What employee benefits help reduce stress and burnout?
Employee stress and burnout can have a significant impact on wellbeing, engagement, productivity and absence rates. While employers can't remove every source of stress, the right employee benefits can help people better manage financial pressures, support their mental health and maintain a healthier work-life balance.
The most effective benefits for reducing stress and burnout are financial wellbeing benefits, mental health support, flexible working arrangements, physical wellbeing initiatives, employee recognition programmes and additional time off. The strongest results are typically achieved when organisations take a holistic approach that supports employees financially, physically and mentally, rather than relying on a single benefit.
Quick answer
The employee benefits that help reduce stress and burnout most effectively are:
- Financial wellbeing benefits
- Mental health support
- Flexible working
- Physical wellbeing benefits
- Recognition programmes
- Additional annual leave
Why are employees experiencing more stress and burnout?
Stress and burnout can stem from a range of factors, including workload, financial concerns, caring responsibilities, poor work-life balance and uncertainty about the future.
Many organisations focus solely on workload management, but one of the most overlooked causes of employee stress is financial pressure. Rising living costs, debt concerns and unexpected expenses can affect concentration, sleep quality and overall wellbeing.
66% of therapists say cost-of-living concerns are causing a decline in mental health.*
Financial pressure
Financial concerns remain one of the most common causes of employee stress. Rising household costs, debt repayments and unexpected expenses can leave employees feeling overwhelmed and distracted, making it more difficult to focus and perform at their best. When financial pressure starts to affect sleep, confidence and mental wellbeing, it can quickly contribute to burnout.
Workload and always-on culture
Technology has made it easier than ever to stay connected, but it has also blurred the boundaries between work and home life. Notifications, emails and messages outside of working hours can make it difficult for employees to switch off and properly recharge. Hybrid working offers many benefits, but without clear boundaries, some employees may feel pressure to remain constantly available.
Lack of work-life balance
Many employees are balancing work alongside caring responsibilities, family commitments and other personal pressures. When there is little time left for rest, exercise, hobbies or spending time with loved ones, stress levels can increase. Over time, this imbalance can lead to exhaustion, reduced motivation and ultimately burnout.
Understanding the causes of stress is the first step. The next is providing employees with the support, flexibility and wellbeing benefits they need to better manage these challenges.
Expert insights:
"Sometimes you might tell somebody you're feeling stressed, but actually are you feeling lonely? Do you need someone to talk to?"
Debbie Evans, Mental Health First Aider, on the Pluxee UK podcast
1. Financial wellbeing benefits
What that means:
Financial concerns are consistently among the most common causes of stress.
Benefits that help employees make their money go further can reduce financial pressure and create greater peace of mind.
This includes:
- Employee discount schemes
- Retail and grocery savings
- Cashback programmes
- Financial education
- Budgeting support
- Salary sacrifice schemes
When employees can save money on everyday essentials, they often feel more in control of their finances, reducing a major source of stress.
61% of employees want their employer to help them more with the cost-of-living crisis.*
Expert insight:
"People would have less anxiety about money if we talked about it more openly."
Charlotte Walters, Financial Adviser, Avail Financial Planning, on the Pluxee UK podcast
Customer example: In our Cemex Case Study, employees save an average of 6.14% on their spending through the employee benefits scheme, supporting financial wellbeing during a period of rising living costs.
2. Mental Health Support
Mental health benefits can help employees access support before stress develops into longer-term burnout.
Examples include:
- Employee Assistance Programmes (EAPs)
- Counselling services
- Mental health helplines
- Cognitive behavioural therapy support
- Mental wellbeing resources
- Manager training
Providing accessible support can help employees build resilience and seek help earlier when challenges arise.
Quick takeaway
Employees are more likely to use support when it is easy to access, confidential and regularly promoted throughout the year.
Expert insight:
"Hopefully you'll never need them, but hopefully before you reach that stage we can catch you before you fall."
Debbie Evans, Mental Health First Aider, Pluxee
Customer example: CEMEX
Employee wellbeing is a key priority at CEMEX, with dedicated wellbeing initiatives focused on physical and mental health throughout the year. Employee Assistance Programme (EAP) support also forms part of the organisation's wellbeing approach, helping employees access support when they need it.
3. Flexible working arrangements
Flexible working remains one of the most valued employee benefits.
Giving people more control over how, when and where they work can help reduce stress by:
- Improving work-life balance
- Reducing commuting time
- Supporting carers and parents
- Allowing employees to work around personal commitments
- Creating greater autonomy
Flexibility alone won't eliminate burnout, but it can help employees manage competing responsibilities more effectively.
Expert insight:
"The great thing about hybrid working is it gives you that work-life balance."
Debbie Evans, Mental Health First Aider, on the Pluxee UK podcast
4. Physical wellbeing benefits
Physical and mental wellbeing are closely linked.
Benefits that encourage healthier lifestyles can help employees better manage stress and improve their overall wellbeing.
Examples include:
- Gym memberships
- Fitness discounts
- Health assessments
- Wellbeing challenges
- Cycle-to-work schemes
- Physical activity initiatives
Research has consistently shown that regular physical activity can help manage stress and improve mood, making physical wellbeing support an important part of any employee wellbeing strategy.
49% of people are cutting back on activities that benefit their mental health, such as gym and sports club membership.*
Customer example: Acorns Children's Hospice
Looking to strengthen its employee wellbeing strategy, Acorns Children's Hospice introduced corporate gym memberships through Pluxee. The benefit has been widely adopted by employees, helping make exercise more affordable while supporting physical wellbeing, resilience and mental health.
Customer quote:
"The gym discount scheme allows us... to provide our people with a very tangible employee benefit that promotes physical wellbeing and makes it much more affordable and accessible to them."
Matt Bullock, Chief Executive Officer, Acorns Children's Hospice case study
5. Employee recognition and reward
Feeling valued at work plays an important role in reducing stress and preventing burnout.
When employees receive meaningful recognition, they are more likely to feel engaged, motivated and connected to their organisation. Recognition can also help build resilience during periods of increased pressure.
Examples include:
- Peer-to-peer recognition
- Manager recognition
- Instant rewards
- Long-service awards
- Digital recognition platforms
Employee recognition may not remove the causes of stress, but it can help employees feel appreciated and supported. 76% of employees feel more motivated when their organisation is supporting them.*
Debbie Evans (Mental Health First Aider, on the Pluxee UK) discussed how feeling supported can help employees build resilience and cope with stress.
6. Additional annual leave and wellbeing days
Time to rest and recover is essential.
Offering benefits such as:
- Additional annual leave
- Wellbeing days
- Volunteering days
- Flexible leave options
- Purchase annual leave schemes
can help employees recharge and maintain a healthier balance between work and personal life.
Organisations that actively encourage employees to take their leave often see greater wellbeing benefits than those that simply offer it.
"I would rather have time with the people I love and make memories with the people I love than have all the money in the world and no time to spend it."
Debbie Evans, Mental Health First Aider, on the Pluxee UK podcast
Which employee benefit reduces stress the most?
There isn't a single benefit that works for everyone.
For some employees, financial wellbeing support may have the greatest impact. For others, flexible working or access to mental health resources may be more valuable.
The most effective wellbeing strategies combine multiple forms of support across three key areas:
| Wellbeing area | Example benefits |
| Financial wellbeing | Employee discounts, cashback, salary sacrifice, budgeting support |
| Mental wellbeing | Mental wellbeing, EAPs, counselling, wellbeing resources |
| Physical wellbeing | Gym discounts, cycle-to-work, fitness initiatives |
By combining support across all three areas, employers can address the different factors that contribute to stress and burnout.
Key takeaway
The best employee benefit for reducing stress depends on the individual. Financial pressure, workload, physical health and personal circumstances all affect people differently.
The most effective wellbeing strategies combine financial wellbeing, mental health support and physical wellbeing initiatives to create a more resilient workforce.
"Different things trigger stress levels in different people."
On the Pluxee UK podcast
Frequently asked questions
Can employee benefits reduce burnout?
Yes. While benefits alone cannot eliminate burnout, they can help address common causes such as financial pressure, poor work-life balance and insufficient wellbeing support.
Do employee discounts improve wellbeing?
They can. Employee discounts help employees save money on everyday spending, which may reduce financial stress and improve overall wellbeing.
What are the best benefits for employee mental health?
Mental health benefits such as Employee Assistance Programmes, counselling services and wellbeing resources are often among the most effective forms of support.
How can employers reduce workplace stress?
Employers can reduce workplace stress by providing a combination of financial wellbeing support, mental health resources, flexible working arrangements, physical wellbeing initiatives and meaningful recognition programmes.
What causes employee burnout at work?
Employee burnout is often the result of prolonged stress without enough time, support or resources to recover. While heavy workloads can contribute, burnout is rarely caused by a single factor. Financial pressures, always-on working cultures, poor work-life balance and a lack of wellbeing support can all increase the risk.
The rise of hybrid and remote working has also blurred the boundaries between work and home life, making it harder for some employees to switch off at the end of the day. Over time, this can lead to physical and emotional exhaustion, reduced motivation and lower engagement.
How does financial wellbeing reduce stress?
Financial concerns are one of the most common causes of employee stress. Rising living costs, debt repayments and unexpected expenses can create ongoing worry, affecting concentration, sleep and overall wellbeing.
Financial wellbeing benefits help employees feel more in control of their finances by providing support such as employee discounts, cashback schemes, budgeting tools and financial education. By helping employees make their money go further, employers can reduce a major source of day-to-day stress.
"People would have less anxiety about money if we talked about it more openly."
Charlotte Walters, Financial Adviser, Avail Financial Planning, on the Pluxee UK podcast
Financial wellbeing support doesn't just benefit employees. It can also contribute to improved engagement, productivity and retention by helping people feel better supported both inside and outside of work.
What are the signs of employee burnout?
The signs of burnout can vary from person to person, but there are several common warning signs employers and managers should be aware of.
These can include:
- Persistent tiredness or exhaustion
- Difficulty concentrating
- Reduced motivation
- Increased stress or anxiety
- Lower productivity
- Withdrawal from colleagues or team activities
- Increased sickness absence
- Trouble sleeping
- Feeling overwhelmed by everyday tasks
Early intervention is important. Providing access to wellbeing resources, mental health support and flexible working arrangements can help employees manage stress before it develops into longer-term burnout.
Sources
Pluxee UK's Financial Wellbeing Guide
Pluxee UK Employee Wellbeing Guide
Pluxee UK Podcast: Your Employee Mental Health Toolkit
Pluxee UK Podcast: Your Financial Health Toolkit
Acorns Children's Hospice Case Study
Written by: Max Denning, Website Content Writer
Reviewed by: Debbie Evans, Pluxee Mental Health First Aider
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