Culture   //   June 25, 2024

Have we entered an era of ‘toxic productivity’?

Productivity anxiety is a growing drag on workplaces — and employees — as it is being experienced by more than 8 in 10 workers, nearly one-third of them plagued by such feelings multiple times a week.

The problem is so pervasive it demands immediate attention from organizations aiming to foster a healthier, more productive work environment, according to the latest Global Human Workplace Index survey from Workhuman, a provider of human capital management (HCM) software solutions. 

Characterized by the stress and pressure to constantly perform and meet high standards, productivity anxiety significantly impacts both individual well-being and organizational efficiency, Workhuman and Gallup found. 

Anxiety has been identified as the leading issue among U.S. workers, contributing to over 120,000 deaths annually. According to a report from the World Health Organization, depression and anxiety lead to the loss of approximately 12 billion working days each year, costing the global economy $1 trillion in lost productivity.

The financial burden extends beyond lost productivity. Voluntary turnover due to burnout alone accounts for 15-20% of payroll, the survey found, denoting a direct correlation between mental well-being and employee retention. 

The survey also revealed that the quality of daily work experiences significantly hinges on productivity. Respondents associated bad workdays with mistakes and good workdays with timely project completion (55%) and receiving recognition (51%).

Recognition can be a potent antidote to productivity anxiety. When asked what would help lessen their productivity anxiety, more than half (54%) of respondents identified recognition for their work as the top solution, followed by the need for more frequent feedback (44%) and greater awareness of the employee’s impact on business goals (34%).

“To cultivate a resilient and engaged workforce, leaders must focus on fostering a culture of recognition, maintaining open feedback loops and leading with transparency.”
Dr. Meisha-ann Martin, senior director of people analytics and research at Workhuman.

Dr. Meisha-ann Martin, senior director of people analytics and research at Workhuman, emphasizes the importance of a recognition-rich culture, commenting that “to cultivate a resilient and engaged workforce, leaders must focus on fostering a culture of recognition, maintaining open feedback loops and leading with transparency.”

Work-life balance is also essential to employee wellness. The survey found that 74% of full-time employees identified it as the most important well-being benefit, followed by flexible work and mental health benefits. Moreover, 30% of employees see work-life balance as the primary driver of trust between employer and employee. 

That said, fully one-quarter of the workforce reports a lack of well-being perks beyond basic health insurance, with women affected disproportionately. About one-third of women do not receive additional well-being perks, highlighting a significant gap in support. The survey indicates that one-third of women experience productivity anxiety multiple times a week, compared to 25% of men.

The findings underscore that traditional workplace structures and benefits packages may not adequately address the needs of women. Societal expectations and roles add to the pressure women face, leading to anxiety and reducing the perceived usefulness of available benefits.

At the same time, younger generations, particularly Gen Z, exhibit lower levels of trust in organizational leadership, with about half of Gen Z respondents expressing trust compared to the overall average of about 60%. Factors contributing to this distrust include higher job insecurity and susceptibility to layoffs. Gen Z’s unique challenges, including entering the workforce during a time of economic and social upheaval, compound their feelings of burnout and feeling overwhelmed in their jobs.

Jennifer Moss, a workplace consultant, advocates for a fundamental shift in how organizations approach well-being. “We need to recognize that well-being is a right, not a perk,” she said. “We are in an era of toxic productivity, and it’s a result of bad habits we can’t seem to shake. We are over-meeting, over-looping, over-communicating, and we still feel like it’s ‘always urgent.’”

“We are in an era of toxic productivity, and it’s a result of bad habits we can’t seem to shake. We are over-meeting, over-looping, over-communicating, and we still feel like it’s ‘always urgent.’”
Jennifer Moss, workplace consultant.

Well-being is inconsistent with workload, she stresses, citing recent research data from Oxford that determined workplace practices rather than well-being programs are the answer. 

As for how women specifically are impacted by productivity anxiety, Moss noted 

that there remains a disproportionate burden placed on them to handle domestic responsibilities, with a number of studies in the post-pandemic era pointing to remote work as a solution. 

A recent report from Statistics Canada found that employees who work remotely save about an hour commuting every day and are able to devote more time to sleep, household chores and looking after their children. 

The way Moss sees it, it all points to work flexibility as a critical need, “not just a bonus or a perk.”