Australian workers are experiencing widespread burnout driven by poorly designed systems, workplace friction and constant distractions, with a significant impact on productivity, a new report has found.

The State of Workplace Burnout report, produced by Sydney-based think-tank Infinite Potential in partnership with Beyond Blue and the University of Technology Sydney’s Ultimo Institute, is based on a survey of nearly 2,000 participants, including just under 1,000 Australians.

More than a third of Australian workers reported experiencing burnout, with the report identifying workplace friction and distractions, rather than difficult or complex work itself, as key contributors.

Just under half of respondents said their wellbeing had deteriorated over the past year, while a similar proportion reported experiencing loneliness at work.

Nearly three-quarters of the Australian workers said they regularly encountered poorly designed systems when trying to complete their work.

Workers who experienced this kind of friction were 74 per cent more likely to report burnout, while a high cognitive load was associated with a 1.7 times greater likelihood of burnout.

Pushing workers is backfiring

The report found reducing unnecessary workplace friction could improve both productivity and employee wellbeing.

“We are running two national conversations that have never been introduced to each other,” Infinite Potential managing director Dr John Chan said.

“One is about productivity. The other is about wellbeing. This data shows they are deeply connected. You cannot ask a depleted workforce for more output and expect to get it…pushing harder does not produce more.”

Nearly half of respondents experiencing burnout said the quality of their work had declined over the past year, compared with just over one in 10 workers who were not experiencing burnout.

Workers experiencing burnout were also significantly more likely to report poorer mental health, lower wellbeing and greater workplace loneliness.

Beyond Blue CEO Georgie Harman said healthier workers were better workers.

“People do their best work when they have the energy, support and connection they need to thrive,” Harman said.

“When workers are constantly depleted, overwhelmed or isolated, it affects their mental health and their ability to contribute to their full potential.

“These findings reinforce the importance of creating workplaces where people feel supported, connected to one another and able to seek help early.

“Looking after people’s mental health is good for individuals, good for workplaces and good for productivity.”

Burnout a lagging indicator

The report urged Australian organisations to address the causes of burnout before they become evident in employee surveys, absenteeism or staff turnover.

“Burnout is a lagging indicator,” Chan said.

“By the time it appears in your engagement survey, absenteeism or turnover data, the damage is already underway.

“Cognitive load is a leading indicator. It moves first, it can be measured, and it points directly to things organisations can change.

“The approvals, the duplication, the meeting load, the interruptions. Complex work is not what is breaking people. Fighting the system is.”

The report recommended reducing unnecessary workplace friction, streamlining systems and processes, scrapping excessive meetings, and strengthening psychological safety.

Ultimo Institute researcher Dr Anna Stephens said burnout should be treated as a company-wide issue, rather than an individual responsibility.

“It’s easier to offer a mindfulness app or a free yoga session than it is to redesign jobs, manage workloads or rethink how work gets done,” Stephens said.

“But you can’t yoga your way out of poor work design. We know that one of the strongest drivers of burnout is how work is organised; the solutions to burnout should not rest solely with employees.”

Previous research has found burnout rates remain stubbornly high among Australian workers.

A study from earlier this year found more than half of all Australian workers had taken sick leave due to mental exhaustion, while nearly a third had done so specifically because of burnout.

The number of Australians making workplace mental health insurance claims has also increased by nearly 20 per cent in the past year.