How Leaders Can Reduce Holiday Stress and Boost Team Morale This Season

As the year comes to a close, leaders face the familiar challenge of “more to do with less time to do it.” Add year-end evaluations, budget reconciliation, strategic planning, and annual reports — all while many employees mentally enter “holiday mode” the day before Thanksgiving — and holiday productivity for leaders takes a hit.

We often operate with fewer employees working fewer hours and scramble to catch up in January. This year, take time to reflect on what could be done differently to make the holiday season less stressful and more productive than years past.

Plan Ahead for Holiday Downtime

Everyone saves up vacation for the holidays. Experience also tells you less work gets done during this season — holiday lunches, shopping breaks, casual conversations, and general festive distractions are normal.

If you approve vacation requests, consider a shift in mindset:

• If the holiday season is not your peak season, don’t restrict time off unnecessarily.

• Encouraging employees to use downtime boosts morale and reduces burnout.

• If a skeleton crew can get the job done, trust them to do it.

Imagine the culture shift when employees know they can take time off without guilt or frustration. This alone improves retention — because people remember how leadership treats them during stressful seasons.

Use Downtime Wisely

Even low-productivity seasons can become high-value periods with the right approach.

Consider tackling tasks that are difficult to do when the office is full:

• Office cleaning or rearranging

• Painting or updating shared spaces

• Installing new computers or software

• Completing necessary maintenance

These are ideal projects for quiet weeks and increase efficiency for the new year.

Keep Projects Moving — Don’t Pause Productivity

Holiday schedules shouldn’t freeze progress. Before the rush begins:

• Meet with team members

• Update everyone on priorities

• Add temporary or rotating team members if needed

New people bring fresh ideas, renewed energy, and creative solutions — a huge advantage during year-end planning.

Leaders Reduce Holiday Stress By Expressing Appreciation With Intention

Leadership is busy at year-end… but so are your employees. Leaders reduce holiday stress by making appreciation visible and intentional:

• Give sincere thanks

• Acknowledge contributions

• Recognize effort during a stressful season

This boosts morale, strengthens culture, and reinforces loyalty. Small moments of appreciation often have the biggest influence on retention — especially during holidays.

Leadership during the holidays isn’t just about managing workload — it’s about creating a culture where people feel valued, supported, and included. If you want to strengthen morale and equip your team for the year ahead, explore our Communication Styles in Leadership workbook to deepen trust, reduce conflict, and build a more collaborative culture year-round.