Understanding the mental health challenges for Gen Z workers

Generation Z workers are experiencing significantly higher rates of depression, isolation, and feelings of inadequacy compared to their older colleagues, according to a comprehensive new study by MetLife examining workplace well-being across generations.

The Employee Benefit Trends Study for 2025, which surveyed nearly 3,000 full-time employees aged 21 and over, revealed that 46% of Gen Z respondents reported feeling stressed, compared to 35% of employees from other generations. The study also found that 44% of Gen Z workers experienced burnout, notably higher than the 34% average among other age groups.

Mental health challenges among Gen Z workers extended beyond stress, with 35% reporting depression compared to 20% of other generations. The study highlighted a concerning trend in workplace isolation, with 30% of Gen Z employees feeling isolated, surpassing the 22% reported by other age demographics.

The impact of these mental health challenges is reflected in workplace performance metrics. While 79% of Baby Boomers reported being engaged at work, only 60% of Gen Z workers shared similar sentiments. The productivity gap was equally stark, with 86% of Boomers reporting high productivity compared to 64% of Gen Z workers.

The MetLife report attributes these struggles to unique generational experiences. "Given what Gen Z has experienced in their lifetimes—beginning their careers during a global pandemic, growing up with social media, living with climate anxiety—their struggles are understandable, particularly with mental and social health," the report states.

Financial wellness emerged as another critical concern. Only 50% of Gen Z respondents reported satisfactory financial health, compared to 58% across other age groups. More than half of the generation born between 1997 and 2012 rely on financial support from parents, family, friends, or government assistance.

A separate Bank of America study found that Gen Z prioritizes spending on essential needs, with groceries, rent, utilities, and phone contracts topping their expenditure list. Health insurance payments accounted for 49% of their spending.

The MetLife study suggests that employers can address these challenges through targeted benefits packages. The research indicates holistic health benefits, including life and accident insurance, can substantially improve Gen Z employee well-being. Additional benefits such as pet insurance, dental coverage, and commuter benefits enhanced loyalty among Gen Z workers.