A global mental health crisis is significantly affecting workplaces, with financial services among the sectors facing the most severe challenges, experts and business leaders have warned.
A recent survey by Deloitte revealed that 17% of UK employees in the finance and insurance sectors reported experiencing all three key indicators of burnout: exhaustion, reduced performance, and emotional detachment from work. This rate surpasses the average of 12% across all industries. Additionally, the survey noted that the annual cost of poor mental health per employee in finance and insurance stands at £5,379—more than double that of any other sector among the 14 studied.
This data contributes to a growing body of research highlighting the profound effects of the global mental health crisis on workplaces. According to the World Health Organization (WHO) and the International Labour Organization (ILO), depression and anxiety lead to the loss of approximately 12 billion workdays annually, resulting in a $1 trillion economic loss worldwide.
Key factors fueling the mental health crisis include the rising cost of living and the increasing influence of social media. In response, many businesses are prioritizing employee wellbeing.
“Leaders must be prepared to host more conversations about the whole spectrum of mental health,” said John Flint, former HSBC chief executive and head of the UK’s new National Wealth Fund.
The pandemic has further intensified this crisis, with the WHO reporting a 25% increase in depression cases globally during 2020 and 2021. “We are not yet back down to pre-pandemic levels,” noted Dan Chisholm, a WHO mental health specialist. “Some people are still suffering from a massive hangover from the pandemic.”
Young people’s declining mental health has also contributed to workplace pressures, especially for working parents. Elizabeth Hampson, the partner leading Deloitte’s research, observed that in 2023, one in five children had a probable mental health disorder, up from one in nine in 2017.
A global study by the MindForward Alliance surveyed 12,200 workers and found mental health challenges to be more prevalent in financial and legal sectors than in other industries. However, these sectors are also leading efforts to promote mental wellbeing.
“When executives addressed the issue openly, 85% of their workers felt supported, compared with only 31% when they did not,” said Alison Unsted, chief executive of MindForward, which collaborates with businesses to foster staff wellbeing.
As workplaces grapple with the mounting mental health crisis, fostering open dialogue and implementing supportive policies are seen as critical steps to alleviate the burden on employees and ensure sustainable productivity.
