Whilst many people tend to think of mental health as being a personal issue, the reality is that it is a massive business issue as well. In fact, poor mental health and employee wellbeing costs the Australian economy approximately $12.8 billion annually due to lost productivity, according to one study by Deakin University. This is because mental health issues can have a major impact on employee wellbeing –from higher rates of absenteeism and higher staff turnover to reduced focus and productivity – all of which can ultimately impact business profitability, and success.

The Impact of Mental Health on the Workplace

Business leaders are continually searching for ways to drive productivity, improve employee engagement, and enhance company culture, but employee mental health is one key factor that often tends to be overlooked. Fortunately, more and more business leaders are starting to recognise the value of mental health support services in ensuring employee wellbeing.

Still, many employees do not feel comfortable discussing their mental health difficulties with their employer. According to the Australian Institute of HR, almost one-third of workers don’t feel comfortable talking about mental health or employee wellbeing (31.9%) or accessing mental health programs (33.1%) at work.

There is a need for business leaders to bridge the gap and address employee mental health more proactively in the workplace – both as a way to support employees and as a smart business move. One of the best ways to do this is through corporate mental health programs and mental health services that make employee wellbeing a priority.

Why Mental Health Support Services Matter

1. Better Productivity and Performance

Good mental health is key to productivity in the workplace, with many research studies showing a link between employee wellbeing and business success. This means that employees who have mental health support in the workplace are more likely to be productive and perform at their best. In fact, companies that offer corporate mental health programs typically see an average return of $2.30 for every $1 spent on mental health initiatives, according to PwC Australia.

When employees feel supported in managing their mental health, they are more likely to stay focused and productive. On the other hand, employees struggling with mental health issues may experience burnout, difficulty concentrating, or frequent absences, all of which impact on overall productivity.

2. Improved Staff Retention

When employees feel that their mental health is prioritised by their employer, they are more likely to be satisfied with their jobs and stay with the company long term. In fact, one study found that more than 86% of employees would be more likely to leave a job if it did not support employee wellbeing.

Companies who offer mental health support services typically experience higher staff retention rates. Not only that, but it helps prevent burnout, reduces stress, and lowers the risk of mental health crises. This can be helpful in reducing turnover rates and minimising the costs associated with recruitment and replacing lost staff.

3. Reduced Absenteeism

Poor mental health and employee wellbeing can also come with higher rates of absenteeism, with one in five Australian employees thought to have taken time off for mental health reasons in the past year. When companies have proper mental health support services in place, this ensures that employees are more equipped to manage their mental health struggles. This helps to reduce absenteeism, ensuring employees remain engaged and productive at work.

4. More Positive Workplace Culture

Mental health initiatives in the workplace foster a culture of support, openness, and empathy. When companies prioritise mental wellbeing, they create an environment where employees feel valued, heard, and safe to discuss their challenges. This leads to a more positive workplace culture overall.

Companies known for caring about their employees' mental health also tend to enjoy increased brand trust and customer loyalty, as many customers prefer businesses that are socially responsible and put their people first.

5. Compliance with Legal and Ethical Requirements

Under the Australian Work Health and Safety (WHS) act, businesses are legally required to provide a safe working environment for their employees. This responsibility also extends to mental health. Offering mental health services helps business leaders to ensure they are fulfilling their legal and ethical responsibilities whilst showing their commitment to promoting the wellbeing of their people.

Mental Health Support Services: Why They’re A Smart Investment for Business Leaders

Whether you are looking for mental health support services in Brisbane or across Australia and New Zealand, investing in mental health support services is a smart, strategic move for business leaders. From improving productivity and reducing absenteeism to fostering a positive workplace culture and attracting top talent, the benefits of supporting employee wellbeing through corporate mental health programs are clear when it comes to driving business success both now and in the future.