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Skip to main contentWorkplace stress is reaching a breaking point. More than half of U.S. workers share that job insecurity and constant change are driving significant stress, with nearly one in two reporting that their work environment is negatively affecting their mental health. They’re exhausted, disengaged, and less productive—all signs of burnout that spiral into declining health and performance. New research shows that 66% of American employees are actively experiencing burnout, with the leading causes being work-life imbalance, heavy workloads, and long hours. A slow-burning crisis, burnout can contaminate the rest of an employee’s experience and increase turnover rates, even for those who are otherwise satisfied with their work.
As organizations absorb waves of disruption, well-being has become a leading indicator of resilience. The cost of neglecting it ripples outward through absenteeism, healthcare expenses, and weakened loyalty. Conversely, when employees experience higher well-being, they show greater engagement, creativity, and retention.
Once considered a perk, well-being is now a core business capability and a prerequisite for sustained performance.
People drive performance—and performance craters when people aren’t well. But this isn’t a revelation. Decades of research show that stress undermines both individual health and organizational output, leading to lower performance, higher turnover, stalled innovation, and growing friction across teams.
Korn Ferry’s research found that three essentials power high performance:
If any element is under pressure, performance eventually buckles.
Our Engaged Performance model brings this to life. The four levers—Getting Work Done, Focus & Direction, Connections & Support, and Building Capability—all contribute meaningfully to well-being. And well-being, in turn, becomes a reliable predictor of retention, productivity, efficiency, and quality—the outcomes executives watch relentlessly. Strengthen the ecosystem, and the results follow.
Organizations have long experimented with wellness perks, but those perks rarely deliver lasting impact on their own. Workplace well-being is multifaceted and encompasses an employee’s psychological, physical, and emotional experiences at work. It is not a single dimension, but a composite of how people feel, function, and connect.
True well-being is broader than “wellness.” Research shows it depends not on perks but on culture—built on mental & emotional support, purpose, financial stability, and meaningful connections. These factors form the foundation of sustainable well-being, fueling optimism, resilience, and psychological safety.
Surveys offer a powerful lens into this reality, cutting through policies and performance metrics to reveal the heart of employees' lived experience. With over 50 years of listening to employees worldwide, we know that three outcomes best quantify well-being:
These outcomes overlap with drivers of intent to stay. Employees who feel supported, purposeful, and connected are not only healthier, but they are also more likely to commit to the organization long-term. Well-being, in other words, is both a mirror of organizational health and a compass for retention risk.
Leaders don’t need another checklist of perks. Instead, they need a system that strengthens the foundations of well-being by reducing chronic demands, expanding critical resources, and measuring what matters. Korn Ferry’s Listen analysis shows how organizations can create conditions where people thrive—and choose to stay.
Measurement is the first step—what gets measured gets managed. Organizations can create the visibility needed to act with precision by:
Precision matters because interventions only work when they target the right bottlenecks that drain well-being—heavy workloads, rapid change, scarce resources. Tackling these issues—especially for frontline managers, who report the highest stress and lowest well-being—will boost well-being and offer high-impact gains.
Culture determines whether these resources take root. Leaders who communicate transparently, act with fairness, and connect work to mission build trust and confidence. Those who normalize seeking help, model openness, and design for equity transform well-being from a program into a cultural norm.
As organizations navigate AI transformations and shifting workplaces, well-being becomes the infrastructure that sustains performance. The most successful leaders do more than manage workloads—they engineer environments that protect human capacity in an age of acceleration.
To learn how Korn Ferry helps organizations build well-being as the foundation for engaged performance, visit Korn Ferry Listen.
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