Old Mutual Financial Services Monitor (OMFSM) research has found that financially stressed Kenyans are turning to side hustles and business ownership to boost their incomes. The research indicates that almost half of working adults are financially stressed, with many battling to make ends meet or save for their futures. Amid a challenging economic environment, most employees earn the same – or even less – than they did during Covid, and employers may be hard pressed to offer higher salaries. Not surprisingly, 9 in 10 respondents are currently dissatisfied with their household incomes, and as many as 48% say they feel high or overwhelming stress as a result.

Increasing income a top priority

Assuring income and job security is a top financial priority for 63% of those surveyed, and many Kenyans are taking charge of improving their financial situation through entrepreneurship and polyjobbing – earning an additional income over and above their regular jobs. 22% of working Kenyans polled report that they are polyjobbing. 16% say they receive income from a side hustle in addition to their regular jobs, 5% do freelance or contract work in addition to their permanent job, and 3% have a second job that they do after hours. Around 1 in 10 – particularly younger respondents – also generate income from posting on social-media platforms.

Only 32% of respondents said they relied on a single source of work income. In addition, over half of respondents own a business, and starting a business is the second-highest savings goal among those surveyed. 30% of those surveyed cite starting their own business or building their existing business as a top priority, particularly among those under the age of 50. Unfortunately, working towards owning a business means many Kenyans put retirement planning on the back burner: as many as 74% are not currently taking action to start saving for retirement. Another concerning finding is that while Kenyans are typically risk averse in their approaches to finances, most do not have insurance on their assets. This could put their polyjobbing and business endeavours at risk.

Weighing up the pros and cons of polyjobbing employees For employers, polyjobbing or ‘moonlighting’ employees could present a dilemma. On the one hand, there is a risk that employees working more than one job will become too tired to focus on their primary work, or may offer similar services to a competitor. On the other hand, employees who take charge of supplementing their own incomes are likely to be less financially stressed, with less sick days and absenteeism as a result. Employers who empower staff to earn additional income after hours are also more likely to attract and retain key skills.

Enhancing employee financial wellbeing

Companies that opt to allow polyjobbing can establish formal protocols for external work, outlining the types of work and working hours in which employees carry out this additional work, and establishing conduct rules around the use of company infrastructure for personal and external work. Going a step further, employers can also implement employee financial wellbeing programmes that help staff make the most of their additional income streams.

With employee benefits programmes customised to meet the needs of diverse workforces at various stages of their lives, employers can help staff to mitigate the financial risks of illness, accidents or death, reduce risks to their small businesses, and enable them to save for major goals like their children’s education and their own retirement. Financially stable employees are likely to bring better morale and productivity to the primary workplace, which is a win-win for both employers and employees.