The impacts of a warming world aren’t a future workforce risk; they’re a current reality. Globally, 77% of employees say they have experienced negative impacts of extreme weather, including financial hardship and health issues (Mercer Health on Demand Study, 2025). In the U.S., 82% have been impacted by a weather-related disruption at work in the past year alone (Northwind Climate*, March 2026).

These disruptions land in HR's domain: They affect who shows up, how well they perform, whether they stay, and what they cost the organization.

This overview is part of The HR Leader's Guide to Extreme Weather Readiness, an Extreme Weather + Work resource designed to support a range of HR focus areas so you can explore what's most relevant to your role.

Performance Is Suffering

• Attendance and availability are taking a hit. Nearly one in three workers report they couldn't work due to power outages or building closures during recent extreme weather events (Northwind Climate*, March 2026). When employees can't get to work — or work can't happen — HR bears an operational and administrative burden.
• Productivity is impaired. 63% of workers say that extreme weather has reduced their productivity at work. (Northwind Climate*, March 2026). And employers agree: 39% report lost employee productivity due to extreme weather impacts (MIT Technology Review, 2024).
• Safety incidents are rising. Heat exposure increases the risk of workplace injuries across nearly all major industries, driving more workers' compensation claims (Environmental Health, 2025).

Retention Risk Is Rising

• Workers are paying attention to how employers respond. 43% of employees say their employer's extreme weather readiness influences their decision to stay long-term (Northwind Climate*, April 2025). In fact, 32% believe that the responsibility for protecting workers from health risks caused by extreme weather lies primarily with their employer, not with the government or workers themselves. Consequently, nearly one-third of employees believe their employer should be doing more to protect them from weather-related health and safety risks (Northwind Climate*, March 2026). And 31% believe their employer should be doing more to protect them from weather-related health and safety risks (Northwind Climate*, July 2025).
• Extreme weather is becoming a factor in where people want to work and live. Nearly one-third of Americans say climate change would motivate them to relocate (Forbes Home, 2022). As extreme weather reshapes geographic desirability, employers in high-risk regions may face growing recruitment challenges. Already, 29% of organizations report difficulty recruiting or retaining talent due to extreme weather impacts. (MIT Technology Review, 2024).

Costs Are Climbing

• Health care costs are increasing. Temperature extremes — especially heat — exacerbate chronic conditions and mental health needs, driving higher utilization and prescription fills (International Society for Pharmacoepidemiology, 2025). Employers are feeling it: 63% report rising insurance costs and premiums linked to extreme weather and climate change (MIT Technology Review, 2024).
• Employees are financially stressed. 59% of workers are extremely or very concerned about financial burdens, such as higher utility bills, property damage, or insurance premiums, due to extreme weather events (Northwind Climate*, August 2025). Financial stress affects focus, engagement, and retention.
• Mental health needs are growing. Extreme weather events take a psychological toll on individuals, families, and entire communities, triggering anxiety, grief, displacement-related stress, and long-term trauma among other challenges. For each employee experiencing mental distress, employers lose $15,000 per year due to lost productivity, health care costs, and turnover (Health Action Alliance, 2024). 
• Workers' compensation claims are rising. Workplace injury rates start increasing at temperatures as low as 85 degrees Fahrenheit. In 2023 alone, approximately 29,000 extra injuries can be attributed to extreme heat (Environmental Health, 2025). 

*This survey was conducted by Northwind Climate in partnership with the National Commission on Climate and Workforce Health, the strategic advisory board that supports Extreme Weather + Work.

The Bottom Line

Extreme weather affects the metrics HR is measured on: absenteeism, turnover, productivity, health care costs, and employee engagement. Organizations that treat extreme weather resilience as a workforce strategy — not just a facilities or sustainability issue — will be better positioned to attract and retain talent, support their people, and improve business outcomes.

More HR Focus Areas

This article is part of The HR Leader's Guide to Extreme Weather Readiness. Explore other focus areas:

• Benefits Design
• Leave and Flexibility
• People Analytics

More Guidance

Workforce readiness requires coordination across teams. Explore guides designed for more functions at your organization, and learn more about the Extreme Weather + Work initiative.

• Occupational Health and Safety (OHS)
  Readiness strategies for OHS focus areas, including prevention, training, emergency response, and more.‍
• Extreme Weather + Work Home
  Learn how your organization can support workers before, during, and after extreme weather.

About Extreme Weather + Work

Extreme Weather + Work is an initiative of the Health Action Alliance. We bring together leaders who rarely sit in the same room and connect them with peers across industries, giving them the research and tools they need to support their people before, during, and after extreme weather.