The Financial Cost of Corporate Burnout

The psychological and physical problems of burned-out employees, which cost an estimated $190 billion a year in healthcare spending in the U.S., are just the most obvious impacts.

The actual cost to the business can be far more significant, thanks to low productivity across organizations, high turnover, and the loss of the most capable talent.

Eric Garton has worked for over 23 years to improve organizational efficiency, and he states, “Employee burnout is a common phenomenon, but it is one that companies tend to treat as a talent management or personal issue rather than a broader organizational challenge. That’s a mistake”.

Mental health is costing UK corporations £45 billion a year.


Liz Hampson, a director at Deloitte and co-author of the report, told ICAEW Insights: “The cost among professional services firms is over £2,000 per employee per year, not because of a higher prevalence of problems but because the cost of losing someone is higher in those industries.”

According to an analysis by Deloitte, for every £1 a company spends, they get £5 back due to tackling mental health, improving work-life balance, and making an organization more inclusive for people with hidden mental health and invisible disabilities.

For further information, please see this view & this link.

Ill mental health is costing directors and team leaders high-quality and high-performing staff.


According to, mental illness and failures of directors and team leaders are costing the UK economy between £46 billion and £100 billion (Please view).

This could be resolved by having an in-work mental health strategy or having the ability for directors and team leaders to take time off and seek professional help to find a way to overcome and solve their mental health issues.

Elizabeth Hampson, Deloitte director and author of ‘Mental health and employers: the case for refreshing investment’, said, “Our research finds that, while an increased use of technology can enhance working practices, having the ability to work outside of normal working hours can add to the challenge of maintaining good mental health, and make it hard for some to disconnect from an ‘always-on’ culture”.

To summarise Elizabeth Hampson’s argument, due to modern technology and social media, global business is no longer 9 to 5 but 7 days a week and 365 days a year.

This means that directors and team leaders depending on their industry are working more hours than paid and doing more work than they should be doing.

This is to stay competitive against their global competition and the competition in the job market as well.

In the podcast, Joe Rogan stated, “he keeps a note on his phone saying chunky” he does this because he knows social media will kill his productive time, and using his phone for work can get addictive. (View the Joe Rogan experience podcast).


Thomas Oxley’s neurosurgeon and what you need to know about the signs of stress


Thomas Oakley says when we leave to go to work in the morning, managers, directors, and people who work in high-stress industries leave home with their sacks already half-filled.

According to Thomas Oakley, this means that between the 1/2 and 1/3 of people working in managerial and high intense roles will experience depression during their working lives.

This is primarily caused by not having a clear division between work and personal life. Due to modern technology and companies trying to stay competitive in an increasingly globalized market, directors and team leaders spend more time in the morning looking at their mobile devices and not speaking to their families or spouses before going to work.

If a director or corporate management does not unwind, relax or find a way to relieve tension, there will experience stress and eventually have a mental breakdown.

Thomas Oakley also states that “leaders who talk about mental health are universally respected” a director, team leader, and CEO who speaks about mental health in the workplace, the attitude to tackling mental health in an organization will cascade throughout the organization saving hundreds if not thousands of pounds.

If you wish to hear more about Thomas Oxley, please view his TED talk.


Why seek a psychological professional?


The psychologist John Peterson, the author of 12 Rules for Life: an antidote to chaos, argues that psychology’s true power and benefit is how it can improve the workforce’s sufficiency.

Mr. Peterson also stated by using Price’s Law that out of 10 employees in an organization, half of the productivity is ridden by 10 people.

If you have 100 employees, only 10 employees will be creating half of the productivity. If you have 10,000 employees, only 100 will create half that productivity.

This is important because the Price’s Law and Pareto Distribution are connected to how companies can rise and fall.

The most productive people will be very aware of their value, and if they are working for a company that starts to have difficulty, maybe one or two bad decisions has put some strain on the company, and the share price starts to drop.

Please view this lecture by Dr. Jordan Peterson. After watching the clip, you will see the importance of psychology in improving a company’s productivity.

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