In recent years, the significance of mental health in the workplace has become increasingly evident. As organizations strive for productivity and employee satisfaction, understanding the current landscape of workplace mental health is crucial.
This article provides HR professionals and people managers with essential insights into the latest statistics, highlighting the profound impact of mental health on business operations and offering guidance on fostering a supportive work environment.
How Does Poor Employee Mental Health Affect Business Costs?
The correlation between employee mental health and organizational costs is both direct and substantial. Poor mental health among employees can lead to decreased productivity, increased absenteeism, and higher turnover rates, all of which significantly affect a company's bottom line.
Employee Turnover
Employees experiencing mental health challenges are more likely to leave their positions, leading to increased turnover. Moreover, replacing an employee can be costly, often amounting to 50% to 200% of the departing employee's annual salary.
Psychological factors such as burnout play a significant role as well. Burnout can result from chronic workplace stressors, including excessive workloads and lack of support, prompting employees to seek employment elsewhere to preserve their mental health.
This turnover incurs substantial costs related to recruitment, training, and lost productivity. For instance, in the Australian education sector, high school teachers have reported extreme stress levels, with 50% considering leaving the profession, leading to increased turnover and associated costs.
Absenteeism
Mental health issues contribute significantly to employee absenteeism. In the UK, mental health-related absences cost the economy approximately £21.6 billion annually, with employees taking an average of 34 million sick days each year due to conditions like depression, anxiety, and stress.
The prevalence of absenteeism varies globally. For instance, in Germany, the average number of sick leave days taken by employees increased from 11.1 days in 2021 to 15.1 days in 2023, costing employers nearly €77 billion.
In the United States, workers with fair or poor mental health report nearly 12 days of unplanned absences annually, compared to 2.5 days for those with better mental health.
Presenteeism
Presenteeism occurs when employees attend work despite health issues, resulting in reduced productivity. This phenomenon often stems from a workplace culture that discourages taking leave or from employees' fears of job insecurity.
While presenteeism is less visible than absenteeism, its impact is substantial. In the U.S., presenteeism costs employers approximately $150 billion annually due to reduced productivity and lost efficiency. Notably, the costs associated with presenteeism are often higher than those of absenteeism, as employees may be present but not fully functional over extended periods.
Psychologically, presenteeism can lead to increased exhaustion and exacerbate existing health conditions, creating a cycle of declining productivity and well-being. Employees may feel obligated to work through illnesses due to personal financial concerns or organizational pressures, further deteriorating their health and performance.
Insurance Costs
Poor employee mental health contributes to higher healthcare claims, subsequently increasing insurance premiums for employers. Employees with unresolved depression experience a 35% reduction in productivity, contributing to a loss in the U.S. economy of $210.5 billion annually, encompassing absenteeism, reduced productivity, and medical costs.
Psychologically, untreated mental health conditions can lead to chronic physical ailments, compounding healthcare expenses. Moreover, for every 47 cents spent on treating depression, an additional 53 cents is indirectly spent on absenteeism, presenteeism, and disability.
48 Mental Health Statistics at the Workplace in the UK
Understanding the landscape of mental health within UK workplaces is crucial for developing effective support systems and fostering a healthy work environment. The following statistics provide insights into how mental health challenges vary across different demographics and industries.
General Workforce Statistics
- Approximately 1 in 7 people in the UK workplace experience mental health problems.
- In 2022/23, an estimated 875,000 workers suffered from work-related stress, depression, or anxiety, leading to 17.1 million working days lost.
- Poor mental well-being costs UK employers between £42 billion to £45 billion annually through presenteeism, sickness absence, and staff turnover.
Statistics by Age
Generation Z (18-24 years):
- 68% of Gen Z respondents reported experiencing or having experienced mental health challenges, higher than older age groups.
- Individuals aged 18-24 experience stress on average 11.4 days per month, indicating a high frequency of stress among younger workers.
- Since the pandemic, nearly 500,000 working-age adults have claimed disability benefits for mental health issues, contributing to over half of the overall increase in claims.
Millennials (25 - 44 years):
- Over the past decade, there has been a significant rise in millennials taking time off due to mental health issues, with a notable increase in reported burnout cases.
- Millennials are more than seven times more likely than Gen Z employees to cite 'burnout' as their reason for missing work.
- Young employees in the UK, including millennials, are losing an average of one day per week due to mental health-related issues, equating to about 60 unproductive days annually.
- Despite increased stress and anxiety, nearly six in ten millennials have not disclosed their mental health challenges to their employers, indicating persistent stigma and a need for more supportive workplace environments.
Middle-Aged Workers (45-54 years):
- Nearly 15% of individuals aged 35-44 report feeling stressed every single day, the highest among all age groups.
- Workers aged 45-54 experience stress on an average of 11.5 days per month, indicating significant stress levels in this demographic.
- Over 10% of working-age individuals report signs of poor mental health, with an increasing trend observed over recent years.
Statistics by Gender
Women:
- 14% of women report feeling stressed every single day, compared to 9% of men.
- Women are 30% more likely than men to report that their mental health has worsened over the past 12 months.
- Women are 26% more likely than men to have taken time off work due to mental health conditions in the past year.
Men:
- 9% of men report feeling stressed every single day, lower than the percentage reported by women.
- Men are less likely to disclose mental health issues at work due to stigma, leading to underreporting and untreated conditions.
- Men working in certain industries, such as construction, have higher suicide rates compared to the national average.
- Suicide is the biggest killer of men under the age of 50 in the UK.
LGBTQI+ Individuals:
- 30% of LGBTQI+ employees report feeling extremely stressed on a daily basis, higher than their non-LGBTQI+ counterparts.
- 60% of LGBTQI+ employees rate mental health support as highly valuable, indicating a strong need for supportive workplace environments.
- LGBTQI+ employees are more likely to experience mental health issues due to workplace discrimination and lack of inclusive policies.
- 1 in 8 LGBTQ+ individuals aged 18 to 24 have attempted to end their life, and almost half of trans people have thought about taking their life.
- Over half of trans individuals have experienced harassment at work related to their gender identity.
Statistics by Industry
Construction:
- Male construction workers have one of the highest suicide rates among occupational groups in the UK.
- 91% of UK construction workers have felt overwhelmed, with 26% experiencing suicidal thoughts.
- 58% of construction workers believe that listening to music while working improves their motivation and mental health.
Financial Services:
- 17% of UK staff in finance and insurance are experiencing burnout, higher than the 12% across other sectors.
- Poor mental health in this sector costs an average of £5,379 per employee annually.
- In 2018, 62% of financial-sector firms reported a rise in mental health-related illnesses among employees, indicating a growing concern within the industry.
- A survey revealed that 83% of employees in the financial services sector considered changing jobs due to the impact of work on their mental health, with nearly half following through, highlighting significant retention challenges.
Healthcare:
- Healthcare professionals report high levels of stress due to workload and emotional demands, leading to burnout.
- A study by the Nuffield Trust revealed that 52% of young clinical staff (aged 21 to 30) in the NHS experienced work-related stress in 2023, up from 38% in 2013, indicating rising dissatisfaction among younger employees.
- Despite high-stress levels, many healthcare workers feel there is inadequate mental health support within their organizations.
- A recent survey revealed that 71% of General Practitioners (GPs) in the UK experience compassion fatigue, leading to emotional and physical exhaustion that impacts the quality of care provided.
Education:
- Educators often cite workload, student behavior, and administrative pressures as primary stressors.
- Only 40% of educational institutions have a dedicated mental health support program for staff.
- Teachers have reported taking time off due to mental health issues, impacting the quality of education.
Technology:
- Tech professionals report challenges in maintaining work-life balance, leading to increased stress levels.
- While remote work offers flexibility, it has also led to feelings of isolation and burnout among tech workers.
- 50% of tech companies have implemented mental health programs, but only 25% of employees utilize them. This could be due to low engagement rates from typical EAPs.
Retail:
- Retail employees often face stress due to high customer interaction and demanding work hours.
- A survey revealed that 48% of retail workers feel their employer does not provide adequate mental health support.
- The retail sector's volatility contributes to job insecurity, affecting employees' mental well-being.
- The retail industry experiences a 30% annual staff turnover, partly attributed to mental health challenges.
Music Industry
- Musicians in England have the fourth highest suicide rate among occupational groups.
- Musicians face unique health challenges, with injury and ill health being widespread, impacting their physical and mental well-being.
11 Mental Health Statistics at the Workplace in Europe
Understanding the landscape of mental health at work across Europe is essential for fostering environments that promote workplace well-being and enhance employee engagement.
This section delves into various statistics reflecting the state of mental health among European workers, with a focus on age, gender, and industry-specific insights.
General Workforce Statistics
- Approximately 7% of individuals with work experience in the EU reported health issues related to their occupation, leading to limitations in daily activities.
- Among those reporting work-related health problems, 71.0% experienced limitations in their daily activities, underscoring the significant productivity impact associated with poor mental health.
Statistics by Age
- The overall average well-being score for workers in the EU28 is 69, with younger workers (under 35) scoring higher (70) than older workers (35 and over) who score 68.
- Overall, 6% of workers have a score that indicates they are at risk of mental health problems, with more women than men being at risk.
Statistics by Gender
- In the EU, 7.4% of women reported work-related health problems limiting daily activities, compared to 6.5% of men.
- Notably, more than three-quarters of staff currently employed in human health activities in the EU are female, highlighting the importance of tailored mental health policies in these sectors.
- Specific data on LGBTQI+ workers in Europe is limited; however, global studies indicate higher rates of mental health challenges in this group, emphasizing the need for inclusive workplace wellbeing initiatives.
Statistics by Industry
Agriculture, Forestry, and Fishing:
- This sector reported the highest prevalence of work-related health problems, with 15.8% of workers affected.
Human Health and Social Work Activities:
- 12.7% of workers in this sector reported work-related health problems, reflecting the demanding nature of caregiving professions.
- 12.4% of employees in transportation and storage reported work-related health issues, highlighting the need for targeted workplace stress interventions.
- 11.1% of educators reported work-related health issues, pointing to the necessity for robust employee well-being programs in educational institutions.
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Benefits of Investing in Employee Wellbeing
The previous burnout statistics, absenteeism rates, and risks are certainly dramatic. But EAPs offer a solution to change the mental health landscape of many workplaces in Europe and The UK.
Investing in employee well-being is not just a compassionate choice but also a strategic business decision that yields substantial returns.
- Enhanced Productivity: Employees who are content and engaged exhibit higher productivity levels. Studies have shown that happy employees are 12% more productive than their disengaged counterparts.
Furthermore, organizations with engaged employees have experienced a 19% higher than average shareholder return, while those with disengaged employees saw returns 44% below average.
- Improved Employee Satisfaction and Retention: Companies that emphasize workplace culture and mental health awareness have observed up to a 25% reduction in staff turnover, leading to enhanced employee retention. Furthermore, organizations that actively promote mental health initiatives often attract more qualified candidates, strengthening their talent pool.
- Substantial Return on Investment (ROI): According to research, for every dollar spent on mental health initiatives, companies can expect a return of $3 to $6 due to reduced absenteeism, lower healthcare costs, and increased productivity. This substantial ROI underscores the economic advantage of implementing comprehensive mental health support systems.
Meditopia has developed a comprehensive ROI Calculation Model that quantifies the financial benefits of investing in employee well-being.
This model considers factors such as reduced absenteeism, lower burnout statistics, and enhanced productivity to demonstrate the tangible returns of comprehensive mental health resources.
Send us a message to discover more about Meditopia for Work, our ROI calculation model, and personalized solutions to your team’s unique challenges.
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