Workplace stress in Malaysia is escalating, with employees feeling unsafe to voice concerns, harassment going unchecked, and burnout reaching critical levels, a recent survey has revealed. The 2025 Well-being@Work Report found a worsening crisis, with lower-level employees suffering the most. The study provides a comprehensive analysis of psychosocial risk, well-being, psychological safety, and self-esteem in workplaces nationwide. Conducted over two years with data from more than 3,400 employees, the findings highlight a sharp decline in worker morale and mental health.
Overall workplace well-being has dropped to 62 per cent, marking a three-point decline from the previous year. Psychosocial risk—encompassing stress, burnout, and workplace toxicity—has risen by six points to 40 per cent. Psychological safety has fallen to 66 per cent, down two points from 2023, while employee self-esteem has dropped one point to 68 per cent. Workplace harassment and discrimination remain unchanged at 13 per cent, showing little progress in tackling the issue.
The study points to a disproportionate impact on women, young employees, and junior staff. Female employees report lower well-being levels than male colleagues, while younger workers and those in entry-level positions experience the worst conditions, reflecting deep-rooted inequalities in Malaysia’s workplace culture.
“Workplaces are central to economic growth, but ignoring well-being will lead to a collapse,” said Hetal Doshi, CEO of O-Psych and founder of the Well-being@Work© movement. “If employees are burning out, breaking down, or being left behind, businesses will suffer.” Michele Kythe Lim, president and CEO of the Institute of Corporate Directors Malaysia, urged organisations to implement structures that mitigate stress and prevent toxic cultures. “Neglecting employee well-being can lead to increased absenteeism, higher turnover rates, and diminished performance, ultimately affecting the company’s bottom line.” Hetal said employers must pay attention to their employees’ mental health. “If we keep ignoring these warning signs, we’re not just harming individuals—we’re undermining the future of the workforce.”
The report also makes recommendations to employers and authorities, including workplace policy reforms, mental health programmes, and stricter enforcement of regulations on harassment and discrimination.
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