New study warns gambling is becoming a coping tool for workers
Employers also feel the impact, as stressed staff can struggle to stay focused and productive.
South Africa.- Four in ten employed South Africans gamble regularly, with many using it as a way to manage monthly expenses and debt, according to the latest research from financial services group Old Mutual Corp.
The study found that younger workers and those with lower incomes are the groups most involved in gambling, though the practice spans all ages and pay levels. Keri-Lee Edmond, Head of Business Intelligence at Old Mutual Corporate, explained that people gamble “to meet daily needs and expenses, pay off debt, or in an attempt to secure higher incomes”. She added: “Statistically, we know this is not a sustainable way to improve financial outcomes.”
Edmond noted that many employees prioritise short-term relief over long-term security due to insufficient financial reserves. A report from Experian and Vault22 found that up to half of social grants end up on bets, illustrating how low-income households seek extra money through gambling.
For individuals, the risks include deeper debt and addiction, which can strain families and lead to borrowing or selling assets to continue betting. John Manyike, Head of Financial Education at Old Mutual, said in a previous report that losses “can add up quickly, sometimes leading to financial stress”.
Employers also feel the impact, as stressed staff can struggle to stay focused and productive. Edmond said that financially stressed employees may show reduced focus and lower productivity, signalling that household pressure is spilling into the workplace. She urged companies to provide flexible benefits and financial advice to help staff manage pressures without compromising their future stability.
On a wider scale, the trend has prompted government action. The Department of Trade, Industry and Competition plans to release new advertising standards by July to limit promotions, particularly those targeting vulnerable groups.
The National Gambling Amendment bill, currently in parliament, aims to establish a national regulator, track illegal operators and monitor activities digitally. A proposed 20 per cent tax on online gambling revenue could generate R10bn (€520m) annually, partly funding support for problem gambling, though critics warn it may drive users to unregulated sites.
