Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:03):
- Hello and welcome to "Work Week,"
the podcast where wediscuss one big question
about the future of work,
explore what the researchsays about the topic,
and explain what it all means for you.
I'm your host, Dr. Kelly Monahan,
managing director of theUpwork Research Institute.
What you're hearing is adigital proxy of my voice
that was created by ourteam with the help of AI.
(00:25):
May is Mental Health Awareness Month,
and before it ends, we wannahave an important conversation
about work-life integration.
For leaders, Mental Health Awareness Month
is an opportunity toreflect on what you can do
to support the mental health
of everyone in yourorganization, yourself included.
And for employees and freelancers alike,
(00:45):
it's an opportunity to takestock of the boundaries
between your work and personal life,
and to determine if thoseboundaries are meeting your needs.
Whether an organization'sleaders realize it or not,
mental wellbeing is a corepart of their talent strategy.
It directly impacts key metrics,
like engagement, retention,productivity, and innovation.
(01:06):
Organizations that fail
to be strategic about mental wellbeing
are leaving this aspect oftalent management to chance.
In the not too distant past,the goal was work-life balance,
which put these two areasof life into separate silos
and tried to give enough time for each.
Today, organizations need toplan for work-life integration.
(01:26):
Under this model, work and personal life
are not put into separate silos
that compete for the limitedresource of a person's time.
Instead, work-life integrationallows employees to decide
where and when their attention
will be most effectively applied.
In this week's episode,
we wanna explore an aspectof work-life integration
(01:47):
that's come to be called mini-retirements
and what they say about employee burnout.
Last week we discussed how organizations
can address the silver tsunami,
a wave of retirements leadingto talent and skill shortages.
In this episode, we'relooking at retirement
from a different perspective.
Instead of waiting untilthe end of their careers,
(02:07):
an increasing number of workersare taking mini-retirements,
intentional pauses early and mid-career.
A mini-retirement
is an extended, self-initiatedbreak from work.
Instead of the typical two-week vacation,
we're talking monthsor even a year or more
away from professional obligations.
Unlike traditional sabbaticals,
(02:28):
which may require years oftenure and employer approval,
mini-retirements aretypically worker-driven.
People plan for them financially,
often quitting jobs ortransitioning to freelance work,
and choose activities thatfoster personal growth,
wellness, exploration, or simply rest.
In many cases, mini-retirements
(02:48):
are about more than escaping work.
They're about redefiningthe relationship people have
with their careers and their time.
Increasingly, workers are finding
that traditional nine to five models
aren't sustainable fortheir mental health.
In addition to taking mini-retirements,
these workers are turning to freelancing
and independent work asa way to design careers
(03:10):
with built-in flexibility.
This shift offers opportunitiesto take meaningful breaks
without asking for permission,
giving workers greater control
over how work integrates withother aspects of their lives.
The data shows that therise of mini-retirements
can be traced back to oneglaring issue, burnout.
(03:30):
In 2024, the Upwork Research Institute
surveyed 625 full-time workers.
We found that 71% of respondents
reported feeling burned out,
and 65% said they werestruggling with employer demands
on their productivity.
Additionally, a December, 2024 survey
of 2,000 professionalsconducted by Robert Half
(03:52):
found that 33% of respondents
were more burned out thana year prior to the survey.
We posit that this indicatesa rise in people pulling away
from traditional work models
and looking for moreflexible arrangements.
An article in the New York Times
recently covered themini-retirement phenomenon.
In the article, Christopher Myers,
(04:12):
Associate Professor of Management
at the Johns HopkinsCarey Business School,
shared that younger Americans
have shifted their attitude toward work.
According to Myers, youngworkers in particular
feel less incentive to staywith a single employer.
And people generally are more aware
that work often creates atrade-off with wellbeing.
(04:34):
And while mini-retirements are trending,
career breaks aren't a new concept.
In 2022, LinkedIn launcheda feature for users
to spotlight careerbreaks on their profile.
At the time, the LinkedIn talent blog
surveyed nearly 23,000 workers
and found that 62% took a career break
at some point in their careers.
(04:55):
Burnout has grown from an individual issue
to an organizational one.
When workplaces fail toprovide the structures
that allow employees tomanage their mental health
and recharge regularly,workers have no choice
but to create those structures themselves,
whether that means freelancing,
designing a more flexiblecareer path, or stepping away.
Burnout isn't simply about exhaustion.
(05:17):
It's about unsustainable work models.
And workers are choosing
to redesign their lives accordingly.
If you want to understand
where the future of work is heading,
look to Gen Z and younger Millennials.
In Episode 2 of "Work Week,"
Why is Gen Z Embracing Portfolio Careers,
we explored how nearly70% of Gen Z workers
(05:39):
prioritize flexibility and autonomy
over traditional corporate perks.
This generation isn'tcontent to wait decades
for a traditional retirement.
They've seen the risks, recessions,
a global pandemic, layoffs,
and they're building careersdesigned around resilience,
freedom, and fulfillment.
One major strategy?
(06:00):
Freelancing.
Freelancing allows younger workers
to sidestep outdated structures
and design more agile careers.
It gives them the ability tochoose clients and projects
that align with their skills and values.
And it enables them to work remotely
from anywhere in the world.
The flexibility of freelancing
also offers the opportunity
(06:20):
to pause work intentionally for travel,
education, caregiving,or personal wellness
without the stigma ofquitting a full-time job.
For many, freelancingisn't just a backup plan,
it's a deliberate strategy tocreate a sustainable career,
increase earnings, and create space
for mini-retirements wheneverneeded, among other benefits.
(06:41):
And individual workersaren't the only ones
recognizing this growingshift from traditional careers
to increased flexibility.
A 2024 survey of 700 business leaders
from the World Employment Confederation
found that 82% of leaders
considered that the idea of a person
following one careerpath in their lifetime
has gone for good.
(07:02):
Additionally, 83% believe thereis a need to build awareness
of the diverse types of laborcontracts available to workers
and enable individuals tochoose what suits them best.
Freelancing and mini-retirements together
represent a larger cultural shift.
Careers are less rigid andlinear than they once were.
They're flexible frameworks to be shaped,
(07:23):
reshaped, and periodically paused.
Given the data on employee burnout
and the desire for workplace flexibility,
what do mini-retirements revealabout the future of work?
Taken with broadershifts toward freelancing
and other flexible work arrangements,
it highlights five critical realities.
First, mental health is anon-negotiable priority.
(07:47):
May is Mental Health Awareness Month,
but this focus can't beconfined to a single month.
Workers are demanding year-round policies,
cultures, and flexibilitythat protect their wellbeing.
Those demands will only grow louder.
Second, flexibility is no longer a perk.
Flexibility is now an expectation.
For many workers, it'sthe baseline cost of entry
(08:09):
for attracting, engaging,and retaining their talent.
And freelancing is oneof their primary vehicles
to achieving that autonomy.
Third, careers areincreasingly non-linear.
A modern career may now include
periods of full-time employment,
portfolio careers, freelancing,
entrepreneurship, caregiving, education,
and yes, mini-retirements.
(08:31):
Organizations with an employment model
that is based on capturing aperson's work-life full-time
will lose out on top talent.
Fourth, time is the new status symbol.
The ultimate mark ofsuccess for today's workers
isn't just title or salary,it's agency over their own time.
The ability to pause, reset,and return on one's own terms
(08:54):
is seen as a luxury andincreasingly a right.
Freelancing again plays a critical role
in enabling workers toclaim this ownership.
Finally, employers haveto adapt their brands.
Companies that valuenon-traditional career journeys
support freelancers andcelebrate work-life integration,
(09:14):
not just work-life balance,
will have a significant advantage
in recruiting and retaining talent.
If organizations want to reduce burnout
and prevent a mass exodustoward mini-retirements,
flexibility needs to beembedded into company culture
rather than tacked on as an afterthought.
A key part of this isembracing freelancing
(09:36):
and independent talent asstrategic workforce solutions,
not temporary fixes.
Freelancing offers organizations
a way to support flexible career models
while maintaining access tocritical skills and expertise.
I wanna close this week'sepisode as we always do
by sharing an action you can take today
(09:58):
to address this week's topic,
as well as a question to reflect on.
For this week's actionitem for business leaders,
we ask you to audit and improveyour flexibility practices
to minimize employee burnout.
Here are some steps to get started.
First, redefine success metrics.
Move beyond valuing only tenure,
visibility, or always on availability.
(10:20):
Measure worker successbased on outcomes, not time.
Recognize learning, innovation,
resilience, and contributions
that happen acrossdifferent modes of work,
including freelance and contract work.
Second, build agile talent networks.
Find skilled freelancers andindependent professionals
who can supplement internal teams.
(10:40):
This approach helpsorganizations stay nimble
and fill skills gaps quickly.
And it helps employees feelless overworked and burned out
while also offering moreflexible career paths
to internal and external talent alike.
Third, normalize career breaks.
Instead of penalizing career gaps,
celebrate the skills andperspective workers gain
(11:00):
during these periods.
Interview candidates abouttheir freelance projects,
sabbaticals, andmini-retirements with curiosity,
not skepticism.
And finally, offerflexible leave programs.
Formal sabbatical programs,unpaid leave options,
and phased return to work programs
make it easier for employees to recharge
(11:21):
without cutting ties permanently.
And for the independentprofessionals in our audience,
consider auditing your ownwork routines and processes
to identify what may be causing burnout.
And carve out time to pauseand protect your energy.
And for our reflection questionfor leaders, ask yourself,
how can I better supportworkplace flexibility
(11:42):
so employees don't reach a point
where they feel forced totake a mini-retirement?
And for employees, ask yourself,
how can I be more proactive
in finding the flexibilityI need to avoid burnout
while at the same time notburning any employment bridges?
That's a wrap for thisepisode of "Work Week."
I'm Kelly Monahan.
And this week, we posed the question,
(12:02):
what are mini-retirements
and what do they sayabout employee burnout?
And we discussed actionableways to encourage flexibility
and prioritize mentalhealth in the workplace.
If today's conversationresonated with you,
share it with a colleague or friend.
And be sure to subscribe for more insights
from the Upwork Research Institute.