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The High Cost of Workplace Loneliness (and What to Do About It)

Writer's picture: Russ PowellRuss Powell

Amid the rapid pace and competing priorities of startup life, it's easy to overlook a silent drain on your most valuable resource: your people. That drain is loneliness, and it's costing your business more than you think.



Gallup's 2024 State of the Global Workplace report found that one in five employees worldwide feels lonely at work.(1) BetterUp's recent survey put the number at 43%.(2) For those lacking meaningful work connections, the risk of burnout jumps 78%, anxiety 107%, and overall loneliness 128%.(2)

As a startup leader, you may feel the urgency to address this crisis, but lack clear solutions amidst constraints on time and resources. The good news: a cutting-edge, cost-effective intervention is hiding in plain sight. It's called peer coaching.


The ROI of Peer Coaching


Peer coaching is a structured process where employees support each other to solve real work challenges. In facilitated sessions, small groups use battle-tested frameworks to build trust, expand perspectives, and hold each other accountable for growth and measurable results.


The benefits are compelling:


  • Participants gain a shared toolkit for efficient, collaborative problem-solving.

  • Teams see gains in both output and cohesion as they tackle issues independently.

  • Individuals develop key leadership skills while forging meaningful relationships.


Best of all, peer coaching can be seamlessly integrated into existing workflows. Just a few hours per month yield outsized returns on culture and performance - a startup's greatest competitive advantages. [Discover how peer coaching is driving innovation in top startups.]


A Data-Driven, Multifaceted Approach


Of course, peer coaching is not a silver bullet. To truly move the needle on workplace loneliness, consider these research-backed practices:


  1. Measure to improve. Benchmark your culture's connective tissue with tools like the Work Loneliness Scale, validated by Drs. Hadley and Wright's extensive research.(1)

  2. Engineer serendipity. Optimize your physical and digital spaces for organic collaboration, taking cues from Steve Jobs' design of Pixar's headquarters to maximize unplanned interactions.(3)

  3. Leverage tech for remote connection. Use apps like Donut or Watercooler to facilitate virtual "coffee chats" and interdisciplinary projects that bond distributed teams. Complement with quarterly in-person offsites to solidify relationships.

  4. Invest in peer-to-peer learning. Empower employees to lead skill-sharing sessions on topics that blend work and play, from Python to poker strategy. Watch as knowledge-sharing sparks new connections.


Building a culture of authentic connection is not a "nice-to-have"—it's a strategic imperative. In an era of relentless change and digital distance, it's more urgent than ever. As a startup leader, you have a unique opportunity to hard-wire belonging into your organization's operating system before suboptimal defaults set in.


The path forward is clear, even if not easy. By implementing evidence-based practices like peer coaching, measuring what matters, and empowering your people to co-create a culture that works for them, you can transform the costly epidemic of loneliness into a catalyst for growth.


If you're ready to take the first step, explore our Leadership and the Middle Path workshop, a battle-tested approach to optimizing collaborative problem-solving developed by world-class organizational development expert Chris Holmberg. Together, we can code the workplaces of the future—where deep connection powers high performance.


Further Reading


References

(1) – Constance Noonan Hadley and Sarah L. Wright, "We're Still Lonely at Work," Harvard Business Review, November-December 2024.

(3) – Example adapted from Jonah Lehrer, "Steve Jobs: Technology Alone Is Not Enough," The New Yorker, October 7, 2011.


 

Come join us for, and bring some of your managers to, our next Leadership and the Middle Path workshop and take your leadership skills to the next level.



 

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©2025, Russ Powell Consulting, Inc.

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