High Targets and High Stress
A Rising HRM Problem in the Post Crisis Sri Lankan Economy
Today, Sri Lanka is in a period of post crisis recovery, where macroeconomic factors have remained relatively stable compared to the turbulence experienced between 2022 and 2023. Nonetheless, businesses still face substantial structural issues including rising cost of living, labor migration, foreign exchange problems, and competitiveness concerns. Against this backdrop, there emerges a new HRM problem, which pertains to the increased targets and stress among employees.
This can be very well understood from the apparel industry in Sri Lanka, which continues to remain one of the major export industries of the country. Even though there has been some improvement in the exports, there are still cost issues and human resource issues that exist (Wickramasinghe & Smith, 2025). In this connection, the company called Next Manufacturing, located in Katunayake, was reported to have downsized its staff by about 1,500 people in 2025. This shows that even though the organization is reducing its workforce, it expects a lot from the rest.
The same trend can be noticed in the banking and finance industry as well. Employees are supposed to achieve tough targets for loans, savings, and financial products each month. But in an environment where there is less borrowing by consumers, these targets are not adjusted. This causes stress among employees since they know that these targets do not match with reality (Tweneboah and Machani, 2023).
This has very serious consequences. Workers from different industries indicate that they are facing high levels of stress, low job satisfaction, and emotional fatigue because of the pressure associated with their performance (Claes et al., 2023). The lack of labor force creates even more problems, since existing workers have to do more work.
Armstrong (2020) defines HRM as an approach aimed at achieving performance through good people management strategies. He asserts that for performance management to be achieved, there is need to have realistic and achievable objectives accompanied by sufficient resources.
Conclusion
To conclude, high performance objectives and employee stress is one of the important HRM issues which have emerged due to the post economic crisis situation in Sri Lanka. Though Sri Lanka is currently not facing an economic crisis situation anymore, companies are still facing certain pressures within the context of the economy and the labor market, which influence their HRM processes. In order to solve this problem, organizations require HRM approaches that are more flexible and more focused on employees' needs, including real objectives, proper planning and better well being of the workers.
References
- Wickramasingha, S. and Smith, A., 2025. The fragility of public-private labour governance in times of crisis: The Sri Lankan apparel industry in post-pandemic times. Environment and Planning A: Economy and Space, 57(5), pp.614-634.
- Tweneboah, I.A. and Machani, P., 2023. Effects of performance and target pressure on the psychological well-being of corporate employees. Journal for ReAttach Therapy and Developmental Diversities.
- Claes, S., Vandepitte, S., Clays, E. and Annemans, L., 2023. How job demands and job resources contribute to our overall subjective well-being. Frontiers in Psychology, 14, p.1220263.
- Armstrong, M. (2020) Armstrong’s handbook of human resource management practice. 15th edn. London: Kogan Page.
This is a very thought-provoking discussion on the rising pressure of high targets in organizations, clearly highlighting how excessive performance demands can lead to stress, burnout, and reduced employee wellbeing.
ReplyDeleteHowever, how can HR balance ambitious performance targets with realistic workload expectations to ensure high performance without compromising employee mental health and long-term productivity?
If employees receive considerable emotional encouragement from their manager, then they can perceive their workload as being less burdensome.
DeleteA very timely analysis. The emotional fatigue and stress described in the banking and apparel sectors are major concerns. When we force employees to shoulder the burden of structural labor shortages without adjusting targets, we risk high turnover and burnout. Emphasizing employee well-being and flexible management as a strategic pillar is the only sustainable way forward in this economic climate.
ReplyDeleteThis is a clear and thoughtful about how performance pressure affects employees. I like how you focus on the need for more flexible and people focused HR practices. But how can companies still aim for high performance without putting too much stress on employees? Finding that balance seems like an important challenge.
ReplyDeleteA very relevant HR concern in today’s context, how unrealistic targets are driving employee stress. But how can HR balance performance pressure with employee well being without affecting results?
ReplyDeleteA strong point in your discussion is how clearly it highlights the growing pressure of high targets and rising stress in today’s HRM environment. When performance expectations are set too high without enough support, employees can quickly experience burnout, reduced focus, lower motivation, and even increased absenteeism, which ultimately affects overall productivity and organizational success. This is especially relevant in competitive sectors where performance is constantly monitored and pushed. However, it’s also important to remember that HRM is not just about achieving targets but about creating a balance between performance and employee well-being. Sustainable HR practices show that organizations perform better in the long run when they support employee mental health, provide proper resources, and build a positive work culture. So, while high targets can drive results, without proper support systems they can become counterproductive, making balance the key to long-term success.
ReplyDeleteSri Lanka’s economy has stabilized by 2026, but the labor market remains strained due to a major brain drain, with over 300,000 skilled workers leaving in 2024. As companies shift from survival to optimizing performance and building capabilities, pressure on remaining employees has increased. As a response, HRM becoming more empathetic, flexible, and data-driven is very important.
ReplyDeleteThis is a very relevant and well-structured discussion on a pressing HRM issue in Sri Lanka’s current recovery phase. What role do you think HR departments should play in balancing organizational performance targets with employee well-being in such high-pressure environments?
ReplyDeleteAn emphasis on a very real human resource management challenge in Sri Lanka’s post crisis recovery. The workforce being pushed to meet unrealistic targets despite downsizing and market constraints is indeed a concern. I like how you have connected examples from both the apparel and banking sectors to show how stress and fatigue are becoming systemic issues. Organizations can expand on practical HR strategies that could ease this pressure, such as flexible target setting, wellness programs, or workload redistribution. This would certainly strengthen the argument by showing how organizations can balance performance demands with overall employee wellbeing. This blog is an timely reminder that recovery is not about stabilizing the economy and it is showing emphasis on protecting the workforce from burnout and ensuring objectives remain achievable.
ReplyDeleteThis is a very relevant and timely topic, especially in the context of Sri Lanka’s post-crisis economic recovery. I like how your blog highlights the link between high performance targets and increasing employee stress, because it reflects a real challenge many organizations are currently facing.
ReplyDeleteYour discussion correctly points out that when organizations push for aggressive targets without considering employee capacity or available resources, it can lead to burnout, low morale, and reduced productivity. In a post-crisis environment, where employees are already dealing with financial and personal pressures, this becomes even more significant.
This blog clearly shows how high targets without proper support are creating serious HRM challenges in Sri Lanka’s recovery phase. I appreciate how you connected examples from both apparel and banking sectors to highlight the systemic stress employees face. Research also confirms that unrealistic goals reduce motivation and long-term productivity. The key question is: how can HR leaders redesign performance management to balance ambitious targets with employee well-being, ensuring resilience and sustainable growth?
ReplyDeleteThe article effectively highlights high targets and employee stress as a key HRM issue in Sri Lanka, supported by practical examples. Improving structure and adding deeper insight would further strengthen its impact.
ReplyDelete