Is Burnout the Silent Saboteur of Your Company’s Growth?
Written by Kennedy Adamu

Is Burnout the Silent Saboteur of Your Company’s Growth?

An Introduction to Burnout

What happens when the very talent that propels your business forward starts slipping through your fingers—not because of incompetence, but exhaustion? Imagine the star employee—once brimming with enthusiasm and fresh ideas—now trudging through each day, passion drained and creativity stifled. 

This is not just a story of one individual; According to Hcmag:

"Burn-out will significantly impact businesses in the coming year, according to 80% of surveyed global senior risk professionals. However, only 41% of respondents feel their [organisations] are equipped to deal with this mental health challenge, found the latest International SOS Risk Outlook Report for 2024."

In a world where corporate success is often measured by quarterly reports and profit margins, the human cost of maintaining that success is becoming disturbingly clear. The question isn’t if your employees are at risk of burnout; it’s when. And more importantly, what are you going to do about it? Businesses are losing their most valuable assets—not to competitors, but to burnout. 

This article will delve into the multifaceted impact of burnout on both businesses and employees, unearthing the reasons behind this silent epidemic and offering practical solutions to cultivate a work culture that fosters long-term prosperity while preventing burnout.

What is Burnout?

Burnout is more than just a buzzword; it’s a pervasive issue that has woven itself into the fabric of modern work culture. In today’s relentless pursuit of productivity, burnout manifests as a state of chronic physical and emotional exhaustion, stemming from prolonged exposure to workplace stressors. It goes beyond feeling tired or overwhelmed; it’s a deep, unshakable fatigue that leaves individuals drained, disengaged, and often hopeless about their work and its meaning.

A Slow-Motion Disaster: When did this become a problem?

Burnout doesn’t strike out of the blue; it creeps in slowly, masked by common excuses that disguise the deeper issues within our workplaces. Excessive workloads, lack of work-life balance, and poor career trajectories are often cited as the primary culprits. Yet, these are merely symptoms of a deeper issue: organisational inefficiencies and poor management. In a study conducted by SpringerLink, it states:

“Participants reported that they have felt exhausted (43.7%), irritated (34.5%) and sad (30.5%) always or very often in the last 4 weeks [due to work]. Regression analysis revealed that the global score on burnout symptoms was negatively related to leadership engagement, psychosocial work environment, personal health resources, health behaviours, and satisfaction with salary.”

Looking at findings when it comes to burnout on a larger scale:

“Global Workforce report shows that the number of workers feeling stressed [...] is increasing—38% from 2019 to 44% in 2022. The report also showed that this has been ongoing for over a decade and started to rise even further during the pandemic. [...] Although employees are more engaged, they are also more stressed.”

This has to be a cause for concern for all leaders, not just for now but for the future of their business.

The Complex Web of Burnout: Important Considerations

As with most things in life, nothing works in silos, and instead forms a larger picture of the problem. Especially when you consider demographic differences and how other countries have cultures that deal with  workplace related stress more effectively. Let’s expand on these two points:

Intersectional Burnout: A lack of intersectional empathy from employers across race, gender, neurodivergence, ability, socio-economics status and so much more can add extra levels of stress to already very stressful situations. 

For example:

“In 2012, researchers from the University of Pennsylvania analysed the impact that parenting a child on the autism spectrum can have on mothers’ stress levels. The results were shocking: hormone levels were consistent with chronic stress.  The researchers compared the blood work to that of soldiers on the front line of combat.” 

Now combine this with a place of work that provides unnecessary workload to a parent who is the primary carer of a child on the autism spectrum. Being anything other than burned out would be astonishing. When looking at other demographics:

  • A higher percentage of women leaders (43%) report feeling burned out compared to men at their level (31%).
  • Nearly half (48%) of 18-to-29-year-olds said they feel drained compared with 40% of their peers aged 30.
  • 88% of Black women sometimes have, often, or always experienced burnout.

These are just a few stats that showcase a very small glimpse into how burnout manifests across demographics. Where some people may be burnt out due to poor management and overwork, the younger generations may also be stressed by the financial difficulties and bleak outlook of the future. Women may be burnt out due to misogyny within the office and people of colour may be tired of code-switch and other racial based stressors (such as biases & micro-aggression). 

How global perspectives around work culture vary: Burnout also varies across the globe. In economically developed countries like the UK & US, the issue of work-life related stress is quite clear. On the other hand, Countries like Denmark, the Netherlands, and Germany are known for having some of the lowest rates of burnout, primarily due to their strong emphasis on work-life balance and employee well-being.

For example, according to the Better Life Index, Denmark is ranked number 1 as the best OECD country with the best work-life balance. They’ve achieved this by flexible working hours, short workweeks (37 hours on average), and a cultural emphasis on prioritising life over work. Danish employees are discouraged from working overtime and enjoy a minimum of five weeks of paid vacation annually. The government's supportive policies, such as extensive parental leave and financial support for families, also play a significant role in reducing burnout rates.

The Uncomfortable Truth: Who is responsible?

The narrative that burnout is solely the result of employees taking on too much work is a convenient but misleading one. The true cause lies within the very structure of organisations that perpetuate unsustainable workloads. In the book ‘The Burnout Challenge”, written by Christina Maslach and Michael Leiter, they identify six core areas that cause chronic burnout: 

  • Lack of control
  • Work overload
  • Inequity at work
  • Not enough benefits
  • Breakdown of community
  • Value conflicts

The above showcases areas that are very much in the control of management, the work culture & values they’ve created. The leaders have the power to address these challenges, but there are other factors that play their part making teams at risk of burnout. 

Toxic Work Culture: A toxic and unsustainable environment that glorifies long hours and stigmatises rest further exacerbates the issue. This mentality, often perpetuated by leadership, needs to change. Promoting a healthy work-life balance should be seen not as a sign of weakness, but as a strategy for long-term success. Moreover, a lack of empathy and diversity in leadership results in blind spots where the warning signs of burnout are overlooked.

The Cost of Living: Financial insecurity and economic uncertainty, also contribute significantly to burnout. A report by the Resolution Foundation found that 56% of UK workers, particularly younger employees and those in low-income jobs, experience financial stress, which exacerbates burnout. Rising living costs, coupled with stagnant wages, have placed immense pressure on employees.

Presenteeism: Even those who stay aren’t immune. Burnout often manifests in presenteeism—where employees are physically present but mentally disengaged. This drags down productivity, creating a toxic environment where morale steadily declines. According to a Healthassured.org, “47% of employees surveyed continued to work despite their poor mental health and believed they’d benefit from time off.” When a significant portion of the workforce is functioning at a fraction of their capacity, the ripple effect on overall business performance can be devastating.

Doom Scrolling: The news cycle is a conveyor belt of catastrophe, and paired with more and more people working in front of screens all day, it has coined the phrase “Digital Burnout”. The constant barrage of negative news and social media stressors amplifies burnout, as employees grapple with both workplace pressures and external anxieties. According to Mcleanhospital.org, out of 1057 surveyed Americans, “87% spent an average of seven hours a day staring at screens. More than half of those surveyed reported fatigue or depression stemming from digital overload.”

Why Burnout Is the Greatest Threat to Your Business’s Future

We know now what burnout is, where it comes from, who is at fault and what other factors to consider. It’s at this point that burnout can just be seen as ‘slight stress’ and will resolve itself over time. If you’re a business leader, this may be the most important section of the thought piece, as not only are your employees at risk, but the very future of your own position within your organisation. Here are the three main costs associated with burnout: 

The Financial Costs: Here are some quick stats that paint a problematic picture for leaders trying to achieve their financial objectives. All according to an article written by Spill;

  • Burnout costs the UK £700m every year
  • An employee with poor mental health costs their employer an average of £2,646 per year
  • Mental health-related presenteeism cost UK employers between £24-£28 billion in 2021
  • 61% of workers who recently left or plan to leave their jobs cite mental health as a reason.

Burnout is making organisations less productive, costing them a fortune. This problem can no longer be seen as an issue that can be remedied with short term solutions. Business leaders most view this challenge as an immediate threat to their bottom line.

The Talent Cost: Burnout is not a one-size-fits-all affliction. It’s driving some of the most talented professionals out of entire industries, creating a brain drain that threatens long-term innovation and growth. The healthcare sector, for instance, has seen an exodus of skilled workers due to the intense pressures of the sector. 

Reported in 2023 by the Guardian:

“Nearly 170,000 workers left their jobs in the NHS in England last year, in a record exodus of staff struggling to cope with some of the worst pressures ever seen in the country’s health system”

We can’t ignore the knock on effect of the pandemic, but it has mainly exacerbated underlying issues regarding stress, management and funding.

Similarly, the tech industry is witnessing a troubling trend of employees leaving for less stressful environments. According to Talkspace, “as many as 2 out of 5 tech workers may experience burnout. Furthermore, 42% say they might quit their job within the next 6 months.” Recruitment, training, and lost institutional knowledge are just the beginning. The constant loss of experienced employees erodes the very foundation of a business, making it difficult to replace not just the role, but the cumulative expertise, relationships, and continuity that drive long-term success.

The Human Cost: Burnout leads to stress, chronic fatigue, poor mental health and subsequent ailments as a result. These changes to the body and mind have been well documented. However, the human cost needs to be reflected with the actual lives of people experiencing burnout. This can be seen in the video games industry and the culture of ‘Crunch’. The term “Crunch” refers to an extended period of strenuous unpaid work in the months on either side of a game launch.

In 2004, the ‘EA Spouse Letter’ controversy exposed a culture of unpaid overtime throughout the games industry, via the perspective of a developer’s partner. In a article written by the Guardian, an interviewee had unfortunately explained:

“I’ve lost one relationship and currently spend a large amount of time dealing with balancing work requirements with my new wife [...] It’s still a constant stress of ‘are you coming home on time tonight?’ We’re about to start a family, and I’m almost dreading having to deal with work’s crunch requirements and home life.” 

Over two decades later and that letter still rings true today, across high intensity industries and has impacted millions of people worldwide.

Proactive Strategies to Reclaim Employee Well-being

Where there are challenges, there are opportunities for improvement. There are no quick fixes, but having a plan of action to fundamentally reduce the chances of burnout is paramount to your organisation's success. Here are just a few solutions you could implement in your strategic planning. 

Manage Workloads Effectively: Proper workload management is essential in preventing burnout. Overloaded employees often face higher stress, decreased productivity, and increased error rates. By balancing workloads, prioritising tasks, and using tools for tracking and management, organisations can significantly reduce stress. Research indicates that effective workload management can decrease burnout by up to 41%.

Protect Under-Represented Demographics: Inclusive workplace values & behaviours that address the unique challenges of under-represented groups can create a more supportive environment, reducing stress and burnout. For example, generous maternity leave, allowing religious holidays to be taken without the need for extra annual leave, flexible work hours, robust DEIB policies embedded into organisational strategy and so much more.

Prioritise the Mental Health of Your Staff: Prioritising mental health via wellness days or direct links to counselling services as an employee perk is a great step. Whether that be in person or online. There are a wide range of digital platforms that organisations can use to help with wellbeing and mental health, and business leaders could offer these services at a subsidised rate.

Take Accountability and Be Open to Feedback: When leaders take accountability and actively seek employee feedback, it fosters a culture of trust and transparency. This openness can help identify stressors before they lead to burnout, creating a more resilient workplace. A team that is less focussed on not burning out and focussed on their job will only make the organisation more successful.

Create a Culture that Includes Flexibility: A flexible work environment allows employees to manage their work-life balance effectively, reducing the risk of burnout. Flexibility in work hours and the ability to work remotely are key tactics in maintaining a healthy work-life balance. According to the Flex Index, “companies with flexible remote-work policies outperformed their peers by 16 percentage points on 2020-2022 revenue growth on an industry-adjusted basis.”

Recognise the Signs: Early recognition of burnout symptoms, such as emotional exhaustion or reduced performance, allows for timely intervention. Training managers to spot these signs can prevent severe burnout cases, improving overall workplace health.

Lead by Example: Leadership behaviour sets the tone for workplace culture. When leaders model work-life balance, take breaks, and manage stress effectively, it encourages employees to do the same, reducing overall burnout.

Implement a Clear Career Path that Allows Staff to Grow: A clear, achievable career path with opportunities for growth can motivate employees and reduce feelings of stagnation, which is a common contributor to burnout. When employees see a future within the company, they are more engaged and less likely to experience burnout.

Redefine Success by Prioritising People Over Profits

Burnout is not just a personal issue—it’s a business crisis that demands immediate attention. Companies that ignore the signs of burnout do so at their peril, risking not only the well-being of their employees but also their competitive edge. Burnout isn’t just a threat to your business—it’s a crisis of humanity. Business leaders have the power to change the narrative.

It’s time for businesses to reassess their workplace culture and implement changes that prioritise employee well-being. By doing so, they ensure not only the health and happiness of their workforce but also the long-term success and sustainability of their organisation. The time to act is now.

If you're a leader or decision-maker, start by evaluating your current workplace practices. Engage with your teams, listen to their concerns, and make the necessary changes to prevent burnout. Are you, as a leader, willing to watch your most talented employees walk out the door, taking their brilliance with them? Or will you step up, acknowledge the signs, and create a workplace where both people and profits thrive? 

Your employees are your most valuable asset—invest in them, support them, and create an environment where both they and your company can thrive.

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