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Under Pressure: The Insidious Impact of Stress on Your Team’s Performance

Under Pressure: The Insidious Impact of Stress on Your Team’s Performance

Mar 04, 2025 | 5 min read
By Janelle Beck, Senior Copy Editor & Tracey Carney EdD, Research Manager

Think about the last time you were stressed – really stressed. Whether it manifests as a knot in your stomach that won’t go away, a general feeling of irritability, or pervasive brain fog that makes getting things done feel like a herculean task, experiencing stress, whatever the source, is…unpleasant.

Described as a state of mental or emotional strain resulting from adverse or demanding circumstances and can be caused by a number of factors like work pressure, personal or family issues, or significant change, stress has a pervasive and insidious impact on pretty much every area of daily life- especially work.

Think about it, when you are experiencing high levels of stress, do you bring your best self to the office? Unless you are superhuman, the answer is probably no. And who could blame you? Whether the source of stress is coming from your personal life, the world at large, or work itself, it’s hard to show up as the most patient, collaborative, and productive version of you when it feels like the walls are closing in.

Considering the rapid changes in the world of work over the last five years, and what feels like whiplash inducing changes happening in the world in general, it is no wonder that people are experiencing record low levels of engagement and high levels of stress.

Wiley Workplace Intelligence wanted to understand how people are feeling in this rapidly changing environment, and how stress impacts teamwork and productivity. Our research outlines a clarion call to organizations that the time is now to invest in employee wellbeing and combat the negative effects of stress to ensure your teams – and bottom line – stay strong in this turbulent time.

Work-Related Stress: A Growing Concern

We surveyed 2,002 people about their stress levels, predominant causes, and how stress levels impact teams, as well as what leaders can do to combat this concerning trend.

We found that a whopping 95% of those surveyed reported experiencing some level of work-related stress, with a significant 36% reporting extreme levels. While it’s clear that everyone experiences some level of daily stress, such a large percent reporting extreme levels is a red flag. Extreme stress can manifest in a number of profound ways such as anxiety, moodiness, irritability, or even physically, with respondents reporting headaches, fatigue, and muscle tension more than once a week.

Impacts of Stress

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89% report emotional symptoms

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82% report physical symptoms 

Our research showed that the primary causes of this increased level of stress at work are constant change, too many responsibilities, and a lack of clarity or clear expectations.

The Impact of Stress on Teamwork and Leadership

When people experience a significant level of ongoing stress, it becomes hard, arguably almost impossible, for them to show up and work cohesively with their teams and productively on their workload.

The foundational elements of productive teamwork include effective communication, building trust, and working through conflict together. However, these can be challenging when people are juggling increasing responsibilities, navigating organizational changes or policy implementations, and trying to decipher expectations in an environment of rapid change, instability, and new technology.

When everything feels overwhelming, taking the time to connect, build trust, and work through problems together (while assuming good intentions) are often the first things to go, and we found that teamwork takes a significant hit when stress is high.

Negative Impacts of Stress on Teamwork

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70% say stress impacts productivity

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67% say stress affects relationships

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56% report that stress affects motivation

It’s important that organizations do what they can to reduce stress, as leaders who are responsible for maintaining morale, and providing structure and clarity during uncertain times, set the tone for their team and people managers are bearing the brunt of extreme stress.

Stress can significantly hinder a leader’s ability to motivate their team by impairing decision-making, leading to fatigue and strained communication. Chronic stress can also cause burnout, making leaders less effective and less able to inspire their teams. Additionally, stress can lead to irritation or isolation, causing misunderstandings and a breakdown in team cohesion. This can spread stress to the team, lowering overall morale and productivity. Managing stress is crucial for leaders to maintain their effectiveness and keep their teams motivated and productive.

Key Strategies for Reducing Stress

Organizations can reduce stress in their workforce by implementing several key strategies.

Creating a supportive environment, which helps alleviate stress for 63% of respondents, is crucial as it makes employees feel valued and understood. Offering flexible work arrangements remains a popular accommodation in the post-pandemic world and is reported as an effective way to reduce stress for 59% of people managers.

Encouraging the use of paid time off (PTO) is another important strategy, with 56% of managers noting its benefits in helping employees avoid burnout. Regular check-ins, supported by 55% of managers, ensure that employees feel connected and supported, allowing for early identification and resolution of stressors. By adopting these practices, organizations can foster a healthier, more productive work environment.

Ways to Alleviate Stress at Work

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Create a supportive environment

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Offer flexible work arrangements

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Encourage use of PTO

Woman speaking to a teammate with conversation bubble illustrations in the upper right corner.

Conduct regular check-ins

While the world of work shows no sign of slowing down, and teams are likely to continue to face challenges that test their cohesion and trust, taking time to invest in reducing workplace stress will pay dividends in how your teams show up for each other during these times of rapid change.

Wiley assessment brands lay the groundwork for cohesive teams. Specifically, The Five Behaviors learning experience offers a powerful framework for building successful teams. By fostering healthy teams across an entire organization, you can drive internal growth and retain top talent.

Wiley Workplace Intelligence conducts in-depth research on key workplace issues by gathering insights from individual contributors, managers, and leaders. Wiley Workplace Intelligence then analyzes these findings to provide actionable solutions that are shared in our blog.

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