Amidst the intensified prevalence of burnout in healthcare due to the global pandemic, understanding its implications is critical. This study explores the concept of a "limited compassion mindset" as a consequence of burnout, suggesting that healthcare workers may view compassion—a fundamental quality for patient care—as a depletable resource. Drawing from the Conservation of Resources (COR) theory, we propose that burnout creates a belief that one's capacity for compassion feels inherently limited. Our research consists of a field survey of medical professionals and an experimental study recalling burnout experiences among healthcare employees. We predict that higher levels of reported burnout will be associated with an increased limited compassion mindset, subsequently leading to adverse effects on self-related outcomes like self-compassion and well-being, other-related outcomes such as other-compassion and prosocial behaviors, and job-related outcomes, specifically job satisfaction and turnover intentions. Our findings call for strategies for organizations to shift their employees’ mindset toward a more expansive, renewable view of compassion, thereby enhancing employee satisfaction and reducing turnover. This research contributes novel insights into the psychological mechanics of burnout, expanding both the compassion and burnout literatures within the context of healthcare.