<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1960181384305267&amp;ev=PageView&amp;noscript=1">
Shop Gift Cards

Organizational Change Triggers Increase in Employee Stress

Posted, by Deborah Merkin
picture of blog author
Find me on:

It’s increasingly clear: organizational change often comes with a hidden cost. According to recent research, transitions like restructuring, layoffs, or policy updates raise stress levels, harm well-being, and dampen engagement unless they're managed thoughtfully.

Fresh Insights from U.S. Studies

1. Change Fatigue is Real

Visier survey of 1,000 U.S. employees revealed that 65% experienced at least one major organizational change—like leadership turnover or layoffs—and two-thirds reported negative impacts during that year. This "change fatigue" correlates with heightened anxiety and declining trust in leadership.

2. Stress at an All-Time High

The American Psychological Association found that 41% of workers feel tense or stressed on a typical workday and 29% reported experiencing a lack of motivation or energy at work within the past month. A major contributor? Job insecurity and the mental toll of continuous change.

3. Financial Pressure Compounds Change Stress

PwC’s 2023 Employee Financial Wellness Survey shows that 60% of full-time employees are stressed about finances, with organizational changes often triggering cost-cutting and layoffs. This financial stress isn't just personal—it spills over, reducing productivity and well-being.

What Change Does to Your People

  • Emotional exhaustion kicks in when support systems aren’t aligned with change efforts, leading to mild burnout and disengagement.
  • Behavioral side effects like incivility or withdrawal can emerge when individuals lack coping resources and adequate support.
  • Disengagement boomerang: Frequent changes make employees feel insecure and undervalued—only 21% of U.S. employees report feeling engaged in 2024; disengaged staff cost the world economy an estimated $438 billion in lost productivity that year alone.
reengage-employee-banner-ad

What Works: Support, Structure & Recognition

  1. Measure stress during transitions
    Use pulse surveys to track stress, anxiety, and financial pressures tied to change.
  2. Boost autonomy and mental-health support
    Granting control over work, such as flexible hours or clear role clarity, directly lowers stress and improves outcomes .
  3. Provide financial resilience tools
    Offering budgeting resources, financial coaching, or early retirement options helps buffer the stress of economic uncertainty.
  4. Recognize and reward
    Acknowledge individuals and teams who navigate change well. This human warmth goes a long way in rebuilding trust and engagement.

The Role of Gift Card Rewards

The Engage2Reward™ Gift Card Ordering Platform is tailored for this moment of change. It empowers organizations to:

  • Launch real-time “Thank You” campaigns for employees managing heavier loads during transitions
  • Deliver digital micro-rewards instantly—no approval roadblocks
  • Integrate seamlessly with internal surveys and dashboards via Reward Connect™ Gift Card API, offering insight into culture, stress, and well-being

By embedding recognition and celebration into the flow of change, gift card rewards distributed through the Engage2Reward Platform help preserve morale and engagement—even when structure and roles shift.

Ready to build a happier, more stable workforce? Call our team today to get started.

 


Topics: Employee Performance, Employee Recognition, Workplace Health & Wellness, Employee Appreciation, Employee Engagement, Employee Retention, Employee Incentives & Rewards

A better way to buy gift cards in bulk

Register today and get access to 250+ popular gift card brands, personalized customer service, and simple and secure ordering.

SHOP GIFT CARDS

    Subscribe to Email Updates

    Bianca AI icon Meet Bianca AI, Your Gift Card Strategist