding a webinar in partnership with SOCAP Global to reveal the results of the report on October 11 at 3 pm ET. Flacke will be joined by Liliana Diaz, Senior Director, Climate & Biodiversity, APCO Worldwide; Julie Gehrki, Vice President, Philanthropy, Walmart and Walmart Foundation; and Emily Williams, Assistant Professor of Business Administration, Harvard Business School to discuss the real world impact of climate change on workers, and to provide insights on what steps might be most effective in mitigating climate change’s effect on financial security.