Ryan FowlerRising employment costs in the form of higher National Insurance Contributions (NICs) and an increased National Minimum Wage are pushing UK employers to demand more from their staff, creating a potential well-being crisis, according to recruitment specialist Robert Half.
In its 2025 Salary Guide, Robert Half found that 39% of employers are planning to implement stricter performance metrics in a bid to drive greater productivity. With payroll expenses rising sharply, businesses are seeking to justify these costs by squeezing more output from existing employees.
However, the same research reveals that 62% of workers are already concerned about being overworked—highlighting the risk of fatigue and burnout as businesses attempt to “do more with less.”
Employers are also reassessing their recruitment strategies, becoming more selective and targeting experienced candidates who can justify higher pay by delivering stronger results. Others are instead focusing on internal optimisation through upskilling and investment in technology. But the combined effect is leading many to cut back on workplace benefits and well-being programmes that had previously helped attract and retain staff.
Matt Weston, senior managing director UK & Ireland at Robert Half, said: “We’ve seen a growing trend in worker concerns around mental exhaustion for some time now. However, we are now in a position where the majority of staff are worried that they will be over-worked. What is perhaps more concerning is that employers are potentially at risk of exacerbating this issue as they attempt to justify the increased costs of hiring.”
Weston added: “With budgets being stretched, it’s no surprise that companies are looking to improve productivity levels, and with people a company’s greatest asset—but also biggest expense—attentions have understandably turned to the workforce and how to get more value for money. When we also consider that there is a general consensus that recruiting higher-performing individuals requires greater financial investment, it perhaps makes sense that firms are considering how they can get more from their people.”
He suggested that contractors and temporary staff could offer a more flexible and cost-efficient alternative to permanent hires. But Weston also warned that pushing staff too far could backfire.
“The risk of staff overload and long-term workforce strain is very real, and employers need to be mindful of the lasting impact this could have,” he said. “There’s also the potential for productivity to be damaged further down the line as staff absences and attrition rates increase. There is also the possibility for employer brands to be impacted as a result of worker dissatisfaction and high levels of staff turnover.”
Weston concluded: “It’s understandable that businesses want to improve productivity—particularly at a time when employment costs are so high—but a careful balance needs to be struck so as not to hinder future growth opportunities and longer-term recruitment prospects.”
