The Hidden Costs of Neglecting Employee Well-Being: A Financial Case for Prioritizing Burnout Prevention, by Jonathan H. Westover PhD

The HCL Review Podcast

Abstract: This article makes a compelling business case for organizations to prioritize addressing and preventing employee burnout, which has traditionally been viewed solely as a health issue. It outlines the significant "hidden costs" of burnout that directly impact the bottom line, including presenteeism, increased healthcare expenses, and reduced productivity and performance. The paper then discusses how investing in employee well-being programs can yield measurable financial benefits such as higher productivity, lower turnover, and better customer satisfaction. To build the business case, leaders are encouraged to quantify these gains using organizational data, and to implement specific practices like developing a formal wellness strategy, empowering managers, and modeling healthy behaviors from the top. By recognizing employee well-being as a strategic priority, organizations can mitigate the heavy financial toll of burnout and unlock human potential for long-term success.