As employers continue to navigate the post-pandemic era, a new normal is setting in for student debt holders as payments resume in October. The end of pandemic-related forbearance doesn’t generate a net new monthly expense for most borrowers, but it certainly feels new since federal student loans hadn’t required payment for over 40 months.
In a recent article, Forbes identified employer-sponsored student loan assistance as a winning strategy for hiring early talent. The piece set the stage by highlighting that nearly 60% of 2024 graduates will enter the workforce with student loans, averaging around $29,000 outstanding per borrower. Ultimately, this debt, will have a significant impact on where each individual will end up kicking off their professional careers. By contributing toward student loans, employers have an opportunity to win in many different ways; and the article highlighted the following:
- Student loan assistance gives a recruiting advantage to companies, especially those seeking more diverse talent
- Student loan assistance can help with retention and commitment
- Student loan assistance can take some of the financial pressure off of early talent
As this new generation enters the job market, employers must remember that financial well-being is a critical component of overall organizational wellness.
Read the original article from Forbes: https://www.forbes.com/sites/christinecruzvergara/2023/10/19/heres-a-winning-strategy-for-hiring-early-talent-help-them-with-their-student-loans/?sh=646b879c3270