40% of the C-suite wants to quit due to stress. Who will replace them?

Employees have historically been eager to climb the corporate ladder. But with burnout and workplace stress on the rise, more workers are saying "no, thanks" to advancement. 

According to a recent report from HR software company UKG, 40% of C-suite leaders say the stress from their job is so intense, they'll likely quit within the next 12 months. Thirty-three percent "don't want to work at all anymore," and nearly half said they would not recommend their company or profession to any young person they care about. That feedback is not only causing managers to step down, but discouraging employees who previously wanted to step up. 

"All of this is creating a void, which only exacerbates the problem," says Jarik Conrad, VP of human insights at UKG. "Too few people are willing to do a job that is needed more than ever. While this paradox puts pressure on organizations that are finding it difficult to hire and retain strong managers, it creates an opportunity for those employees who still desire a leadership role. But organizations must first ensure these new leaders are equipped to handle the responsibilities of the job." 

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At a time when mass-layoff headlines are dominating the news, workplace stress can be impossible to avoid. Managers may not only be ill-equipped to handle the emotional baggage of having to let go of good people, but are then left struggling to make ends meet with remaining talent. UKG's research shows that current people leaders have considered  taking a demotion or pay cut to avoid the stress.

"Layoffs can put greater stress on managers and their remaining team members, who must take on additional responsibilities, all while wondering if their own jobs are safe," Conrad says. "As a manager, you don't want to lose people you care about, especially when you are involved in the evaluation process that determines who stays and who is let go — the stress is enormous."

Thirty-eight percent of leaders said they wouldn't wish their job on their worst enemy, according to UKG. Employees pay attention to and absorb those attitudes — and at a time of growing concern around work-life balance, more workers are prioritizing free time outside of work rather than corporate "success" that could lead to burnout. The result is the threat of a second Great Resignation, according to Conrad — only this time it'll be largely managers calling it quits.

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"Given what we are experiencing, organizations need to focus on building the emotional intelligence of their leaders," he says. "This includes competencies, such as stress management, impulse control, and empathy — that will all continue to separate the great managers from the ones who struggle." 

Prioritizing training for managers — new and old — will be a key defense to maintaining strong leadership within an organization, Conrad says. Companies that have invested in diversity, equity, inclusion and belonging programs should be mindful of how different employees may respond to challenging professional times, and ensure that managers are equipped to treat each team member with the support they need as organizations evolve, whether through growth or layoffs. 

"This is the ideal time for companies to double down on their investment in leadership training and career development so the leadership pipeline doesn't dry up," Conrad says. "Rather than just focusing on technical skills, embedding emotionally intelligent traits in the job qualifications will help organizations hire and promote people who are more likely to succeed in these new, demanding leadership roles."