Workplace mental wellbeing ... is good for business

Investing in long term workplace wellbeing is more than a Board responsibility – it's good for business - writes selectability CEO Debra Burden

The wellbeing of our workforce is one of the highest and most serious of Board and Director responsibilities and duties of care. It can also be one of the most powerful determinants of business success.

As Directors, we have a direct legal duty to be alert and to ensure our company’s systems, practices and people promote, uphold and enjoy the highest of workplace health and safety standards.

Good governance demands that workplace, health and safety is a priority Board matter. It should feature in our meetings, thinking, planning, strategies, decision-making and stakeholder reporting.

However, even the most diligent often view workplace health and safety predominantly in physical terms. Many overlook the equal importance we need to attach to the mental wellbeing of our workforce; and ourselves and our colleagues. Fewer again have seriously considered the benefits and productivity gains available through investment in workplace mental wellbeing.

But this is set to change; and it will be good for business.

The forensic-like examination and recommendations arising from the recently released Productivity Commission Report into Mental Health makes for essential, if not at times, uncomfortable reading.

The Commission notes that approximately 17% of Australians have experienced an episodic mental health illness within the last 12 months while a further 23% are at risk sufficient to require a preventative response. This leaves 60% of “well” Australians where prevention and early intervention remain important.

We need to remember that almost half of all Australians will succumb to mental illness at some point in their life, including during their working life.

The cost to the Nation, and so too the flow through to workforce productivity and future potential are immense – the Commission estimating a cost to the economy of over $70 billion per annum and a further $150 billion in diminished population health/life expectancy – in total, over $200 billion.

While the impact varies considerably between regions, different social cohorts, occupations etc, the clear message is that mental wellbeing is an issue of all, that impacts all.

Certainly, WHS legislation across the States and Territories reference both the “physical” and “psychological” aspects; although arguably there is still some lack of clarity as it relates to workforce mental wellbeing. 

Similarly, the various workers compensation schemes do little to give the right messaging and incentives for employers; both issues being singled out for special mention by the Productivity Commission.

It is important to remember that the Report comes from the Productivity Commission; and while their subject was mental health, their thematic focus was the impact on productivity and enterprise.

Again, the Productivity Commission made particular reference and devoted two whole Chapters and some 11 separate recommended actions to the role of the employer, noting “there are strong two-way links between employment and mental health — being employed can improve mental health and mentally healthy workplaces are important to maintain the mental health of those who work there”.

Foremost in these recommendations was the desire to “equip workplaces to be mentally healthy”, highlighting:

• Elevation of psychological health and safety in workplace health and safety laws;
• Introducing codes of practice in relation to employer duty of care;
• Reforms to workers compensation, including premium incentives to promote best practice
• The immense opportunities available to business and to employers through improved workforce mental wellbeing

Driving these recommendations, the Commission has identified “potential high returns to employers — in terms of lower absenteeism, increased productivity and reduced compensation claims — from investing in strategies and programs to create mentally healthy workplaces”.

For those organisations yet to fully appreciate the opportunity, there is an abundance of materials, studies, resources, support organisations and advisers available to assist; a reading of the Productivity Commission report and a visit to the SafeWork Australia website, for example, being as good as any starting points.

Being alert to and managing workplace risks that may lead to, contribute or exacerbate employment related “psychological injury” is a critical first step in creating a safe, healthy and productive workplace. Introducing advanced psychosocial supports, resources and support systems to identify, prevent, access professional assistance or to respond quickly to risk being important measures to help create mentally healthy, happy and productive workplaces.

Investing in long term workplace mental wellbeing is more than a Board responsibility – it is good for business.