From Brawn to Brain: Employee Mental Health and the Impact on the Bottom Line

An article by:
Estelle Morrison, Director, LifeWorks Program Development
Trish Stenson, Director, LifeWorks Clinical Services
Ceridian Canada Ltd.

At the dawn of the Industrial Revolution, financial success was determined by a healthy and strong workforce. The challenge of those days was how to maintain the physical stamina of those in the workforce who were subject to long hours of grueling and repetitive work.

Today the focus has shifted. The discussion has evolved from brawn and the need for nourishment, to brain and the need for sound mental health. According to Statistics Canada, close to 80% of the jobs in Canada are mainly knowledge based. Constant technological advancements are bringing about rapid workplace changes and increasing work loads. Canadians find themselves working around the clock, at work and at home, in cars and on airplanes, and virtually any other work space they can find. It comes as no surprise that the strain and stress are having a profound impact on the mental health of employees and contributing to skyrocketing health care costs. This is becoming a central and critical concern for Canadian business.

 

Canadian workers are experiencing compromised mental health in unprecedented numbers. An estimated 20% of Canadians will experience a mental illness in their lifetime. Harvard School of Public Health predicts that by 2020 depression will rank second to heart disease as the leading cause of disability worldwide, and that the cost of mental illness in lost productivity in Canada alone is estimated to be over 30 billion dollars annually. These are staggering numbers.

Imbalanced and toxic work environments contribute to stress and fatigue in employees and lead to decreased productivity and diminished success. According to a 2001 Health Canada study, excessive stress has been linked to infectious disease and cardiovascular problems, higher incidence of back pain, repetitive strain injuries and colorectal cancer.

A recent Canadian study in the American Journal of Health Promotion found that workers who see their workplaces as healthy are much more likely to feel satisfied and committed to their jobs, and have lower rates of absenteeism as well as higher morale. Productivity in the workplace flows from a balanced and healthy workforce and work environment. An article entitled Manage Your Human Sigma published in the July/August 2005 issue of the Harvard Business Review states that "work groups whose members are positively engaged have higher levels of productivity and profitability, better safety and attendance records and higher levels of retention."

Need for Specific Practices

We can’t ignore the convergence of events that have led us to this crisis in employee mental health. Loyalty used to be rewarded by job security. However, continuous re-organization and restructuring efforts have dampened employee loyalty and led to disenfranchised workers. Companies that once were supported by generations of employees from the same family are now experiencing labour shortages with stiff competition for the best employees. The concept from ‘cradle to grave’ has truly been put to rest.

To be successful in today’s corporate environment, employers have the arduous task of redefining the workplace from an "evil empire" to a supportive and dynamic place. They will have to deal with the root causes of escalating mental illness and corresponding disability rates.

 

Despite recognizing that mental health issues are a growing concern in the workplace, employers are ill-prepared to address them, according to a 2004 Mercer study of organizations in Ontario’s public and private sectors. The majority of respondents had no specific plan to address this problem, likely because they feel they can’t really influence the outcome of mental health issues and consider it a cost of doing business.

Establishing and maintaining optimal mental health of employees

Successful organizations support initiatives that contribute to a safe and collaborative workplace. Effective strategies include the recognition and response to the early signs of high risk employees. Naturally, it requires a lot less time and money to help employees deal with their issues at the onset compared to the investment required to manage disability claims.

Creating and maintaining a productive workplace is a complex challenge. However, there are some basic principles that will help to create the foundation for a healthy work environment.

Basic Principles

• Treat employees with respect
• Create or support an inclusive and collaborative management structure
• Provide a safe work environment
• Walk the talk
• Keep communication lines open, for good and bad news
• Engage employees in decision making whenever possible
• Provide succession planning
• Provide a proactive benefit program, including EAP
• Offer equitable compensation
• Encourage the use of vacation time
• Provide manager training for dealing with emotions in the workplace

Conclusion

Left untouched, the problem of employee mental ill-health will profoundly impact productivity and ultimately have a ripple effect on the success of the Canadian economy. Businesses must step up to the plate and proactively intervene. Senior executives must incorporate employee mental health initiatives as part of any strategic plan or business initiative.

The employee of today has to be able to work in an environment of uncertainty and rapid change. To be well positioned in a competitive market with a diminishing labour pool, companies must establish best practices that foster health and well being in the workplace.

Privacy   |   Legal   |   Site Map     Phone us Toll Free at: 1.877.237.4342

© Ceridian Canada Ltd. All Rights reserved. Ceridian and the Ceridian wordmark are registered trademarks of Ceridian Corporation.
Names and logos of other companies' products mentioned in these web pages are trademarks of their respective owners.