How Employers Can Help Manage Employees’ End-of-Year Stress

By Kathryn Mayer | SHRM

Here come the holidays, here comes the holiday stress.

Half of employees are reporting burnout ahead of the holiday season, according to recent data from Eagle Hill Consulting, while about 41% of U.S. adults say their stress increases during theholidays compared with other points in the year, according to the American Psychological Association.

The holidays add “emotional and logistical stress — travel, family dynamics, disrupted routines or even loneliness and grief for some,” said Brianne Flaherty, health coach at LifeSpeak, a digital well-being company in Toronto.

Plus, the end of the year adds raised stress levels at work because multiple pressures are hitting all at once. “End-of-year deadlines loomover teams as they try to wrap up projects and hit goals before signing off for the holidays, so workloads are spiking when people aremost fatigued,” Flaherty said. “Annual reviews also add on another layer here; employees are trying to finish the year out strong while alsoworrying about their performance and future at the company.”

While the end of the year is often a stressful time, this year adds new complications, especially when it comes to financial concerns: financial stress and inflation is up, financial well-being is down, and wages largely remain stagnant.

“We’re seeing a lot of financial demands and a need for resources. People are struggling just to meet basic needs — housing expenses,food expenses. And then there’s the impact of tariffs,” said Laura Calcaterra, vice president of EAP clinical operations at healthcompany Health Advocate. “People are already struggling, then you add the holidays on top of that, and they think, ‘Wait, I can’tdo what I normally do this year.’ And that creates a sense of maybe letting yourself down or letting your family down.’”

It’s in employers’ best interest to get a handle on these growing end-of-year stresses, not only for employees’ sake but the organization’s as well. Doing so can help with productivity, engagement, health care claims, and more.

“When employers step in to reduce stress, it helps employees feel supported, valued, and more capable of managing the season’s demands,” said Rachel Jensen, population health and well-being consultant, at Brown & Brown Insurance in Atlanta. “This support boosts morale and engagement at a time when burnout can easily creep in. Even small efforts can make a meaningful differencein how employees experience the holidays.”

So what exactly can employers do? Promoting benefits, being flexible, and not mandating holiday events all play a role, experts said.

Tout Benefits
One of the most obvious solutions is touting what kind of support is available. Most employers have mental health benefits, like an employee assistance program (EAP), in place — SHRM data finds that 81% of employers offer an EAP — so now is a great time tocommunicate with employees about those benefits, Calcaterra said.

“It’s a great time of year to reinforce what’s there for employees — to send those reminders, whether it’s work-life resources or counseling support,” she said. In addition to regular, blanket communication about available resources from the organization and HR, Calcaterra said managers should also talk about offerings in team meetings so they can individualize support to employees.

Along with managing stress levels, mental health benefits might help address a lot of feelings that employees experience during the holiday season, such as loneliness and isolation, Jensen explained.

“The season centers so heavily on family,” she said. “Many people have lost loved ones, are estranged from family, or simply can’t be with them during the holidays, all of which can make the season feel emotionally heavy. For those who are not taking time off, empty offices and ‘away’ statuses can lead to a disruption in daily interactions and a sense of isolation.”

But mental health benefits aren’t the only offerings to communicate about. Financial benefits, like budgeting help or childcare assistance — which may take aim at some of the root causes of stress around this time of year — are also helpful.

Reminding employees about available resources — and encouraging them to use them — also shows a level of care that is needed around this time of year, Jensen said.

That “signals that the organization understands the stress employees may be under and wants to help them navigate it with more ease,”she said.

Consider Deadlines
One of the reasons for extra stress this time of year is increased workloads — a busy season, end-of-year deadlines, employee performance reviews, and extra work to account for other coworkers’ time off are all part of the end-of-year puzzle

“For many industries, it’s an especially busy time of the year,” Calcaterra said. “Then there are people who are using up their time offbefore the end of the year, and you’re the one left working. There’s a lot of drain with these things going on.”

While there are limitations to the flexibility employers can provide, when possible, employers should consider extending deadlines orallowing flexible hours to help prevent employees from feeling overwhelmed.

“If there is anything where the deadline doesn’t make sense, or there can be a way to be flexible, employers should do it,” Calcaterra said.

Flaherty agreed.

“Flexibility is important during this time,” she said. “Providing options in how and when work gets done, along with small collective pauses such as meeting-free blocks, quiet weeks, or coordinated time off signals that rest is genuinely valued.”

Make Holiday Activities or Events Optional
Gatherings, events, or activities that revolve around the holidays — think holiday parties, especially after hours, team outings, travelfor remote workers, or gift exchanges — might be a big reason for increased employee stress.

Not only can they be viewed as another to-do item on an endless list, but those activities can add financial obligations. A holiday party after hours might require pricey child care to attend, or buying a new outfit. And holiday gift-giving activities might prove to be too stressful this year, given employees’ financial concerns, Calcaterra said.

Culture of Connection, Appreciation
Finally, employers can make a positive impact on employees’ mental health by showing employees that they are valued and appreciated.

“It’s a great time of year for employers to show appreciation for their employees,” Calcaterra said. “Even when it can’t be financial, look forways to say, ‘thank you.’ ”

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