What burnout is really doing to your bottom line?

Burnout is no longer just a wellbeing conversation. It’s a commercial one.

Rising burnout levels are affecting employee engagement and productivity – and not in a quiet way. We are talking about a tangible impact that is costing businesses millions.

The reality is simple: burnout affects your bottom line through lost productivity, higher employee turnover and increased absenteeism. But how to prevent it? The answer lies in a shared responsibility between employers and employees. Together they can create healthier workplaces where businesses – and human beings – can thrive.

I’ve worked with countless organisations over the years, with varying attitudes and approaches to worker wellbeing. What I see time and time again is that burnout doesn’t appear overnight. The signs are there. But more often than not, they go unchecked or ignored until it becomes clear in cold, hard performance metrics.

Let’s take a look at the risk in more detail, how burnout manifests, and what we can do about it as employers and employees.

Why burnout is a strategic risk, not just a mental health issue

Burned-out employees are far more likely to experience emotional exhaustion, anxiety and depression. And when that happens, poor performance follows.

And don’t forget the impact burnout has on the rest of the team. One burnt-out employee’s display of frustration, anger, or disengagement can quickly spread to others. When one person is struggling, the entire team feel it, not least because of the additional work they have to pick up.

Long hours, unpaid overtime, and unmanageable workloads often push employees beyond their contracted hours. Personal and professional lives become blurred. Over time, this creates an environment where people feel overwhelmed, disconnected, and unable to perform at their best.

For business leaders and senior management leaders, burnout is therefore not just a human issue. It is a productivity issue, a leadership issue, and ultimately a bottom-line issue.

In today’s competitive and economically uncertain world, we simply cannot afford to ignore this persistent epidemic.

The cost of employee burnout to the business

Burnout is costing businesses big time.

In a 2024 Deloitte study, 63% of respondents reported experiencing signs of burnout. Of those who were planning to leave their job in the coming year, 59% said it was at least in part due to mental health and or wellbeing issues.

It’s also estimated that low employee engagement – a key symptom of burnout – costs the global economy $8.9 trillion annually, equivalent to 9% of global GDP (source: State of the Global Workplace, Gallup, 2025).

Gallup suggests burnout can cost companies 35% of an employee’s salary. But here’s the thing: 92% of burnt-out employees are actively looking for new roles. And replacing someone who’s burnt out can cost a company as much as 175% of their salary.

That’s a hefty price tag for any business.

What are the biggest causes of burnout in the workplace?

Before we look at who’s responsible for what, let’s look at the causes of burnout.

There are quite a few, but the serial offenders are:

• Lack of support
• Roles that aren’t clearly defined
• Demanding workloads and too many priorities at once
• Lack of recognition
• The erosion of work-life balance

Faced with these challenging conditions, workplace burnout often develops slowly and quietly at first. But given room to grow, it can result in a full-blown toxic workplace.

For more info on identifying the signs, check out this article on the 8 early warning signs of burnout.

Who is responsible for preventing burnout?

Now, I have a strong standpoint on this.

Despite the WHO declaring burnout an “occupational phenomenon” back in 2019, I believe burnout isn’t confined to the workplace.

Sure, today’s corporate culture can be a big trigger, but we lead big, messy lives outside of the office, which also contribute to chronic stress. I talk about this in more depth in another article about why companies are failing to fix burnout.

When I talk to senior leaders and employees, they all seem to be with me on this. People are just at risk of burnout from what’s going on in their personal lives as they are their professional lives.

That’s why GYST promotes a shared responsibility to avoid burnout, for both organisations and employees.

The company’s role

The organisations that thrive in the long term are not the ones that push their people the hardest. They are the ones who build cultures that let people perform at their best without sacrificing their health.

Every company has a unique culture and pressure points, and there’s no one-size-fits-all solution. But what’s certain is that culture change can only happen if it comes from the top.

C-suite leaders must assume responsibility for modelling healthy working behaviours. If it’s a case of “do what we say, not what we do”, every initiative will fall flat.

It’s not easy. It’s not quick. But given the evidence, it’s essential.

Explore our C-suite coaching services to learn how GYST can help senior teams inspire long-term change.

What does a healthy workplace environment actually look like?

These are just some of the factors that organisations must embrace if they are to take responsibility (in part) for avoiding burnout.

Clearly defined roles and the skills to do the job

When people feel unsure or overwhelmed about what’s expected of them, most will get stressed quickly. Given the right training, resources and development opportunities, they are more likely to thrive.

Actions: define accountability, audit skills gaps, invest in development, communicate corporate goals, and standardise processes.

Contracted hours are respected

Human beings aren’t built to run at full throttle all day. It’s a medical fact. The body needs periods of rest to recover from stress and restore cognitive resources, so we can come back sharper.

This is particularly important in our age of flexible working. The line between personal and professional lives has become increasingly blurred. But when contracted hours go out of the window, presenteeism can become a real issue.

Actions: discourage unpaid overtime, encourage flexible working with clear boundaries, and model healthy work-life balance from the leadership level.

Regular breaks

We all know that we should take more breaks. But your high-achievers, top performers and type-A professionals often push through exhaustion, skip lunch, and sacrifice their work-life balance in pursuit of performance. They ignore the warning signs, put on a mask when things are getting a bit hairy, and keep going until they are down and out for the count.

Actions: normalise rest and recovery and challenge the culture of “pushing through”.

Support networks

Support systems matter. A healthy workplace culture is one where employees feel safe speaking up when they are struggling.

Actions: implement employee assistance programmes, train managers to spot early signs of burnout, create open communication channels, and provide access to wellbeing resources.

Reward and recognition

This one’s obvious, but the need for humans to feel valued can’t be underestimated. Recognition doesn’t always need to be financial, but employees need to know their contribution matters.

Actions: implement structured recognition, train managers to give regular feedback and link achievements to company values.

Provide tools to avoid stress and burnout

Part of the employer’s role is to help the employee uphold their part of the bargain. Give them the tools, strategies and support networks they need to protect their wellbeing. And don’t stop there, keep the conversation about burnout going. Remind people of healthy behaviours, not just by telling them, but by showing them.

Actions: train managers and team leaders to model healthy behaviours, provide practical stress-management tools, promote wellbeing resources, and embed burnout awareness into everyday conversations, and most of all – walk the talk.

The employee’s role

Within a truly safe, healthy workplace culture, at the end of the day, it’s up to us as individuals to take ownership of our wellbeing.

During my talks with employees, I urge them to:

• Set clear boundaries between work and home
• Get enough sleep and exercise
• Practice self-care and eat well
• Take regular breaks (especially when working from home)
• Recognise the early signs of chronic stress and take action
• Reach out for help when needed
• Call out toxic workplace behaviour
• Make use of the various wellbeing initiatives offered by their employers

This level of self-awareness and discipline has the potential to transform both our working and personal lives for the better.

Reach out to GYST to help combat burnout in your organisation

The keys to managing stress and burnout are self-awareness and collaboration. When everyone takes responsibility, there’s no more finger-pointing, just a mutual interest in personal and professional success. And that’s the kind of change that can transform your bottom line.

But where to start? Just by reading this, it’s clear you’re taking the conversation about burnout seriously. That’s a good start as any.

When you’re ready to take the next step, whether that’s executive coaching, workshops or stress management training, I’d be glad to talk.

Katie