A Worried Workforce

Unemployment creeping higher. Mysterious drones flying around multiple states. AI replacing people at work. Multiple wars. The specter of higher inflation.

As 2025 draws near, employees are facing anxiety-inducing elements on multiple fronts. Surveys taken after the US election indicate that more than 30% of workers believe they have little or no job security and that 30% of them feel that their families are falling behind financially. Plus, after the recent shooting of a healthcare executive, some workers even worry they might be hounded on social media, or ostracized by neighbors, based on what industry or company they work for.

As we enter a New Year, it probably isn’t an ideal environment for leaders seeking to persuade employees to work efficiently, be creative, and push to meet goals. But experts say leadership shouldn’t dismiss these anxieties. “Employees are adults, what they feel is valid,” says Tamara Rodman, a senior client partner in Korn Ferry’s Culture, Change and Communications practice.

Most CEOs aren’t feeling the same anxiety. Many are facing uncertainties, such as AI, of course, but according to a survey conducted shortly after the US election, nearly half said they’re optimistic about the global economy, up from a low of just 7% in the fall of 2023. Top leaders are downright giddy about their own companies: 84% of them say they’re optimistic about their firm’s prospects, compared to 69% a year ago.

CEO are upbeat, experts say, for a couple of reasons: Falling interest rates have lowered the cost of financing projects, and the slowing rate of inflation might keep other costs from rising quickly. Plus, CEOs seem optimistic that the incoming US administration will reduce regulations, which can delay projects or make them more expensive. “There’s a general trend that things are open for business,” says Kate Shattuck, a Korn Ferry managing partner.

Experts say that CEOs should acknowledge employees’ anxieties before passing along their enthusiasm. Then, Rodman says, bosses can lay out the data or facts that make them optimistic. Such discussions also can help to create a sense of camaraderie, says Cheryl D’Cruz-Young, senior client partner in Korn Ferry’s Global Energy practice. “Tell people what we can do working together to achieve goals,” she says.

Hiring new recruits is often a way to show anxious employees that the outlook is improving. JP Sniffen, practice leader of Korn Ferry’s Military Center of Expertise, says several of his clients have ended hiring freezes recently, either because business was picking up or because the organization had stretched existing employees too thin. “You can tell people, ‘We are optimistic enough to move forward and actually hire people,’” he says.

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