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5 min read | Updated on July 10, 2025, 14:12 IST
SUMMARY
According to reports, India's workplaces face a severe stress epidemic, costing lives and an estimated $14 billion annually. Despite companies’ wellness efforts, 30% of employees experience daily stress, and nearly 50% seek new jobs. Overwork, constant monitoring and poor managerial behaviour are key culprits, highlighting an urgent need for fundamental cultural shifts beyond basic programmes
Poor mental health among employees costs Indian employers an estimated ₹1.1 lakh crore per year | Image: Shutterstock
In July 2024, a 26-year-old chartered accountant working at a Big Four accounting firm’s Pune office tragically died of cardiac arrest. Her death ignited a nationwide conversation when her mother wrote a heartfelt letter to the firm’s chairman, directly accusing the company's "excessive workload and toxic work culture" of causing her daughter's demise. The poignant letter sent shockwaves, forcing a re-evaluation of the demanding pressures faced by young professionals across corporate India.
An area manager at a leading NBFC died by suicide in September 2024. His suicide note mentioned "unbearable work pressure and mental torture by his seniors". He also stated he hadn't slept for 45 days and had barely eaten due to immense stress arising from high targets and alleged humiliation.
There are many such cases in India, which have either led employees to take their own lives or quit the workplace. The stress factor doesn’t just affect employees but also takes a toll on the company. It is imposing a substantial financial burden on companies in India. Recent reports and surveys from 2024 and early 2025 paint a disturbing picture of these costs, primarily stemming from reduced productivity, increased absenteeism and high employee turnover.
Deloitte's "Mental health and well-being in the workplace" survey reveals that poor mental health among employees costs Indian employers an estimated ₹1.1 lakh crore (approximately $14 billion) per year.
Here’s a breakdown of the costs:
Presenteeism: This accounts for a significant portion, estimated at around ₹51,000 crore (approximately $6.6 billion). This is when employees are physically present but their productivity is low due to stress or poor mental health.
Absenteeism: This is estimated at around ₹14,000 crore (approximately $1.9 billion).
Attrition/employee turnover: This is estimated at around ₹45,000 crore (approximately $5.9 billion).
These figures emphasise that workplace stress is not merely an HR or well-being concern but a substantial and quantifiable drain on the financial health and competitiveness of Indian companies.
Things are not very different globally. An estimated 12 billion working days are lost globally each year due to depression and anxiety caused by work-related stress, according to the WHO.
Employers have woken up to the need for promoting sound mental health in employees. Many major companies now offer confidential Employee Assistance Programs (EAPs) that provide professional counselling and mental health support. For instance, Tata Consultancy Services launched "TCS Cares," a programme that offers professional counselling, self-help tools and peer support for issues like anxiety, stress, and depression. Similarly, Jindal Stainless offers guidance and counselling to employees and has designated "Mental Health Champs," who are employees trained to support their colleagues.
Companies understand that a better work-life balance reduces stress. Some are now offering flexible working hours and remote work options to ease commuting stress and give employees more control over their daily schedules.
Some organisations have gone a step further by introducing broader wellness initiatives, beyond just counselling. Digital detox programmes and virtual mindfulness sessions have been launched to help employees switch off.
Are these initiatives enough? Maybe not. Employees have a different story to tell. Recent studies show that stress is a pervasive problem, with a considerable portion of the Indian workforce struggling daily. For instance, Gallup's State of the Global Workplace study finds that 30% of Indian employees report experiencing daily stress. This isn't just about an occasional bad day; for many, stress is a constant companion at work. The study also notes that South Asia, including India, has the highest percentage of employees experiencing daily stress and anger compared to other regions worldwide.
A clear indicator of workplace dissatisfaction is that nearly 50% of Indian employees are actively looking for a new job, according to the Gallup report. This "intent to leave" often stems from a combination of stress, burnout and a search for better work-life conditions. This high rate of job seeking suggests that many companies aren't providing environments where employees feel supported or want to stay long-term.
Reports suggest that work overload is a leading cause of stress, especially among younger professionals. Concerns about work-life balance and feelings of being constantly monitored also contribute significantly to stress. Lack of recognition and worries about career growth contribute to the stress. YourDOST's Emotional Wellness State of Employees in 2024 states that over 45% of employees experience anxiety every Sunday evening thinking about returning to work. There is a high prevalence of hypertension and pre-hypertension among working professionals in India. A recent report by HCL Healthcare reveals that 84% of corporate employees report low mood or depressive thoughts, and 59% show signs of moderate to severe anxiety.
Managers are a significant contributing factor to workplace stress in India and globally. Numerous studies and reports consistently highlight the direct impact of managerial behaviour and leadership styles on employee well-being, engagement, and productivity.
Employees often state that their direct manager's behaviour and management style impact their well-being. Managers' continuous monitoring, control, and setting of excessive demands without adequate support are cited as key drivers of stress and burnout among their teams. Ineffective or unclear communication from managers can lead to misunderstandings, a sense of undervaluation, and increased uncertainty, all contributing to stress.
India needs a fundamental shift in workplace culture. Companies need to address core issues like heavy workloads, lack of recognition and the critical role managers play in fostering either a supportive environment or one that breeds chronic stress. The tragic stories of individuals who lost their lives lay bare the devastating human cost of workplace stress in India. While companies are beginning to invest in wellness and support programmes, these efforts are falling short. Much more is needed to bring about a dramatic change in corporate work culture.
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