Despite this trend, it can be challenging to detect this sentiment and even trickier to resolve it. Uncover the warning signs of employee burnout and learn how to prevent and address this elusive threat to employee well-being.
What is employee burnout in the workplace
Everyone experiences workplace stress at some point. When it’s prolonged and unaddressed, it can lead to employee burnout.
Although both stress and burnout can lead to emotional and physical exhaustion, the two differ in important ways. Burnout is a chronic state, whereas workplace stress is a temporary reaction to demanding circumstances. People suffering from burnout experience symptoms such as ongoing fatigue, emotional detachment from their jobs, and a sense of cynicism toward work.
Burnout is such a prevalent concern that the World Health Organization (WHO) classifies it as an “occupational phenomenon” in the
International Classification of Diseases (ICD-11). According to the WHO, burnout’s defining traits are “energy depletion,” “negativism,” and “reduced professional efficacy” specifically related to one’s job. This global acknowledgement highlights just how significantly burnout can affect an employee’s career and overall quality of life.
The most common causes of employee burnout
Employee burnout rarely has a single root cause. The origins are often multifaceted and unique to each case. However, a few common factors frequently contribute to this phenomenon.
High-stress roles and large workloads. Demanding roles with tight deadlines are particularly susceptible to burnout. The unrelenting pace in these professions can easily overwhelm employees — especially without adequate rest periods.
Financial stress. Personal monetary concerns can amplify stress in the workplace. In a recent survey by PwC,
over half of employees listed finances as their top source of stress, saying money worries impact multiple aspects of their physical and emotional health.
Competitive pay helps, but it isn’t always enough. Additional offerings and supportive benefits — such as EarnIn’s suite of
financial wellness tools — can help ease financial stress.
Tedious tasks. Although they seem less demanding than leadership positions, jobs that involve highly repetitive or unchallenging tasks frequently cause burnout. The absence of intellectual stimulation or a sense of purpose can lead to disengagement, mental fatigue, and a feeling of stagnation over time.
Insufficient recognition or support. Employees flourish when they are celebrated for their successes and supported through challenges. In contrast, employees who feel unsupported or underappreciated can become demoralized. A lack of constructive feedback and adequate resources exacerbates these negative feelings and distances employees from their work.
Negative workplace culture. Toxic work environments discourage employees from trusting or collaborating with each other. An unhealthy
employee experience is often marked by excessive internal competition, micromanagement, or a lack of psychological safety.
Warning signs of employee burnout
The key to combating these complex negative sentiments is identifying them before they can fester. Employers should proactively watch for the following indicators and swiftly intervene:
Absenteeism. A rise in sick days or unexplained absences could point to burnout. Increased tardiness might also suggest employees are struggling with physical and mental exhaustion.
Turnover. Many factors can impact
retention rates, but burnout can commonly increase
employee turnover. Exit surveys can reveal why employees leave, whether they’re searching for healthier work environments or less demanding roles.
More mistakes. Burnout often induces symptoms like brain fog and distraction, meaning employers may notice more errors. They should look out for employees who increasingly struggle with tasks they previously performed with ease.
Lack of motivation. A drop in engagement survey scores may indicate
low motivation, a standard warning sign of burnout. Employees who feel burned out often appear withdrawn and less invested in their professional responsibilities.
Lower productivity. Employees experiencing burnout often exhibit a significant dip in overall productivity. They might struggle to meet deadlines or need to work longer hours to maintain prior output levels. Extended workdays only add to the problem.
Preventing employee burnout
Several strategies can help employers reduce troublesome conditions in their workforce. With the right work culture and resources, employees naturally feel more engaged in their job roles.
Encouraging work-life balance
One of the best ways to improve workplace engagement is to insist employees step away from the office. Employers should clarify leave policies and encourage team members to maximize vacation time and paid time off (PTO). Leaders can promote work-life balance during day-to-day operations by scheduling regular breaks and discouraging excessive overtime. Companies may offer flexible arrangements (e.g. hybrid or work-from-home roles) to give employees additional options.
Giving employees autonomy
When leaders let employees take control of tasks, they promote a sense of agency and avoid the added stress of micromanagement. Managers can still set clear goals for assignments while allowing flexibility in employees’ scheduling and workflows. Everyone can set their ideal pace for maximum productivity.
Setting clear and realistic expectations
Overwhelmed employees will quickly experience burnout. Leaders must carefully consider the feasibility of tasks and deadlines, giving consideration to each employee’s experience level and time constraints. Managers should explain goals using clear and concise language to avoid confusion and wasted effort.
Offering wellness resources
Companies can offer benefits and resources to support employee well-being. These could include employee assistance programs (EAPs),
wellness seminars, mental health days, and break rooms that serve as havens from workplace stress. Financial wellness programs, such as on-demand pay or student loan support, can also play a key role in reducing financial stress. Employers should provide a range of options to suit diverse employee needs.
Recognizing and rewarding employee efforts
Employees who regularly receive sincere praise are less likely to feel discouraged about work, whether leaders offer verbal acknowledgments,
perks, or monetary incentives. Consistent recognition can encourage long-term engagement.
Training managers to identify and address burnout
Managers are uniquely positioned to notice red flags and act on suspected burnout in their teams. If they know what to look for and how to respond, they can intervene in high-stress situations and redistribute workloads as needed. Managers who lead with awareness and compassion foster employee well-being and a positive, high-trust work environment.
Invest in employee wellness with EarnIn
Reversing burnout is hard; preventing it is far more effective. That’s why employers need to prioritize creating a workplace that
values empowerment and overall well-being.
One of the most impactful ways to reduce burnout is by addressing a leading source of employee stress: finances. EarnIn’s suite of financial wellness tools can help. With on-demand pay, employees can
access their earned wages — up to $150 per day, with a max of $750 per pay period
— in minutes, starting at just $3.99 per transfer.
In addition, Credit Monitoring
helps them navigate their credit with confidence, and Balance Shield
helps protect them against overdrafts.
Best of all, EarnIn comes at no cost to employers, with no payroll or HRIS integration required.
Get an EarnIn demo today to see how these financial tools can support employee well-being.
Please note, the material collected in this post is for informational purposes only and is not intended to be relied upon as or construed as advice regarding any specific circumstances. Nor is it an endorsement of any organization or services.
This Blog was sponsored by EarnIn. While the author received compensation, the information shared is grounded in independent research and intended to provide helpful and accurate guidance to readers.
EarnIn is a financial technology company, not a bank. Banking services are provided by our bank partners on certain products other than Cash Out.
A pay period is the time between your paychecks, such as weekly, biweekly, or monthly. EarnIn determines your daily and pay period limits (“Daily Max” and “Pay Period Max”) based on your income and financial risk factors as outlined in the Cash Out Maxes section of our Cash Out User Agreement. EarnIn reserves the right to adjust the Daily Max and Pay Period Max at its discretion. Your actual Daily Max will be displayed in your EarnIn account before each Cash Out. EarnIn does not charge interest on Cash Outs or mandatory fees for standard transfers, which usually take 1–2 business days. For faster transfers, you can choose the Lightning Speed option and pay a fee to receive funds within 30 minutes. Lightning Speed is not available in all states. Restrictions and terms apply; see the
Lightning Speed Fee Table and
Cash Out User Agreement for details and eligibility requirements. Tips are optional and do not affect the quality or availability of services.
Lightning Speed is an optional service that allows you to expedite the transfer of funds for a fee. Depending on the product, the fee may be charged by EarnIn or its banking partner. Lightning Speed is not available in all states. Restrictions and terms apply. See the
Lightning Speed Fee Table and
Cash Out User Agreement for details.
Calculated on the VantageScore® 3.0 model. Your VantageScore 3.0 from Experian® indicates your credit risk level and is not used by all lenders, so don’t be surprised if your lender uses a score that’s different from your VantageScore 3.0.
Learn more.
Balance Shield provides free alerts when your bank account balance drops below the threshold you set in your EarnIn account. You can also enable automatic transfers (up to $100/day -subject to your available earnings- with a limit of $750/pay period), if your bank account balance falls below your set threshold. You choose the speed of these automatic transfers. Standard speed is available at no cost and the transfer typically takes 1-2 business days. Lightning Speed is available for a fee [see LS Fee Table] and the transfer typically takes less than 30 minutes. You will also have the option to set a tip for automatic transfers. Tips are optional and can be $0; however, if you choose to set a tip, it will be applied to each automatic transfer. Whether you tip, how much, and how often you tip does not impact the quality and availability of services. You can cancel the alerts and/or transfers at any time in your EarnIn account settings. See the
Cash Out User Agreement for more details. While Balance Shield can help you avoid overdrafts, it does not guarantee protection from third-party fees, and its effectiveness depends on your usage and bank activity.
