Dr. Gleb Tsipursky – The Office Whisperer
Nirit Cohen – WorkFutures
Angela Howard – Culture Expert
Drew Jones – Design & Innovation
Jonathan Price – CRE & Flex Expert
In a hyper-connected, always-on culture, people often display their exhaustion as a badge of honor and seldom admit to being tired (fearing that it might make them appear weak). Technology has blurred the boundaries between work and personal time, encouraging a mindset that leaves little room for deep, restorative sleep. This lack of sleep can quickly lead to burnout, creating a vicious cycle where recovery becomes impossible without proper rest.
Up to 25% of the population sleeps less than the required seven or more hours per day, and sleep deprivation currently costs the U.S. economy an estimated $411 billion annually. Despite these statistics, many employers still overlook the profound impact that sleep has on workplace performance.
Organizations that have adopted sleep-positive policies and consider sleep as a competitive advantage are discovering that well-rested employees are more creative, focused, and in better health compared to their sleep-deprived peers. In these workplaces, flexible schedules built around natural sleep patterns and designated relaxation areas are essentials, not perks. Their employees also recognize the limitations of hustle culture and treat rest as a non-negotiable.
Perhaps it is time for us all to stop boasting about functioning on little sleep and start promoting the many benefits of having a good rest.
Overlooking Sleep Comes at a Price
The National Sleep Foundation’s 2025 Sleep in America poll reveals that around 60% of American adults do not consistently achieve the recommended 7–9 hours of sleep, with nearly 40% experiencing difficulty falling asleep and 50% struggling to stay asleep on multiple nights each week.
Sleep disorders and deprivation can cause long-term health risks (including heart disease, immune dysfunction, and diabetes). Sleep deprivation and mental health are also closely connected. Poor sleep makes people 2.3 times more likely to develop major depression, and those with sleep disorders are nearly four times more likely to burn out. Among those already struggling with depression, 75% report sleep problems, which creates a vicious cycle that is hard to break.
Sleep also affects our relationships: 78% of individuals are less likely to assist someone after just one night of poor sleep, demonstrating that adequate rest is associated with greater empathy and collaboration. Sleep-deprived leaders are also more impatient and antagonistic, which can adversely affect workplace interactions and culture.
What Action can Individuals Take to Improve their Sleep Habits?
Elon Musk recently reignited public debate around sleep when he proudly admitted to getting only a few hours of rest each night. In contrast, Melinda French Gates has pushed back, calling the glorification of minimal sleep “so dumb.” Gates has advocated for a more balanced relationship between work and rest to support both personal health and professional performance.
Gates’ perspective aligns with the idea that sustainable performance relies on effective recovery, and sleep is one of the most powerful tools to support it. Sleep restores the brain, strengthens memory, and supports productivity, creativity, and mental health. Individuals with good sleep health are also 72% more likely to thrive across multiple areas of life (from job satisfaction to social connection), compared to only 46% of those who are sleep-deprived.
According to MUUN’s Sleep Lab, individuals can protect their sleep by keeping consistent routines, limiting screen time before bed, avoiding caffeine late in the day, and using tools such as white noise or journaling to unwind. An emphasis on lifestyle-based sleep interventions provides a constant reminder that prioritizing rest is a form of self-advocacy, not a reflection of laziness or self-indulgence.
Individuals can also adopt techniques such as cognitive shuffling as part of a “sleep-positive toolkit.” Cognitive shuffling is a low-tech, science-based technique gaining attention for its ability to calm the mind and support better sleep. By mentally listing random, unrelated words or visualizing neutral images, cognitive shuffling gently distracts the brain away from stressful thoughts.
At work, employees can (and should) make the case for healthier boundaries. That might mean requesting flexitime for better alignment with personal sleep patterns or simply pushing back on the pressure to be constantly available.
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The Business Case for Sleep: What Employers Need to Know
A tired workforce is not only unproductive, it is also expensive. Sleep deprivation costs the U.S. economy a staggering $411 billion annually, and fatigue costs employers between $322 and nearly $2,000 per employee each year.
Sleep-deprived employees incur $7,000 more in healthcare expenses, are responsible for the loss of 1.23 million working days each year, and are twice as likely to be absent from work.
On the other hand, promoting healthy sleep habits can cut absenteeism by up to 30%, offering a clear business case for investing in rest.
Workers are more creative when they are well-rested and twice as likely to solve problems; however, tired employees experience diminished cognitive function, slower reaction times, and higher error rates. Shockingly, sleep-deprived workers are 70% more likely to be involved in workplace accidents. Some employers have adopted Fatigue Risk Management, which helps companies reduce accidents, errors, and burnout by addressing the impact of tiredness on performance. This system is proving especially helpful in high-risk sectors such as transport, healthcare, manufacturing, and energy (where being alert is essential for safety and efficiency).
Insufficient and disturbed sleep among working-age adults can also lead to higher rates of presenteeism, slow down reaction times, weaken decision-making, and undermine organizational resilience. In response, more forward-thinking companies are incorporating rest into their workplace culture through sleep-focused wellness programs, subsidized sleep trackers, and clear efforts to discourage late-night deadlines. These strategies can lead to better engagement, creativity, and overall performance.
Allwork.Space spoke to Dr. Leah Kaylor, PhD MSCP, a Licensed Clinical and Prescribing Psychologist, about the sleep interventions she has seen implemented in workplaces. According to Dr. Kaylor, who is also a renowned sleep expert and author of a soon-to-be-released book, The Sleep Advantage, “Short naps (10–30 minutes) have been shown to improve alertness, reaction time, and memory without the grogginess associated with longer sleep periods.” Dr Kaylor highlighted how flexible start times (aligned with circadian rhythms), along with resources such as nap pods, sleep technology incentives, and digital CBT-I tools, are becoming more popular in the workplace.
Evidence-based programs such as Sleep School’s corporate sleep initiative are showing that when companies integrate rest into their wellness infrastructure, the results are measurable. Since 2011, Sleep School has supported over 150 organizations and 300,000 individuals with resources such as live webinars, 24/7 coaching, and personalized sleep tracking.
Meanwhile, platforms such as Sleep Doctor, founded by clinical psychologist Dr. Michael J. Breus, offer resources, including expert coaching, sleep assessments, and education tailored to workplace needs. These services help workers identify and manage conditions such as insomnia or disrupted sleep, removing stigma and normalizing conversations around rest and mental health.
Allwork.Space also spoke with Consultant Clinical Psychologist and sleep expert Dr. Jill McGarry, who shared some examples of sleep-positive workplace policies gaining traction globally. Scandinavia, for instance, has incorporated sleep health into workplace policy, and night shift workers can draw pensions up to five years earlier (which acknowledges the adverse health impact of long-term night shift work). Dr. McGarry also recounted how she recently helped a client at a major distribution company reduce their night shifts, enabling them to remain in their role and avoid health-related burnout. This example highlights how sleep-positive practices support both employee health and staff retention.
A More Sleep-Friendly Future of Work is Within Reach
In a recent Allwork.Space podcast, Josh Allan Dykstra highlighted how companies that prioritize sleep, energy management, and overall wellbeing can support their teams and also gain a clear strategic edge over their competition.
Matt Beadle, CEO and Founder of Optimal Sleep, reinforces this idea in his white paper, The Impact of Sleep on Business Performance. Beadle argues that employers and senior leadership should consider sleep as a strategic business asset and set a healthy example by avoiding performative productivity, normalizing and encouraging rest, and incorporating sleep and recovery into key business metrics.
In a Q&A with Allwork.Space Sleep Specialist Dr. Bonnie Foster DDS, RDH, DABDSM, DABCP, credited leading advocates such as Dr. Matthew Walker and Arianna Huffington with bringing sleep into the corporate conversation. According to Dr. Foster, a sleep-positive approach means leadership models healthy rest habits, and organizations avoid rewarding burnout-level output (choosing instead to recognize consistent, long-term performance).
Some companies are already experimenting with designing workplaces for recovery and productivity. These include the recent installation of sleep-focused features, such as nap pods and saunas at Wise’s Shoreditch (London) office and commuter sleep suites at OSiT’s The Cabins.
Others have gone further, embracing integrated or “Omni-office” models that combine traditional workspaces with lifestyle features, including gyms, nurseries, and hotels. These amenity-rich hubs can enhance collaboration and convenience for employees; however, they also risk eroding boundaries between work and personal life. Over time, this could increase the risk of burnout and prove unsustainable.
Creating a sleep-positive workplace is about much more than new furniture or amenities, and needs to include changing mindsets. Dr. Jill McGarry recalled a project with a major financial firm in London, where newly installed nap rooms went unused. “The issue wasn’t the physical space, it was the cultural perception of rest as something unproductive or even indulgent.” Change only began when leadership stepped up, modeling recovery and embedding it into the company’s values.
In this context, Dr. Leah Kaylor told Allwork.Space, “Systemic change requires a shift in leadership mindset. In many industries, especially those driven by hustle culture or emergency responsiveness, sleep is still perceived as optional, or even indulgent.”
Leaders reinforce this when they send late-night emails and celebrate early starts. Dr. Kaylor highlighted how leaders must move away from glorifying sleep deprivation and “set a powerful tone” by openly prioritizing sleep, setting boundaries around work hours, and normalizing recovery.
Sleep will always remain fundamental to workplace health and productivity. The only question is whether organizations can afford to ignore this reality any longer.
