Australian employees call for structural change amid mental distress in the workplace

14 October 2025

  • New research from Allianz Australia reveals nearly six in ten of surveyed Australian employees have experienced mental distress as a result of factors like workload pressure, meeting overload, and unrealistic deadlines.1
  • Allianz Primary Psychological Workers Compensation claims have surged by 28.4 per cent between FY21 to FY25, with 2.73 million Australians likely to consider leaving their job within the next year.2
  • Surveyed Australian employees are calling for better manager training to support employee wellbeing, fewer unnecessary tasks and recurring mental health days.3
  • In response, Australian organisations are set to invest $33.83 billion in mental health support services this year.4
  • Allianz is launching the "Unschedule the Burnout Hub", a suite of resources to support Australian workplaces and their employees to prevent burnout.

New research from Allianz Australia reveals that supporting mental health in the workplace continues to be a challenge, as managers and employees alike are feeling mental distress as a result of workload.

Almost 80 per cent of surveyed employees5 and almost two thirds of surveyed managers6 do not believe their organisation enforces good workplace habits and boundaries to reduce burnout. The majority of surveyed managers (78 per cent)7 cite systemic barriers to reducing burnout, ranging from a lack of time and resources (26 per cent) to the availability of suitable technology (26 per cent) and conflict with other workplace priorities (23 per cent).8

Nearly six in ten (59 per cent) surveyed employees stated they have experienced work-related mental distress, with workload pressure, meeting overload, and unrealistic deadlines the leading contributors.9 The average Australian employee reports spending 3.31 hours per week on tasks or meetings deemed unnecessary10 and nearly a third (32 per cent) felt unable to take proper breaks due to their back-to-back schedules.11

Beyond the workplace, 19 per cent of surveyed employees said technology made it difficult to switch off from work12. One in four employees also report that their cost of living worries and financial pressures affect their ability to focus at work.13

The research also reveals that 2.73 million Australians are considering leaving their jobs within the next year.14

Concerns around work-related mental distress are reflected in a relative increase of 28.4 per cent in Allianz Primary Psychological Workers Compensation claims between FY21 and FY2515, alongside a 10 per cent rise in the average time off per claim; jumping to 81 days16.

Mark Pittman, Executive General Manager – Personal Injury, Allianz Australia says, “Our claims data tells us that mental stress and work pressure is the second highest contributor of primary active psychological claims (34%). We are all on a journey and everyday we are learning more and more about supporting mental health in the workplace. While Allianz works to support injured workers who have been harmed by workplace stress, we recognise that the best outcomes are achieved through prevention. Through our insights, guides and other resources, we hope to positively contribute to creating more mentally healthy workplaces."

Allianz’s research, now in its seventh year, identifies opportunities for workplaces to “Unschedule the Burnout” in order to support the mental health of their workforce.

To support organisations, Allianz has released a series of tailored resources, including video tutorials for the construction, education, healthcare and professional services industries to help prevent burnout across their workforce. Given the surveyed employee feedback that external pressures affect their ability to focus at work, this approach goes beyond a purely workplace lens, reconsidering the established notion that burnout is caused solely by the demands of the workplace.

While active recovery is critical for reducing stress, a staggering 73 per cent of employees report being unable to schedule regular personal time for themselves17. When it comes to household duties, 78 per cent were not splitting responsibilities equally18, and 81 per cent do not have a reliable network to help with routine tasks like school drop offs or caregiving19.

Additionally, just one in three (35 per cent) managers believe their organisation recognises and accommodates the needs of working parents and carers20 and just 29 per cent believe employees feel comfortable raising concerns about bias or discrimination related to family or caring responsibilities21.

Brianna Cattanach, National Manager Mental Health Strategy – Personal Injury, Allianz Australia says, "Allianz is calling on Australian workplaces to take a holistic view of employee wellbeing. Business leaders can support this through job design that ensures; manageable workloads, a natural ebb and flow to work demands, adequate 'recovery' time during work hours and ground rules for disconnecting after-hours.

“This should be accompanied with manager training on how to set these healthy workforce habits, and respond with empathy to work-related burnout and mental distress. This was the most sought after measure that surveyed employees want their organisation to commit to.”

Helen Lawson Williams, co-founder of anti-burnout program TANK says: “Burnout looks differently, depending on the person, role or industry. But burnout certainly doesn’t have to be part of a job. It can be prevented when teams are checking in with each other on the right things, and taking action early. Employees can start by recognising when their stress / recovery balance is off, which could feel like fatigue, overwhelm, irritability, or caring less about their work than usual.

“Speak up before things escalate, and be specific about what’s making it harder to limit stress or recover well – whether it’s meeting overload, lack of breaks, unrealistic deadlines or inability to focus due to pressures outside the workplace. Ask for what you need, and use the support your workplace offers, like Employee Assistance Program services. Don’t underestimate the power of small changes: taking proper breaks, setting boundaries, and prioritising recovery activities like sleep and exercise can be enough to reset your stress / recovery balance, preventing burnout for good.”

Visit Allianz’s Unschedule the Burnout Hub to access the suite of resources.

  1. 59% of surveyed employees stated they have experienced mental distress (e.g. anxiety, burnout, emotional exhaustion) as a result of work overload (e.g. workload pressure, meeting overload, unrealistic deadlines).
  2. According to Allianz Workers Compensation data, primary psychological workers compensation active claims have seen relative growth of 28.4% in the five year period from FY21 (10.9% of total claims) to FY25 (14.0% of total claims). 25% of employees surveyed said they are very or somewhat likely to consider leaving their current organisation in the next 6–12 months. This is the equivalent of 2.73 million people, when extrapolated to the general population of those employed in middle management and below.  
  3. When asked which measures they think their organisation should commit to in order to improve work overload and burnout risk, employees selected better training for managers to support employee wellbeing (36%), systematically eliminating unnecessary tasks and meetings (34%) and monthly or quarterly recurring mental health days (30%).
  4. The methodology is the average amount  of surveyed managers claimed their organisation is planning to invest in mental health support service over the next 12 months ($33,854) multiplied by the number of employing businesses (999,161) in Australia (per ABS stats).
  5. Only 22% of surveyed employees said that their organisation enforces good workplace habits and boundaries to reduce burnout.  
  6. 38% of surveyed managers said that their organisation enforces good workplace habits and boundaries to reduce burnout.  
  7. 78% of surveyed managers believe there are barriers to implementing policies or tools to promote positive workplace habits and reduce employee burnout.
  8. When asked what they believe to be barriers to implementing policies or tools within their organisation that promote positive workplace habits and reducing employee burnout,  surveyed managers selected a lack of time and resources to action effective change (26%), availability of suitable technology that would make a difference (26%) and conflict with other workplace priorities (23%).
  9. 59% of surveyed employees stated they have experienced mental distress (e.g. anxiety, burnout, emotional exhaustion) as a result of work overload (e.g. workload pressure, meeting overload, unrealistic deadlines).
  10. Surveyed employees estimated they spent an average of 3.31 hours per week doing unnecessary tasks or attending unnecessary meetings instead of doing productive work.
  11. 32% of surveyed employees stated they can't take proper breaks due to my back-to-back schedule.
  12. 19% of surveyed employees stated that technology makes it hard to switch off from work, even outside of work hours, when asked how non-work factors impact their performance at work.
  13. 24% of surveyed employees stated financial pressures or cost of living worries impact their ability to concentrate at work, when asked how non-work factors impacting your performance at work.
  14. 25% of surveyed employees stated they were likely to consider leaving their current organisation in the next 6–12 months.
  15. According to Allianz Workers Compensation data, primary psychological workers compensation active claims have seen relative growth of 28.4% in the five year period from FY21 (10.9% of total claims) to FY25 (14.0% of total claims).
  16. According to Allianz Workers Compensation data, the average days off work for a primary psychological workers compensation active claim in FY25 is 81 days.  
  17. Only 27% of surveyed employees stated they schedule regular personal time for themselves to maintain balance and wellbeing.
  18. Only 22% of surveyed employees stated they equitably share household responsibilities with others in their household.
  19. Only 19% of surveyed employees stated they have a reliable support network (e.g. family, friends, community) that helps with routine tasks like school drop-offs or caring responsibilities.
  20. 35% of surveyed managers selected their organisation recognises and accommodates the needs of working parents and carers when asked how their organisation supports employees with family or caring responsibilities.
  21. 29% of surveyed managers stated that employees feel comfortable raising concerns about bias or discrimination related to family or caring responsibilities.
For any media enquiries, journalists can contact our Media team.

The research was commissioned by Allianz and conducted by YouGov in accordance with the Australian Polling Council standard. The survey is a nationally representative sample comprised of 1642 employees (middle managers and below) and 506 managers (senior managers and above) in Australia aged 18 years and older. This study was conducted online between 28 July 2025 and 7 August 2025. Following the completion of interviewing, the data was weighted by age, gender and region to reflect the latest ABS population estimates. Sample quotas for professional services, construction, education and healthcare cohorts were set to ensure robust samples were achieved for analysis purposes.

Allianz Workers' Compensation claims data comparing primary psychological active claims for Financial Years 2021 ro 2025 and across all Allianz portfolios including; Allianz Australia's Underwritten Workers' Compensation, NSW Managed Fund (for both private and public sector employees) and Victorian Managed Fund Portfolios.

Allianz Australia has been securing the future of our customers in Australia since 1914. We deliver a wide range of personal and commercial insurance products and services to more than 4 million policyholders. We also provide support for workers' compensation insurance to around 25% of the top 200 ASX companies, making us one of the leading workers' compensation insurers in Australia.

Allianz Australia Limited is a wholly owned subsidiary of the worldwide Allianz Group. The Allianz Group is one of the world's leading insurers and asset managers with corporate customers in more than 70 countries. Allianz customers benefit from a broad range of personal and corporate insurance services, ranging from property, life, and health insurance to assistance services, credit insurance and global business insurance. Thanks to our systematic integration of ecological and social criteria in our business processes and investment decisions, we are among the leaders in the insurance industry in the Dow Jones Sustainability Index.

This article has been prepared by Allianz Australia Insurance Limited ABN 15 000 122 850 AFSL234708 (“Allianz”). In some cases, information has been provided to us by third parties and while that information is believed to be accurate and reliable, its accuracy is not guaranteed in any way.

Any opinions expressed constitute our views at the time of issue and are subject to change. Neither Allianz, nor its employees or directors give any warranty of accuracy or accept responsibility for any loss or liability incurred by you in respect of any error, omission or misrepresentation in this article.

Explore our Help page for questions about your policy, claims, payments, and more. If you need to reach us, we're ready to connect.

Allianz acknowledges Aboriginal and Torres Strait Islander peoples as the Traditional Custodians of the lands on which we live and work across Australia. We pay our respect to First Nations Elders past and present.

Any advice here does not take into account your individual objectives, financial situation or needs. Terms, conditions, limits, and exclusions apply. Before making a decision about this insurance, consider the relevant Product Disclosure Statement (PDS)/Policy Wording and Supplementary PDS (if applicable). Where applicable, the PDS/Policy Wording, Supplementary PDS and Target Market Determination (TMD) for this insurance are available on this website. We do not provide any form of advice if you call us to enquire about or purchase a product.

Allianz Australia Insurance Limited ABN 15 000 122 850 AFS Licence No. 234708 is the insurer of any general insurance products offered, and Allianz Australia Life Insurance Limited ABN 27 076 033 782 AFS Licence No. 296559 is the insurer of any life insurance products offered. Each entity is responsible for any statements and representations made about its products, on this website.