Employee Burnout, defined as a syndrome resulting from chronic workplace stress, has reached unprecedented levels globally and in Singapore, unsurprisingly. The state of physical and mental exhaustion, loss of work-life balance, and satisfaction are no longer individual issues but a full-blown organizational crisis.
Wonder what is the current state of employee burnout at the workplace? Do you know what could potentially be the solution to lifting weights off from employees’ shoulders? This Pacific Prime CXA article will shed light on these critical issues and propose flexible benefits as a probable solution.
How Prevalent is Employee Burnout?
According to a Glassdoor report, as of July, employee burnout rates have reached the highest levels since 2016. This marks a shocking 44% increase compared to the pre-Covid era in Q4 2019.
A 2023 Gallup poll revealed that 76% of employees experience burnout at least sometimes, with 28% reporting they feel burned out “very often” or “always.” These figures represent a 15% increase from pre-pandemic levels.
Other key statistics about employee burnout:’
- 27% of employees voice that financial stress and the rising cost of living is the biggest cause of stress
- 47% of employees are on track with their financial goals
- 58% of employees don’t think their workplaces are doing enough to support rising living costs
What are the Major Causes of Employee Burnout?
The data underscores that employers haven’t done enough to manage employee burnout over the past years. Many employees reported that they do not have access to essential wellness services, such as comprehensive benefits management and mental health support.
The failure to address the below major employee concerns, contributed to this alarming trend.
- Finances and the cost of living: Inflationary pressure drives up the cost of living, and the fear of job loss under economic uncertainty adds to financial concerns.
- Increased workloads: As companies strive to do more with less, employees face mounting pressures.
- Blurred work-life boundaries: The rise of remote work has made it challenging to disconnect.
- Global events: The ongoing impact of the pandemic and social unrest has taken a toll on mental health.
- Lack of support: Many organizations have been slow to address employee well-being comprehensively.
Employee Burnout: Demographics
These gaps in employee support services and programs inevitably contributed to the persistently high employee burnout rates in Singapore. Among those affected, the group with the highest rates of burnout is Gen Z (68%), followed by Millennials (65%), Gen X(54%), and Baby Boomers (36%).
It is not surprising to find those who are most vulnerable to feeling stressed at work also bear the brunt of high-frequency stress. Following the same pattern, Gen Z(58%) is struggling to cope with stress a few days a week, compared to Millennials (44%), Gen X(29%), and Baby Boomers (20%).
Employee Burnout: Occupations and Industries
Glassdoor conducted a survey to measure employee burnout using the Employee Confidence Index from July 2023 to July 2024. They found that there is almost a drop in employee confidence across all industries, except for financial services, government and public administration, information technology, legal, management and consulting, non-profit, and food service.
Traditionally high confidence sectors such as construction and real estate have experienced heavy declines. Restaurants and food services are relatively unaffected, observing a healthy consumer spending pattern.
Employee Burnout: Ripple Effect
The impact of burnout extends far beyond individual employees, and threatens corporate health and resilience:
- Organizational costs: Gallup estimates that burned-out employees are 63% more likely to take a sick day and 2.6 times as likely to seek a different job.
- Healthcare expenses: Burnout is linked to numerous health issues, increasing healthcare costs for both employees and employers.
- Cultural impact: High burnout rates can lead to a toxic work environment, affecting even those not directly experiencing burnout.
Flexible Benefit as a Solution to Employee Burnout
Given that nearly half (46%) of Singaporeans would consider changing jobs if their employer directed them to return to the office full-time, and employees want improved rewards and recognition programs, and annual allowances to spend on healthcare, utilities, and groceries, it shows enough that almost all employees ask for more than merely monetary rewards.
There is no one-size-fits-all solution to address these needs, but you can utilize flexible benefits to cater to their needs by engaging them in the benefits selection process, to customize their employee benefits package to adapt to their unique needs and requirements according to their lifestyles.
Here’s how Pacific Prime CXA’s Flex Benefits Portal can help achieve this goal.
The portal’s user-friendly interface allows employees to easily select desired benefits, and see the summary of their flex spending account.
There is also an e-shop where employees can buy additional health and wellness products using their credits in the e-wallet.
Employees can also do an online lifestyle assessment to get personalized insights about their health risks, and suggestions on how to be healthier.
Employers, on the other hand, can also better understand the needs and wants of their employees and push out relevant benefits that they are likely to take advantage of and appreciate.
Employees have seen a healthier mental state and loyalty towards the company, should their needs and wants in private lives be addressed. This shows that their employer does not only care about their work performance but also their private needs, which extends to lifestyle preferences and families.
There are a total of two variations of flex benefit programs— Mini Flex and Full Flex.
| Mini Flex | Besides the core benefits, employees get an off-the-shelf e-wallet and flex spending account to be spent on a pre-fixed set of options defined by the employer. |
| Full Flex | Employees can get a better e-wallet, and also the option to buy-up/sell-down their core benefits. |
Whichever you choose, what you get in return are happy employees, enhanced efficiency, and increased morale.
Read more about Flexible benefits and our Flex Benefits Portal here.
Are you interested in implementing flexible benefits as your employee benefits package? Pacific Prime has years of experience in helping businesses of all sizes attract top industry talents and achieve their business goals. Arrange a benefits review with our expert advisors today!
Since joining Pacific Prime, Eric was exposed to a new world of insurance. Having learned about insurance products extensively, he has taken joy and satisfaction in helping individuals and businesses manage risks and protect themselves against financial loss through the power of words.
Although born and raised in Hong Kong, he spent a quarter of his life living and studying in the UK. He believes his multicultural experience is a great asset in understanding the needs and wants of expats and globe-trotters.
Eric’s strengths lie in his strong research, analytical, and communication skills, obtained through his BA in Linguistics from the University of York and MSc in Teaching English to Speakers of Other Languages (TESOL) from the University of Bristol.
Outside of work, he enjoys some me-time gaming and reading on his own, occasionally going absolutely mental on a night out with friends.