Chronic fatigue, disengagement, low motivation and poor performance – these are just some telling signs of employee burnout that companies need to pay close attention to.

Employee burnout is not a personal issue or an indicator of incompetence. Rather, it is a challenge that needs to be tackled from an organizational level.

Workplace stress, in fact, is primarily caused by ineffective leadership and flawed organizational practices. A Harvard Business Review article cites poor management and excessive workload as the common culprits behind employee burnout. Long hours and impossible demands from superiors also contribute to unbearable work-related stress.

Why should companies be concerned? Here are four reasons:

1. Decreased productivity

A mounting body of research demonstrates a positive correlation between an employee’s health and well-being and their productivity at work.

A study conducted by the United Kingdom government shows that positive employee well-being results in improved performance, productivity and work quality. Another study conducted by the IZA World of Labor claims that an increase in employee well-being leads to parallel increases in productivity.

These studies show that an employee’s health and well-being plays a critical role in the quality of the outputs they produce. Simply put, an employee who is healthy and well rested is more likely to deliver high-quality outputs compared to an employee struggling with a demanding workload.

If an organization is committed to its success, it must invest in the well-being and happiness of its employees.

2. High turnover rate

In a study conducted by Kronos and Future Workplace, burnout is cited as one of the top reasons behind employee attrition. The same study points out that burnout is the biggest threat to workforce retention as reported by 95 percent of human resource leaders.

What are the implications of these findings? A high turnover rate comes with an equally high price. It Read More Here