Research insights

Mental Health: Renewing the Case for Employer Investment

With one in six workers experiencing a mental health issue at any given time and stress accounting for nearly half of all health-related lost workdays in Britain, the connection between mental health and the workplace is both significant and complex.

The report Mental Health and Employers: Refreshing the Case for Investment builds on Deloitte’s 2017 research, offering more profound insights into workplace mental health and wellbeing in today’s labor market. It also presents a compelling argument for employers to invest in mental health, highlighting an average return of £5 for every £1 spent.

Since the earlier research, workplaces have seen positive shifts, including greater openness about mental health discussions, especially in larger organizations, and increased support provisions overall. However, despite this progress, the costs of poor mental health have risen. This is primarily due to a sharp increase in mental-health-related “presenteeism,” where employees work without being fully productive. Absenteeism and staff turnover related to mental health also add to these costs.

Additionally, changes in working practices have introduced new challenges. For example, while technology can enhance efficiency, it has also contributed to an “always-on” culture, making it harder for some employees to maintain healthy boundaries and disconnect from work.

Investing in workplace mental health yields a £5 return for every £1 spent. While openness and support for mental health have improved, costs continue to rise due to increased presenteeism, absenteeism, and turnover. Modern practices further challenge employee well-being.

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