A positive work culture boosts profits
Organizational Solutions
Erwin van den Burg
Organizational Solutions
10/03/2025
3 min
0

How to Build a Low-Stress Company Culture (That Also Boosts Performance)

10/03/2025
3 min
0

Culture is one of the most powerful — yet underestimated — drivers of stress in organizations. Workload, deadlines, and job design certainly play their part, but it is culture that determines how employees experience and respond to these demands. A supportive culture can make challenges feel manageable, while a toxic one can turn even simple tasks into sources of chronic stress.

When we speak of “company culture,” we don’t mean slogans on a wall or formal policies. Culture is the unwritten code of how people actually work together — the habits, behaviors, and norms that shape daily interactions. It shows up in how decisions are made, how conflicts are handled, and what is celebrated or ignored. Sometimes it’s even visible in very simple things, like what time people typically arrive in the morning and leave at night.

Unlike products, services, or even strategies, culture cannot be copied by competitors. It is unique to each organization, shaped by daily interactions, leadership behavior, and shared values. A strong culture can therefore become a genuine competitive advantage — both in employee wellbeing and in organizational performance.

Why Culture Matters for Stress

Research consistently shows that culture has a direct impact on stress and performance.

  • In toxic cultures, absenteeism, burnout, and turnover are higher.
  • In healthy cultures, employees are more resilient, engaged, and productive.

The “glue” of culture lies in what leaders tolerate, reward, and ignore. A culture that normalizes overwork or silence about stress issues will inevitably fuel chronic strain. A culture that values boundaries, open dialogue, and recognition creates conditions where employees can perform sustainably.

Importantly, a low-stress culture is not a “nice-to-have” perk. It is a business necessity that directly influences financial results.

Signs of a High-Stress Culture

High-stress cultures often share the same traits:

  • Always-on availability — employees feel pressured to respond at all hours.
  • Normalization of overtime — long hours seen as loyalty rather than inefficiency.
  • Lack of psychological safety — fear of raising concerns or admitting limits.
  • Rewarding firefighting — crises and last-minute heroics valued more than consistent results.

Employees in such cultures frequently describe feeling drained not only by their workload, but also by the atmosphere of constant urgency and silence around wellbeing.

Elements of a Low-Stress Culture

A low-stress culture does not mean eliminating demands or lowering standards. Instead, it focuses on creating clarity, fairness, and support. Core elements include:

  • Clarity: clear goals, transparent priorities, and reduced conflicting demands.
  • Autonomy: trusting employees to manage their work within defined frameworks.
  • Recovery respect: breaks, vacation, and offline time are protected — and modeled by leadership.
  • Support: managers and peers openly discuss stress and offer resources when needed.
  • Recognition: effort and collaboration are valued, not just output.

These principles form the foundation for a culture that prevents unnecessary stress while enabling high performance.

How a Low-Stress Culture Boosts Performance

The widespread misconception is that reducing stress will lower performance. Evidence shows the opposite: organizations that prioritize wellbeing outperform those that rely on chronic pressure.

  • Gallup found that business units in the top quartile of employee engagement — a product of healthy culture — achieved 23% higher profits than those in the bottom quartile.
  • The Oxford Wellbeing Research Centre and McKinsey reported that companies ranked highest for workplace wellbeing consistently outperformed major stock indices.
  • A study of companies with a strong culture of health and wellbeing found they outperformed the stock market by about 2% per year — a significant compounded advantage.
  • Another long-term analysis of “positive stress” companies (where culture fosters growth and support) showed their stock values grew 5.1× over ten years, compared to 3.7× in less healthy environments.

These findings underline a crucial point: a low-stress culture is not only compatible with performance — it actively drives it. Employees in such cultures make fewer errors, show more creativity, and remain motivated for longer. It is a genuine win-win: healthier employees and stronger business results.

What Employees Can Contribute

Culture is not shaped by leadership alone; it is also co-created by employees. Individuals can play an important role in reinforcing a low-stress environment by:

  • Organizing social activities that foster connection and belonging.
  • Offering help to colleagues when they are overloaded, reducing feelings of isolation.
  • Normalizing conversations about stress so colleagues feel safe to share challenges.

These actions may appear small, but together they create an atmosphere where support and cooperation replace silence and competition.

Practical Steps for Organizations

Building a low-stress culture does not require radical transformation. Organizations can start with small, targeted actions:

  • Survey employees to identify key stress bottlenecks.
  • Review workload and availability policies to ensure boundaries are realistic.
  • Pilot initiatives such as meeting-free afternoons or focus hours.
  • Train leaders to recognize stress signals and model recovery behavior.
  • Recognize and reward behaviors that promote sustainable performance.

These steps send a clear message: the organization takes stress seriously and values long-term health and productivity.

Conclusion

Culture is one of the few things in business that, unlike a product or service, competitors cannot copy. A strong, low-stress culture is therefore a unique and lasting advantage. It not only protects employee wellbeing but also drives higher performance, engagement, and retention.

For organizations, the choice is clear: invest in building a culture that reduces stress, and you create a workplace that is healthier, more productive, and more competitive. It is not a trade-off — it is a win-win.

👉 Interested in measuring stress in your organization and finding practical solutions? Explore our Workplace Stress Bottleneck Survey

Comments
Categories