During times of economic uncertainty

 

In today's fast-paced world, where economic uncertainty has become the norm, taking care of your mental health is more important than ever. Job insecurity, inflation, and financial problems can increase feelings of stress, anxiety, and burnout, creating a breeding ground for mental health issues. This article provides practical strategies to help you cope with these challenges and maintain your well-being, even when external circumstances seem overwhelming.

Understanding the impact of economic stress

Financial uncertainty affects more than just our bank accounts — it also has a profound impact on our mental health. According to the 2023 Stress in America survey conducted by the American Psychological Association, money remains the number one stressor for Americans: 65% of respondents say money is a significant source of stress in their lives.

When 34-year-old marketing professional Sarah was furloughed during a company restructuring, she described the experience as ‘living with a constant knot in my stomach.’ Her story echoes what researchers at the World Health Organisation have found: economic instability can cause or exacerbate anxiety disorders, depression and symptoms of burnout.

How to recognise burnout in the modern workplace

Burnout is not just fatigue; it is a state of chronic stress that leads to:

Physical and emotional exhaustion

Cynicism and alienation

Feelings of ineffectiveness and lack of achievement

Alex, a programmer in his thirties, didn't realise he was burnt out until it became serious. ‘I thought that constant fatigue and irritability were just part of adult life,’ he shared. ’It was only when I found myself sitting and staring at my computer screen, unable to write a single line of code, that I realised something was seriously wrong.’

According to a study published in the Journal of Occupational Health Psychology, burnout levels have risen by nearly 30% since the start of the pandemic, with economic uncertainty being one of the main contributing factors.

Practical strategies for managing stress and anxiety

1. Practise financial awareness

Financial stress often stems from uncertainty and a lack of control. Small, achievable steps toward financial awareness can help reduce anxiety:

Create a realistic budget that allows for some flexibility for self-care

Set aside even small amounts for unexpected expenses whenever possible (5–10 pounds a week will add up over time)

During times of financial difficulty, learn to distinguish between ‘wants’ and ‘needs’

Emma, a single mother working in education, started practising a ‘money minute’ — just 60 seconds a day to check her finances. ‘It sounds too simple, but consistently taking that minute to check my accounts has reduced my financial anxiety because there are no more “unknown” expenses in my head.’

2. Use boundary-setting techniques

During times of economic uncertainty, many people feel pressure to overwork to prove their worth. This path leads straight to burnout. Try the following boundary-setting techniques:

Set a clear work schedule and communicate it to your colleagues

Create physical transitions between work and personal time (even in your home office)

Practise saying ‘no’ to additional responsibilities when you are already busy

Michael, a retail manager, has created a ‘work completion ritual’ that helps him disconnect from work: ‘I write down the three most important things I need to do tomorrow, close my laptop and say out loud, “Work is done”. It sounds silly, but it signals to my brain that work thoughts can wait until tomorrow."

3. Use proven stress reduction techniques

Research from the National Institute of Mental Health confirms the effectiveness of the following approaches to stress management:

Short mindfulness practices: Even 5 minutes of focused breathing can activate your parasympathetic nervous system.

Progressive muscle relaxation: Systematically tensing and relaxing muscle groups to reduce physical tension.

Cognitive reappraisal: identifying catastrophic thinking and challenging unhelpful thought patterns.

Lisa, an emergency room nurse working in a staff shortage, uses the ‘5-4-3-2-1’ technique when she feels overwhelmed: ‘I identify 5 things I can see, 4 things I can touch, 3 things I can hear, 2 things I can smell, and 1 thing I can taste. This brings me back to the present when I'm overwhelmed by anxiety about the future.’

Building resilience during economic uncertainty

Resilience is not about ‘enduring,’ but about developing sustainable practices that help you bend but not break:

1. Develop meaningful social connections

Research consistently shows that social support is one of the strongest protective factors against mental health problems. During times of economic hardship, isolation can amplify negative feelings.

Plan regular get-togethers with friends and family

Consider joining community groups or volunteering in ways that align with your values

Be honest about your struggles with trusted people in your life

After losing his job in a restaurant during the economic downturn, James started hosting weekly dinners with other people in the service industry. ‘We share job leads and vent our frustrations, but mostly we remind each other that we're not alone in this. It's been an emotional lifeline for me.’

2. Focus on what you can control

Economic uncertainty often causes feelings of helplessness. Psychologists recommend:

Define your ‘circle of control’ and ‘circle of concern.’

Set small, achievable daily goals to develop a sense of self-worth.

Create a daily routine that provides structure during uncertain times.

Pria, a freelance designer with an unpredictable income, has established a morning routine that remains the same regardless of her workload. ‘Starting each day with the same sequence of activities — meditation, journaling, and a short walk — gives me a foundation of stability when everything else feels uncertain.’

3. Practise self-compassion

Self-compassion researcher Dr. Kristin Neff has found that treating yourself with the same kindness you would treat a good friend can significantly reduce the negative impact of difficult circumstances on your mental health.

Replace self-criticism with self-kindness

Remember that struggling during difficult times is part of the human experience

Practice mindful acceptance of painful feelings without identifying with them

When David was laid off from his job as an accountant, he fell into a spiral of harsh self-criticism. ‘Learning to talk to myself the way I would talk to a friend going through the same thing changed my life. Instead of “I'm a failure,” I started saying, ’This is really hard, and it's okay that I'm upset.

When to seek professional help

While self-help strategies are valuable, sometimes professional support is necessary. Consider seeking help if:

Your symptoms interfere with your daily life for more than two weeks

You have thoughts of suicide or hopelessness

You are using substances more frequently to cope

Friends or family members express concern about changes in your behaviour

Many mental health professionals offer flexible payment options, and online therapy has made treatment more accessible than ever.

Moving forward: integration and resilience

The most effective approach to managing mental health during economic uncertainty combines several strategies tailored to your unique situation. Start small — implementing one technique at a time will help avoid overwhelm.

Remember that maintaining mental health is not a linear process. There will be setbacks and difficult days. The goal is not to achieve perfection, but to build a set of resources that will help you cope more easily over time.

As Maya, a project manager who successfully overcame burnout, says, ‘Economic circumstances may be beyond my control, but how I respond to them is not. Taking care of my mental health is not a luxury; it's what allows me to weather any financial storm.’

Links and resources

American Psychological Association. (2023). Stress in America 2023. https://www.apa.org/news/press/releases/stress/

World Health Organization. (2022). Mental health and economic uncertainty. https://www.who.int/publications/

Maslah, K., & Leiter, M. P. (2022). How to accurately measure burnout and effectively use the results. Journal of Occupational Psychology, 27(1), 1-14.

National Institute of Mental Health. (2023). Stress management techniques: evidence-based approaches. https://www.nimh.nih.gov/health/

Neff, K. D., & Germer, K. K. (2021). Self-compassion-based interventions for improving psychological health. Journal of Counselling Psychology, 68(6), 639-652.

Mental Health America. (2024). Finding affordable mental health care. https://mhanational.org/finding-therapy

Substance Abuse and Mental Health Services Administration. National Hotline: 1-800-662-HELP (4357)

Note: This article is for informational purposes only and is not a substitute for professional medical advice, diagnosis, or treatment.