From burn out to burn bright; detoxifying your organisation

I still feel a tight panic in my chest when I recall incidents involving FTB – my first toxic boss. When I picture the scene of me cowering at my desk, receiving yet another public remonstration for my failings, even now, 20+ years on, the sensation of pain rises in my chest, a dark pit develops in my stomach and I shrink into myself. I instantly return to that feeling of being belittled, shamed, ridiculed by FTB. I remember clearly how I sat in victimhood, silencing my struggles in fear of being seen as weak until finally, one day, I left a letter on FTB’s desk of defeated resignation.

The Toxic Boss. We’ve all had at least one in our careers.  But we are only starting to talk about the impact toxic behaviour has had on our mental health and well-being, rates of workplace burn-out and the long-term effects on attrition and profitability. What can organisations do, in these challenging times, to actively reverse the upward trend of burnout and attrition?

Joining the dots between toxic bosses, burnout and job attrition

In their report “Addressing employee burnout: Are you solving the right problem?”[1], McKinsey Health Institute evidences some staggering correlations between toxic workplace behaviour, rates of employee burnout and The Great Attrition. 

In all 15 countries and across all aspects assessed by McKinsey, toxic workplace behaviour[2] was found to be the biggest predictor of burnout symptoms and intent to leave. McKinsey found that:

·        1 in 4 employees report having experienced high rates of toxic behaviour;

·        employees who report experiencing high levels of toxic workplace behaviour are 8 times more likely to experience burnout symptoms[3]; and

·        employees reporting burnout symptoms are 6 times more likely to register an intent to leave within 3 to 6 months of assessment.

Put simply, toxic behaviour leads to 6x more likely attrition. According to the McKinsey report, conservative estimates of the cost of replacing employees range from one-half to two times annual salary. Add to this the costs associated with the “downward spiral of performance” arising from burnout including low engagement, lost commitment to the organisation, lost productivity and sick pay. That’s costly impact.

What we can do

During and post-pandemic, organisations have been responding to address mental health and wellbeing challenges. Initiatives such as wellbeing days, firm-wide training on better time management and prioritisation and health subscriptions are being implemented by HR departments across sectors. But, according to McKinsey, organisations cannot “yoga” their way out of this strategic imperative. Individual-level interventions that train people to be more adaptable and resilient help as a buffer so people become better equipped to manage poor environments. But it does not overcome the underlying cause of the problem – toxic bosses.

McKinsey supports the view that we must address the underlying systemic issues at their core. This is because they found that when high levels of workplace toxic behaviour are present, addressing other factors such as inclusivity does not meaningfully improve burnout or intent to leave. In addition, McKinsey found that whilst more adaptable employees are better equipped to work in poor environments, they are less motivated to tolerate them. Employees with high adaptability are 60% more likely to report intent to leave. In short, organisations are at higher risk of losing resilient, adaptable employees unless they squarely address the issue of workplace toxic behaviour.

Here are 5 top tips in how to ensure you insulate your team and business from the impact of workplace toxic behaviour:

1.      Remove toxic leaders – Some toxic behaviour can simply not be coached out of individuals. If a leader fails to act ethically, in the best interests of the organisation (above own interests) or otherwise behave in a manner aligned with organisational values, they should not have the privilege of continuing to represent and bind the organisation, regardless of how much revenue they earn.

2.      Change performance criteria – Limiting performance criteria to financial measures alone supports the supremacy of cutthroat competition and results focused behaviour. By revising organisational-level performance management indicators to measure contribution to people development and team health, organisations reward behaviour that focuses on sustainable practices that prioritise people as much as results.

3.      Strategic imperative; not lip service – A board mandated wellness day and a few training opportunities does not necessarily equal strategic intervention. Changes to departmental corporate scorecards to ensure that progress is made on burnout and attrition rates go to the root cause of the problem.

4.      Adoption of growth mindset – When performance and learning are viewed as the same, we create environments where employees welcome change, challenge and growth. Organisations that actively encourage employees to reskill, upskill or redeploy have a greater chance of mitigating the impact of burnout and retaining top talent.

5.      Humanise your leaders – Train your leaders in coaching skills to transform their results focused, command and control ways to a more conscious way to lead; courage, empathy and compassion. It is not difficult for a leader to see whether a team member is suffering from stress or burnout; they just need to care enough to ask.

When we join the dots between toxic workplace behaviour, human burnout and job attrition, the cost to people and business is unsustainably high. Whilst wellness programs make us more adaptable and resilient to challenge they do not address the underlying cause of stress and burnout. By making it a strategic imperative to eliminate toxic workplace behaviour, organisations can re-ignite their employees’ commitment to grow and thrive.

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[1] “Addressing employee burnout: Are you solving the right problem?”, McKinsey Health Institute, May 2022.

[2] Toxic workplace behaviour describes interpersonal behaviour that leads to employees feeling unvalued, belittled or unsafe such as unfair or demeaning treatment, non-inclusive behaviour, sabotaging, cutthroat competition, abusive management and unethical behaviour from colleagues.

[3] Burnout symptoms describe an employee’s experience of extreme tiredness, reduced ability to regulate cognitive and emotional processes and mental distancing.