Why Gen Z are at risk of burnout this Christmas peak

Why Gen Z workers can’t switch off

It may come as no surprise that the struggle to disconnect and use annual leave is a major driver of year-end stress.

We found that most employees miss out on much needed time off to recharge, as only 35% of the UK workforce uses all their annual leave days before they expire.

The most significant impact of missed holidays is seen amongst younger workers.

Our research found that Gen Z workers are the least likely to take their full holiday entitlement, with only 22% of 18 to 24 year olds doing so.

This failure to disconnect is a worsening trend with a significant generational gap, as the rate of annual leave usage by 18 to 24 year olds is 25 percentage points lower than the over 54s (who use all their leave at a rate of 47%), highlighting a significant work-life balance gap.

Older workers also reported being significantly less likely to experience work-related poor mental health and stress, another factor that contributes to younger worker absence.

So, why are younger workers so vulnerable?

This failure to disconnect stems from underlying issues unique to this generation, including heightened job market anxiety, increased pressure to work unpaid overtime and intense financial stress driven by the cost of living crisis.

This sustained pressure contributes to the finding that 14% reported a worsening of their mental health during key periods like Christmas.

The cost of presenteeism

The pressure to perform is hitting employee health hard, leading to widespread absence and presenteeism across the workforce.

The numbers tell a clear story; stress, depression and anxiety were responsible for the majority of work-related illness in the UK last year, totalling a staggering 22.1 million lost working days.

When someone is struggling, they are off for a long time too. On average, a person suffering from these mental health conditions takes around 22.9 days off work, which is far higher than the 6.5 days lost for typical injuries.

This intensifying pre-Christmas workload is often the trigger.

Nearly half (49%) of workers reported their workload increases before Christmas Day, making it the main source of their festive anxiety.

Three quarters (73%) of UK workers also worry about work ruining their festive plans.

The strain is visible, especially in customer-facing jobs, where nearly half (46%) of retail employees admitted they worked while ill at the end of 2024.

The largest factor preventing staff from taking time off is staff shortages, overwhelmingly cited as the reason for unused annual leave by 42% of individuals.

The consequences of poor staff wellbeing are felt far beyond the individual. Staff absence does not just carry a human cost, it hits the bottom line hard.

The economic fallout from poor mental health is estimated to be around £118 billion annually to the UK economy, driven primarily by lost days due to sickness, reduced output while working unwell (presenteeism), and the costs associated with staff turnover.

This financial strain is directly linked to the pressures on younger talent, as those aged 18 to 24 are proving to be the most likely to be absent because of work-related stress and poor mental health.

Prioritising people

“The pre-Christmas sprint may be considered a business necessity by some but it comes at the cost of employee wellbeing,” says Lucy Harvey, COO of Stribe.

“The data clearly shows that employees are pushing through exhaustion, leading to rising levels of presenteeism and rising mental health absences in the new year. Younger workers are being disproportionately affected by these pressures and more should be done to look after staff at a busy time of year. Performance mustn’t come at the cost of your people.”

“Employers must move beyond generic benefits and identify which teams are struggling, why they are struggling and what specific action is needed right now to redistribute workloads and protect staff. Proper resource management, reasonable adjustments and applying a fair and balanced approach can ensure your employees switch off and enjoy their time at Christmas, ” says Lucy Harvey.

The findings of our research highlight the necessity for change in operational decisions by leaders over the Christmas period.

Issues like this arise from pressure from above, making it imperative for leaders to communicate with teams on boundaries and making time to fully switch off when not in work.

Employers should consider investing in systems to continuously listen to staff and act on feedback throughout the year.

Implementing an effective employee engagement solution or an employee wellbeing platform allows businesses to have consistent support into your organisation’s structure and take the pulse of employee mood on a frequent basis.

This can be a step towards prioritising employee wellbeing through better listening and may be the best strategy to ensure your team returns refreshed and ready to thrive in the new year.