Why are workplace benefits still overlooking burnout?

Facing productivity losses in the billions, fueled by a burned out and overwhelmed workforce, should be a wake up call for benefit managers. What are they missing? 

A report from talent services firm Seramount found that more than half of workers report average or below-average well-being, with one in four taking time off for mental health in the past year. Burnout is also widespread, with 32% of employees experiencing moderate to high levels, with especially acute symptoms among middle managers and younger generations.

Despite the prevalence of mental health distress in the workplace, 41% of employees say they can't talk about mental health with anyone, and only 27% feel comfortable confiding in their manager. 

Read more: How to evolve your mental health benefits for today's workforce 

With the workforce under immense psychological strain, there's an urgent need for better, more human-centered mental health support in the workplace, says Diana Forster, senior director of qualitative research at Seramount.

"The stigma against talking about mental health in the workplace is very powerful," she says. "People leaders [should be]  proactively sharing resources with their teams, or sending out periodic reminders of the offerings." 

Yet disparity between what benefit managers are offering and what employees are taking advantage of persists, and reflect their sense of well-being in and out of the workplace. While executives report higher well-being and stronger perceptions of support, Gen Z employees struggle the most. 

Elsewhere, managers are especially vulnerable to burnout, and remote workers tend to feel more supported than their hybrid or in-office peers. Across the board, younger employees are more likely to feel unsupported, burned out, and skeptical about the adequacy of available mental health resources.

Read more: A mental health platform designed with Gen Z in mind

How benefit managers should respond

To bridge the growing gap between what employees need and what organizations provide, benefits leaders must take a more comprehensive and compassionate approach to mental health. Employees are calling for more than surface-level programs — they want meaningful, sustained support embedded into the fabric of work.

"It's very easy for people leaders to fall into a pattern of focusing on the specifics of the business and their employees' output," Forster says. "[Instead, benefit managers need to be] engaging with the feelings that might be behind that output." 

Read more: Why wellness benefits still aren't helping employees with burnout 

Beyond recognizing the signs of burnout and mental health distress, which include irritability or overwhelm, companies should also be expanding the scope and accessibility of mental health resources. Comprehensive insurance coverage that allows for unlimited or affordable therapy sessions, removing annual caps, and offering time off for therapy appointments are all important considerations of any mental health benefit offering. 

Manager empathy also plays a pivotal role in improving mental health outcomes. Seramount's report emphasized the need for leaders to listen without judgment, acknowledge personal challenges and create a culture where psychological safety is prioritized. 

When managers are seen as supportive and understanding, workers are significantly less likely to experience burnout or take time off for mental health. Companies should invest in training and coaching to help managers recognize signs of distress, engage in compassionate conversations and model healthy work-life boundaries.

"The best way to find out if your employees are burnt out is always to talk to them one-on-one," Forster says. "People leaders should be communicating with their employees on a regular basis and asking them how they're doing and where they need additional support."