Stress in leaders: what's driving it and what's the impact?

Over the last few years, a combination of factors have led to business leaders being put under huge amounts of pressure. As a result, we've seen an increase in the prevalence of anxiety, depression and burnout. Global data collected during 2022 indicates that 41% of senior leaders are stressed and 36% are exhausted. In fact, nearly 70% of senior leaders say burnout is affecting their ability to make decisions and 69% of executives are thinking about quitting because of their wellbeing. Unfortunately, with so much ongoing uncertainty, many of these pressures – and their negative consequences – look set to continue.

Data collected by Positive from leaders in the first half of 2022 (n=116) shows a similar picture of challenges. 55% of leaders reported experiencing high or extreme levels of stress (scores >7/10) and that roughly 62% of this stress was related to work. Increased stress can affect our ability to focus and in turn, our productivity. This is reflected in the findings: in those leaders who reported high or extreme stress, their productivity was reduced by 12%.

(Above). How are leaders doing? More than half of leaders are experiencing high or extreme stress and 62% of this is work-related. Data collected from UK Professional Services Firms, January–June '22; leaders only n=116.

It’s important to highlight that stress isn’t always a bad thing. It’s very individual: some people are more sensitive to stress than others and we all have our limits. For many people, feeling stressed – at least to some degree – can help with achieving short-term goals. Very low stress is often associated with feeling bored or demotivated. However, there is consensus that high levels of long-lasting stress – where people feel distressed or overwhelmed over prolonged periods – are predictive of poor psychological health and increased risk of burnout.

For this reason, understanding the sources of workplace stress that are most prevalent to leadership is important. Our data suggests that the biggest contributor to stress is workload (6.0/10), followed by the pace of internal change (4.4/10), and lack of career progress (4.0/10).

(Above) Sources of workplace stress among leaders. The biggest contributor to stress is workload (6.0/10), followed by the pace of internal change (4.4/10), and lack of career progress (4.0/10). Data collected from UK Professional Services Firms, January–June '22; leaders only n=116.

We also investigated views towards leadership in general. Interestingly, among those leaders who reported high or extreme levels of stress, we saw significant reductions in how they rated the openness and honesty of leadership in general during communication (8.0 vs 7.5). They also reported leadership as being significantly less supportive and compassionate towards others (8.1 vs 7.6), and the data suggests they feel less resilient overall (8.5 vs 8.0). This is in line with what we know about cognition and behaviour – how we feel affects what we put out into the world, as well as how we interpret the world around us.

Stress is something that affects everyone at some point. We can’t seek to reduce stress directly, as it can come to fruition through numerous avenues. Instead, we should look to develop a skillset that can protect us against the negative consequences of stress. Our data shows that leaders who are equipped with psychological skills – those who are able manage unpleasant emotions and worried thoughts, stay focused under pressure, and adapt quickly and bounce back from difficult times – tolerate uncertainty better (8.4 vs 7.0) and report lower levels of stress overall (7.4 vs 6.0).

• Consider your psychological skillset. What are your strengths and weaknesses? How often do you practise these skills? Building and maintaining psychological skills is comparable to building physical strength – regular exercise is needed. Over time, with practice, the behaviours will become more habitual.
• Reflect on how your psychological skills could impact others. Data shows that leaders who action these core psychological skills have a fundamental impact on the entire workforce. As a leader, it is important to think about how your actions play a wider role in nurturing the workplace for those at all levels. Supporting team members to manage their emotions and moodstates (through emotional awareness and regulation) will have a positive impact on how they interact and connect with others, as well as how they navigate individual challenges.
• Drive change. Role-modelling these core skills as actionable behaviours begins a cascade effect, helping to drive organisation-wide change. Consider small changes to your workday that will begin the domino effect – check-in with your mood before a team meeting; schedule that 1:1 as a walk; allow yourself ‘recharge time’ throughout the day. Being consistent with these small changes can lead to widespread positive outcomes, benefitting far more than just yourself.