American Workforce Burnout Reaches Tipping Point

American employers and employees are facing a conundrum: heightened levels of workplace stress and burnout. This concern is exacerbated by ongoing rising costs of healthcare, financial vulnerability, and looming worry about the future of their families, according to the 14th annual WorkForces Report released by Aflac, a leading provider of supplemental health insurance and products in the U.S. The report has been tracking for more than a decade the state of the American workplace among employees and employers—capturing trends, attitudes, needs, and experiences in healthcare and benefits administration. 

The report uncovers that burnout is affecting nearly three in five American workers—with a notable generational gap. Far more millennials, ages 28 to 43 (66%) are facing moderate to high burnout, compared to Gen X, ages 44 to 59 (55%), and baby boomers, ages 60 to 78 (39%). The study also finds that employees experiencing high levels of stress is now up to 38% in 2024—from 33% in 2023. U.S. Hispanic workers reported a greater degree of workplace stress: 46% high or very high, compared to 37% in 2023. Feelings of very high levels of burnout among U.S. Hispanic employees are nearly twice as likely as non-Hispanics. 

Heavy workloads (32%) followed by long work hours (27%) are top contributors to workplace stress. More severe implications of stress have slightly increased, including post-traumatic stress (12%, compared to 7% in 2023) and eating disorders (9%, compared to 6% in 2023). 

“In an ever-changing ecosystem, the results of the Aflac WorkForces Report reinforce the importance of employers doubling down on their understanding of what drives stress and potential signs of burnout among their employees. With a keen grasp of the pain points, employers can proactively develop programs and put measures in place to ensure employees feel supported both on and off the clock,” says Jeri Hawthorne, senior vice president and CHRO at Aflac. 

According to the report, among all employees across all workplace models, 50% admitted to at least one counterproductive behavior that represents a “quiet quitting” approach to work. These actions include: 

• not doing everything required in job descriptions; and 
• taking on secondary work without permission from employers. 

“Understanding performance dynamics of all workplace models is crucial for employers as they try to create work environments that will satisfy their employees and keep productivity at peak levels,” says Hawthorne. “At the same time, employees may need to understand that decreases in productivity will signal to employers that their current model, whether on-site, remote or hybrid, is not working and they will likely consider changes.” 

American workers who have experienced some anxiety when thinking about the impact of an unexpected serious medical condition is on the rise: 70% this year compared to 60% in 2023. This heightened anxiety is fueled by family history, worrying about the future of their families, and ongoing feelings of financial instability and vulnerability. For instance, the report uncovers that more than half (51%) of all employees cannot afford $1,000 of unexpected medical expenses. In comparison, U.S. Hispanic (58%) and African American (59%) employees reported experiencing more financial instability if faced with an unexpected medical bill of $1,000. Nearly two-thirds (64%) of employees said they cannot go more than one month without a paycheck. 

The report also revealed that most employees do not understand the costs associated with a serious medical diagnosis such as cancer. More than three-quarters (76%) of employees think out-of-pocket costs in the 12 months following a cancer diagnosis would be less than $2,000, when the National Cancer Institute estimates the total cost to be an eye-opening $40,000 or more. 

The youngest generation of workers, Gen Z, ages 18 to 27, continues to be the most financially vulnerable, with 61% unable to afford a $1,000 medical bill—although the report shows improvement year over year (72% in 2023). 

With ongoing feelings of financial fragility—and stress and worry about the rising costs of health care—both employers and employees are eager for solutions, noting supplemental insurance as a viable step to help toward financial stability and added peace of mind. Benefits continue to be critical to employee retention, in part because employees consider benefits packages to be important to their physical, financial, and mental well-being. In fact, in 2024, the importance of benefits to overall loyalty, workplace engagement, and willingness to refer a friend to their organization reached an all-time high. 

The study finds a growing number of employees would consider leaving their jobs for better benefits, even if it meant taking a pay cut (62%, compared to 53% in 2023). Additionally, supplemental benefits stand out as an important part of a comprehensive benefits package, with most employees seeing an increasing need for supplemental insurance: 93%, compared to 89% in 2023—the highest number in 14 years of survey data.