'But You Had Hope': Suzy Welch Says Gen Z Burnout Stems From Vanishing Belief In Hard Work Paying Off

Generational burnout isn't new, but the reasons behind it may be shifting. Suzy Welch, business author and professor at New York University, believes the problem facing today's young workers isn't just about long hours — it's about lost hope.

Speaking on the "Masters of Scale" podcast, Welch reflected on the growing sense of exhaustion among Gen Z and millennials. While previous generations also worked long days, she explained, they carried an expectation that hard work would pay off in the form of career advancement, stability, and financial security.

"Employers are not going to be able to give people hope because there will be layoffs and…people will lose their jobs," Welch said. 

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Burnout Beyond Workload

Research supports her observation. Only 31% of employees under 35 consider themselves "thriving," while 22% reported feeling lonely, according to a 2024 Gallup poll. That lack of connection can fuel mental fatigue.

"When people become more distant physically, you become more mentally distant," Jim Harter, Gallup's chief scientist of workplace and wellbeing, told Fortune. "That's what's happened with younger workers."

Millennials report particularly high levels of burnout. According to an Aflac study, two-thirds experience moderate or severe burnout, often tied to constant connectivity, competitive work environments, and family responsibilities. Many are part of the sandwich generation, supporting both children and aging parents, which compounds stress.

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A Crisis of Hope

Welch said her perspective sharpened after speaking with a 25-year-old freelancer who shared that she and her peers felt "just so burnt out." When Welch replied that she had once worked "seven days a week" at that age, the young woman responded: "But you had hope."

That comment highlighted a key difference between generations. For baby boomers, long hours often translated into promotions, raises, or homeownership. For Gen Z and millennials, however, economic and social realities have made those rewards harder to attain.

Financial Roadblocks

Student debt and housing costs remain major barriers. Empower data shows Gen Z borrowers pay an average of $526 a month toward loans — nearly double the national average. At the same time, home prices have risen far faster than wages. Today, 87% of Gen Z and 62% of millennials say they cannot afford to buy a home, according to IPX1031. 

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Even entering the workforce presents challenges. A Kickresume report found that 58% of 2024 graduates were still looking for full-time employment months after finishing school. Those who do secure jobs often carry high levels of personal debt.

These realities often erode trust in institutions and the idea that working harder will guarantee progress.

The Bigger Picture

The costs of burnout ripple beyond individuals. Gallup estimates workplace stress drains $322 billion annually from businesses in lost productivity and adds up to $190 billion in healthcare expenses. With younger workers set to make up a growing share of the labor force, the challenge of rebuilding engagement and hope is one that employers cannot ignore.

For Welch, the distinction between effort and belief is critical. Baby boomers may have worked exhausting schedules, but they did so with confidence that their sacrifices would pay off. For today's younger workers, she said, that sense of possibility is fading — and it is reshaping the future of work.

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