The hidden business risk: why stress is costing you more than you think
Stress has quietly become a major cost driver in business today, fueling soaring rates of sick leave, turnover, and rising healthcare claims.
For too long, employee wellbeing has been addressed reactively rather than proactively. But waiting for stress to reach crisis levels is no longer sustainable.
WONE’s latest research reveals the true cost of inaction, and the results are staggering.
Stress isn’t just an HR issue; it’s a financial risk accelerating business costs and putting workforce stability at risk.
Our research shows that stress is a measurable business risk, with high-stress costing a 1,000-person organisation an extra $5.3 million annually.
The study: how we measured stress as a business risk
WONE’s research explores the ‘Stress-Risk Thermometer’, a scientific framework measuring the direct relationship between stress severity and business risk.
The study surveyed 1,005 full-time employees in technology and professional services industries across the UK and US.
Participants completed the WONE Index, a scientifically validated tool measuring stress and resilience factors, and reported on 17 business risks spanning five categories.
Key findings: the business cost of stress
Our research confirms that stress is a central driver of workplace risk. In fact, 43% of the increased workplace risks assessed in this study were directly linked to stress.
This means stress is not just a contributing factor, it’s a measurable business risk with financial and operational consequences.
To help businesses understand the scope of this challenge, we identified five key categories of risk significantly impacted by stress:
1. Workforce loss: stress-driven absenteeism and turnover
High stress is affecting 13% of the workforce in this category. Employees who are highly stressed take 8x as many sick days as those with low stress levels. This absenteeism and turnover result in higher recruitment costs and lost productivity.
2. Performance and engagement: the productivity killer
High-stress employees are 4x more likely to have low engagement than those with low stress. With 8% of the workforce impacted in this category, businesses are seeing declining productivity, reduced focus, and disengagement from key tasks and programmes.
3. Critical operational risks: the compliance and quality threat
High-stress employees are 11x more likely to make errors, miss deadlines, or cut corners in ways that could compromise compliance or quality standards. This is affecting 12% of the workforce, exposing organisations to regulatory risks, reputational damage, and costly operational failures.
4. Health claims: the rising cost of poor wellbeing
Stress doesn’t just affect productivity - it impacts physical and mental health, leading to higher healthcare costs. High-stress employees report 2.5x more health claims than those with low or mild stress. With 8% of the workforce impacted, stress-related healthcare costs are quietly draining company budgets.
5. Relationships at work: reducing team cohesion
Interpersonal friction at work can erode teamwork and collaboration. Highly stressed employees are 7x more likely to experience hostility with colleagues, leading to increased frustration, workplace conflicts, and reduced team cohesion. This issue is affecting 7% of employees, undermining efforts to build positive and collaborative work environments.
Tipping point: why businesses must act now
The numbers speak for themselves - stress is eroding business performance, increasing costs, and threatening workforce stability. Yet, most businesses still treat employee stress as an individual issue rather than a systemic risk.
Proactive stress management is no longer a ‘nice-to-have’, it’s a critical component of business risk mitigation. The Stress-Risk Thermometer provides leaders with a data-driven approach to identify and address stress before it compounds into a business-wide crisis.
Don’t wait for stress to burn through your budget. Explore our research and discover how the WONE Method can help your business take control of stress before it controls you.
Join our webinar to take action
Join us for our exclusive webinar on Wednesday 26th March at 12:00-12.45 EST / 17:00-17:45 BST with:
- Dr. Lydia Roos, Chief Scientific Officer at WONE
- Yvonne Sonsino, Total Well-being and Longevity Lead at Mercer
- Laura Jackson, ex-Head of Global Wellbeing at Credit Suisse
What You’ll Learn:
- The multi-million dollar problem: How unmanaged stress is quietly burning through your budget.
- Measure and mitigate stress: How to apply the Stress-Risk Thermometer to your organisation.
- Control your spend on benefits: Why an evidence-based, proactive strategy is critical.
At Walking on Earth (WONE), we help businesses break the cycle of chronic stress with real-time stress measurement and AI-powered interventions when employees need them most.
By embedding stress resilience into the working day, organisations can boost performance, reduce costs, and create a healthier, more sustainable workplace.
Supplied by REBA Associate Member, Walking on Earth (WONE)
Walking on Earth (WONE) is the first preventative stress management solution for the workplace.
