Burnout isn’t just a buzzword — it’s a silent business killer. While it might not show up directly on your balance sheet, burnout drains your bottom line in ways you might not even realize. If you're a business owner, HR leader, or executive decision-maker, understanding the real impact of burnout is crucial to protecting your people and your profits.
Let’s dive into what burnout is costing you — and what you can do about it.
The Real Price Tag of Burnout
- Lost Productivity
When employees are burned out, their efficiency drops dramatically. According to Gallup, employees experiencing burnout are 63% more likely to take a sick day and 23% more likely to visit the emergency room 1. Even when they're physically at work, their engagement tanks, leading to costly “presenteeism” — where they’re there but not truly there. - Higher Turnover Rates
Burnout drives good people out the door. Gallup also found that burned-out employees are 2.6 times more likely to actively seek a new job 1. Considering that it can cost up to 200% of an employee’s salary to replace them (according to SHRM) 2, even a small spike in turnover can mean six-figure losses for mid-sized companies. - Rising Healthcare Costs
Burned-out employees are at higher risk for chronic illnesses like heart disease, diabetes, and depression. Research from the Stanford Graduate School of Business suggests workplace stress costs U.S. businesses up to $190 billion in healthcare expenses each year 3. - Damage to Your Brand
Word travels fast. When employees feel unsupported, it often shows up in employer reviews and word-of-mouth reputation. Poor employer branding can reduce your applicant pool, driving up recruitment costs and making it harder to attract top talent.
Why Burnout Is Getting Worse
The pandemic, remote work dynamics, economic uncertainty — they’ve all created the “perfect storm” for burnout. Today’s employees expect more than just a paycheck; they expect workplaces that value mental health, flexibility, and wellbeing.
Companies that ignore this shift are finding themselves stuck in a revolving door of hiring, training, and losing talent.
How to Beat Burnout - and Boost Your Bottom Line
Supporting mental health and preventing burnout isn’t just compassionate leadership — it’s smart business. Here’s what successful companies are doing:
- Building flexibility into schedules
- Training managers to spot early signs of burnout
- Normalizing mental health days and de-stigmatizing EAP usage
- Creating psychologically safe environments where employees feel heard and supported
And the best part? Investing in wellbeing pays off. Studies show that organizations with highly engaged employees outperform their competitors by 21% in profitability4 .
Don't Wait Until Burnout Costs You Big
At TEL Staffing & HR, we help companies like yours build proactive HR strategies that protect your workforce — and your business. Whether it’s implementing mental health support programs, redesigning benefits, or building a culture of resilience, we’re ready to partner with you.
Ready to stop burnout before it burns through your bottom line?
Contact TEL Staffing & HR today and let’s build a healthier, stronger future for your business.
Sources
Gallup, “Employee Burnout: Causes and Cures” — https://www.gallup.com/workplace/237059/employee-burnout-part-main-causes.aspx
Gallup, “State of the American Workplace” — https://www.gallup.com/workplace/238085/state-american-workplace-report-2017.aspx
SHRM, “The Real Cost of Turnover” — https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/the-real-cost-of-turnover.aspx
Stanford Graduate School of Business, “Workplace Stress and Health Costs” — https://www.gsb.stanford.edu/faculty-research/case-studies/workplace-stress-health-costs
