Benefits of Prioritising Employee Mental Health
Prioritising employee mental health in your organisation sounds so obvious, especially now considering the impact of the pandemic over the past 18 months. Employees are the heart of the company. Prioritising their mental health is not only morally the right thing to do, but important for businesses.
Mental health has such a big impact on businesses that when handled badly, it can directly affect finances and growth. According to the Centre for Mental Health, mental health issues at work reduced the size of the UK economy by a staggering £34.9 billion last year.
Financially, it is important to prioritise mental health. However, it isn’t the only reason. So, why prioritise employee mental health? Below we are going to explore some of the key benefits of prioritising employee mental health.

Benefits of Prioritising Employee Mental Health
Prioritising employee mental health can have many benefits. We’re taking a closer look at four.
Reduce Staff Turnover
In a recent study by Indeed, 75% of staff surveyed noted the negative effect of mental health on staff turnover. Staff sickness and absenteeism in the workplace can cost the economy billions annually.
Ensuring you have good resources and programmes for wellness that employees have access to is important, ensuring that they have a healthy outlet for managing stress and anxiety, in turn, making for a more harmonious and happier workforce.
A happier and more engaged workforce leads to less employee turnover and therefore reduced costs in recruitment and training. Having a good wellness programme and access to valuable resources also makes an organisation a more attractive place, a step towards attracting and maintaining good staff.
Reduce Workers Compensation Claims
Work-related stress and anxiety can manifest in physical symptoms such as headaches and fatigue as well as further psychological symptoms such as depression. Stress is the second most common compensated illness or injury in the UK highlighting that if the health and wellbeing of staff, can lead to considerable cost for the organisation.
As well as this cost, staff being off long-term with sickness can negatively impact the quality and timeliness of work completed. This could lead to reduced customer satisfaction which could cause long term effects for the business. When members of staff are off sick, it can directly impact other employees’ workload which then has the potential to lead to further employee’s feeling stressed, overworked, and anxious.

Improve Productivity & Engagement
In the study by Indeed, 79% of those who took the survey said that unhappy staff negatively affected productivity. Prioritising employee mental health by focusing on areas such as flexible working arrangements, promoting work-life balance, rewarding good work and having good communication will lead to more engaged staff and increase productivity.
Taking lunch breaks and finishing on time means employees have more down time and reduce stress levels, ultimately increasing productivity. Ensuring good morale in the workplace by supporting employees, providing resources, and having open and clear communication will keep employees engaged and aligned to the business.
Employees that are happier are more productive. This benefits both the business as a whole, as well as the workforce.
Brand Reputation
As touched on before, organisations that promote mental health and have the resources available to their staff are more likely to be viewed favourably by the outside world. This is important for businesses when it comes to bringing in new business and clients as well as when finding new talent.
It is important that organisations address mental health as much as they would prioritise physical health. Employers should provide good wellness programmes and resources to support and address mental health awareness. Employees should know and feel that this area is a priority to the organisation, making them feel secure, cared for and listened to.
This should reduce the stigma of mental health in the workplace meaning that more employees will be more likely to reach out when they need to, leading to less of a financial impact on the business and a more engaged and productive workforce.
Understanding your team can help build a happier and healthier workplace. If you’re interested in how hug can support your team, please get in touch with us today.