HR trends and what they mean: Burnout's bottom line

What’s the cost of an employee burning out? According to a study published in the American Journal of Preventive Medicine, a burned-out employee can cost an organization an estimated $21,000 per year in lost productivity. For the average 1,000-person company, that could amount to $5 million dollars annually. 

Despite the growing awareness around burnout, many organizations are still approaching the problem ineffectively. And with a price tag that grows by the day, it may be time for HR teams to have a critical rethink on how to address the causes – rather than the symptoms – of employee burnout.

In conversation with Work Life, Marissa Alert, CEO of MDA Wellness, offers the following:

“Companies have become more aware of burnout, but that awareness hasn’t translated into effectively addressing it…Companies often treat burnout with one-size-fits-all approaches. In reality, burnout manifests differently across individuals, teams and organizations, requiring tailored solutions.”

This may even extend to your own HR team. We spoke to one expert, Trevor Merriden, Founder and Managing Director of Merriborn Media, who explained that: 

“Burnout in the HR profession is a major challenge but it is not an insurmountable one. If HR professionals can seek out proactive listening opportunities within their own teams, educate themselves and others through best practices and make the most out of tech they can avoid the grip of burnout.”

Burnout is bad for your people and your bottom line. To address the subject and truly treat the root causes of burnout, HR teams may want to consider the following: 

• Design processes with wellbeing in mind: Rather than simply adding wellness programs on top of overwhelming workloads, evaluate which projects can be paused or eliminated to prevent chronic stress accumulation that leads to burnout.

• Implement strategic recognition programs: Create formal, consistent recognition frameworks that align with company values and make appreciation a core part of your culture. Research shows employees who receive regular recognition are significantly less likely to experience burnout.

• Establish clear boundaries: Help managers model healthy work-life boundaries by adding permanent notes to email signatures clarifying that immediate responses aren't expected, limiting after-hours communications, and encouraging true disconnection during time off.

• The definitive guide to employee wellbeing

• Employee burnout: causes, signs and strategies

• How to beat HR burnout, according to an expert

That's all for this week's edition of Personio Pulse: This Week in HR. Check back next week as we continue to dissect the latest trends impacting the ways we work. 

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