AI-driven changes are increasing mental health needs. Leaders may not be ready.

Employers already face significant challenges in dealing with employee mental health issues, but the rapid pace of workplace transformation seen throughout 2026 almost certainly will intensify the storm.

A recent survey of workers confirms these concerns. In the first quarter of this year, 65% increase in burnout We compared the results reported by Glassdoor users to the same period in 2025. In another May report by Monster, 59% of employee respondents said: Their work takes a toll on their mental health.

Sources who spoke to HR Dive said it was not difficult to identify the culprit. At the top of the list is artificial intelligence. Haphazardly integrated into organizational processes This has led to concerns about mobility and skills decline.

Brittany Cole, CEO and founder of Career Thrivers, a consulting firm focused on leadership development, said the rise of AI comes with its own constant sense of urgency, which, combined with the lack of psychological safety in many workplaces, can lead to burnout.

“It feels like big changes are happening every week,” Cole said, adding that managers are rarely equipped to personally handle the speed of change, much less lead other employees through it.

More and more HR professionals seem to be recognizing the need for mental health practices to be responsive to this moment. More than half (55%) of respondents to this year’s HR Identity survey say mental health and wellness will become more important to their organization in the next three to five years, up from 48% who said the same in 2025.

But coming up with meaningful solutions may require departments to rethink their processes for evaluating, developing, and promoting leaders. According to Ryan Rush, senior talent solutions consultant at Hogan Assessments, this is the key to proactively addressing mental health issues rather than reactively.

“There are many organizations that represent mental health through benefits and awareness campaigns,” Rush says. “It’s valuable, but it’s not enough to live a day-to-day life where your work environment is detrimental to your well-being.”

When Leadership Qualities Do More Harm than Help

Often, the same behaviors that employers encourage in new leaders exacerbate mental health issues in the workplace, Rush said. Leadership candidates can be rewarded, whether intentionally or unintentionally, by having a persistent attitude, an overly competitive approach, or frequently choosing to overwork.

These traits can lead to long-term psychological strain, Rush added. Leaders may have a hard time delegating well or become defensive when it comes to constructive feedback. Others are encouraged to be overconfident in their own abilities, even though they do not fully value qualities such as resilience.

“All of this can lead to burnout, lack of motivation, and decreased psychological safety,” Rush says.

Lisa Gross, chief human resources officer at wellness app Headspace, said in an email that companies may promote and reward leaders who are always available. Organizational policies and benefits programs may extol the importance of mental health, but those well-intentioned efforts are undermined when leaders refuse to unplug late at night or when they take vacations, she added.

“People lead the way they are taught to lead,” Gross said. “People who don’t give themselves room to rest and recover are unlikely to give that room to others.”

If human resources departments want a workplace that is more conducive to mental health, resilience must be “at the core” of leadership efforts, Cole said. Leaders must also be skilled in traditional soft skill areas such as empathy, communication, conflict management and resolution, and dealing with stress.

Rush says sustainable organizations employ leaders who can balance accountability and empathy, allowing employees to perform without constant exhaustion or pressure. Leading by example is a big part of that job.

“Employees will be more resilient if the systems they work in are healthy, work expectations are realistic, and leaders themselves model sustainable behavior,” he said.

AI could be the best or worst thing for your mental health

To say that AI is having an impact on employee mental health might be the biggest understatement ever. This technology has raised concerns about skills decline and exclusion, with one Gartner analyst recently stating: AI will “destroy millions of carriers”.

Gross said this discourse points to a different wave of technology than in years past. While some employees may feel energized by the potential of AI, others are beginning to question their value as an employee and whether they can continue to do so, and many see a mix of both. Either way, concerns about AI affect employees’ focus, decision-making, and energy on a daily basis.

“This is a human story about pace, identity and uncertainty,” Gross said.

Cole said there are positive uses for AI in promoting mental health. For example, organizations can use it to improve schedule flexibility, identify burnout trends through data analysis, and reduce time-consuming administrative tasks so employees can focus on other tasks.

But ultimately, she continued, it’s how the technology is implemented that will determine its impact on mental health. For organizations to achieve this sustainably, they must be transparent about how exactly AI is being used and invest in reskilling employees so that they feel ready to use AI, rather than feeling threatened by it. We can also implement ethical AI policies that guide with human dignity.

“Sometimes it’s the best thing that can happen to mental health, and sometimes it’s the worst thing that can happen to mental health,” Cole said of AI.

Employers should also avoid assuming that employees intuitively know how to use AI, or that using AI will necessarily lead to increased productivity, Rush said. He added that leveraging the benefits of AI will require reskilling employees, but as technology becomes more integrated, they will also need time to connect with colleagues and leaders.

“If AI is reducing opportunities for meaningful interpersonal relationships, organizations may see an increase in disengagement and isolation,” Rush said.

workplace versus the world

There are many stressors beyond the workplace and AI, from the cost of living to personal challenges. Human resources departments can’t fix everything that can affect an employee’s mental health, but they can control whether the workplace makes daily life stress worse or more manageable, Cole said.

Employers have many options to design workplaces “for the whole person,” in Cole’s words, including flexible scheduling, clear designation of availability, and providing support for caregivers. In addition to leadership Training on psychologically safe practices Things like empathetic communication and mental health awareness.

“They’re not perks; they’re a structural recognition that employees have lives outside of work, and that impacts how they approach their work,” Cole says.

The important thing for HR professionals to realize, according to Gross, is that employees don’t differentiate between work stress and other types of stress. Round-the-clock notifications and back-to-back meetings contribute to the same mental strain as widespread economic uncertainty, indicating that mental health benefits alone are not enough to alleviate tension.

“In my experience, people can maintain high performance, but they don’t always stay in a state of exhaustion,” Gross says. “Good organizations recognize that energy is a renewable resource only if it can be replenished. Companies that succeed in this focus on both structural change and benefits that really work for their employees.”

But compensation and benefits are important, Rush said. Employers still need to be able to reduce financial insecurity, provide employees with salaries that represent true market value, and access to programs that promote wellness. But ideally, these services should complement a sustainable and psychologically safe workplace, Rush said.