How employers can prevent Asia’s declining workplace mental wellness

Concerns over workplace mental health deterioration among human resource and risk managers have increased in Asia, rising from 20^th place in 2022 to 6^th place in 2024 according to the latest People Risk Report by Mercer Marsh Benefits (MMB). Despite this, only 33% of respondents have effective initiatives to address the causes.

Declining employee mental health is highly detrimental for organisations, as those suffering from mental health conditions may be less engaged in their work and exhibit a reduced ability to concentrate or make the right decisions. It also leads to negative consequences such as reduced productivity, increase in healthcare claims and even attrition. Some of the reasons for mental health deterioration include work pressures, social stigma and caregiving duties.

As reported by the World Health Organisation (WHO), an estimated 12 billion working days are lost yearly worldwide to depression and anxiety. This translates to around US$1 trillion in lost productivity annually.¹ Despite the significant economic impact to organisations, some countries in Southeast Asia are grappling with a treatment gap of up to 90%, where people who need treatment are not receiving appropriate, timely treatment, or any treatment at all.²

According to a study, employers that support mental health can have a return of $4 for every dollar invested in mental health.³ Companies can play a part by pivoting towards transforming benefit costs into well-being investments, focusing on prevention and access to mental healthcare. Here are three effective approaches:

1. Leverage technology to improve mental health outcomes

In Hong Kong, the MMB’s Employee Health and Benefits report found that 61% of adults experience poor mental health, emphasising the urgent need for companies to avail resources to support employees’ mental well-being.

Case Study: Improving access to mental health support via an app-based solution

A French international company in Hong Kong has a wide portfolio of employees with diverse demographics and cultures, comprising shift workers, frontliners, and senior management. They had wanted to address the mental health needs of employees which encompasses intervention and urgent care.

Working with MMB, the company partnered with an app-based mental health solutions provider that enables employees to access a full suite of self-care programs, including learning paths, rescue sessions, guided journals, and one-on-one care sessions which can be conducted virtually or in-person. The resources and counsellors in the app cover over 20 languages and cultures which was helpful to the employees.

As information is kept confidential through the app, it could overcome the feeling of stigmatisation when employees are seeking mental health support. The mental health app solution was well received, with a 20% utilisation rate in just two months of its launch.

2. Offer mental health counselling and initiatives as a flexible benefit

Exhaustion, excessive workload, and poor work/life balance have emerged as top reasons for burnout in Asia, according to Mercer’s Global Talent Trends report. The report also revealed that employees are willing to forgo a 10% pay increase for more relevant well-being benefits.

To address mental health concerns, a company in Taiwan decided to take action to close the mental health treatment gap in a society where mental health issues and counselling remain a taboo topic.

Case Study: Closing the mental health treatment gap via flexible benefits

Mental health counselling expenses is not covered by Taiwan’s National Health Insurance (NHI), unless it becomes a disorder.⁴ Personal consultations are also costly, at about US$65 (TWD $2,000) or more per hour, which deters early treatment due to the significant out-of-pocket expenses. The long wait for appointments further exacerbates the problem.

To reduce employees’ financial burden and encourage them to seek early intervention for declining mental health, a company in Taiwan partnered with MMB to incorporate mental health counselling into their flexible benefit program. The company also provides Employee Assistance Program (EAP) services and organises seminars and interactive activities every quarter to raise mental health awareness, to foster constructive conversations around improving mental well-being.

The result was a happier workforce with close to 99% satisfaction in an employee survey.

3. Develop preventative measures at the workplace to preempt mental health issues

To combat the stigma surrounding mental health conditions, companies can consider the following preventive actions:

Create a psychologically safe workplace through training of employees to become mental wellness ambassadors. These trained ambassadors can help identify emotional stressors and offer support to colleagues who may be facing mental health challenges but hesitant to seek help. Helping fellow colleagues to open up can destigmatise mental health concerns.
Equip people managers with essential soft leadership skills such as empathy to build trust and boost morale. Feeling cared for where they can be authentic in a safe environment can promote better engagement and mental wellness.
Reskill and upskill employees to upgrade their skillset and align with new technology to improve their productivity. This will allow employees, especially caregivers, to also proactively manage their workload within healthy work boundaries so they will feel less pressure both at work and home.

^{1 World Health Organisation (2022), Mental health at work.}

^{2 Channel NewsAsia, 1 in 7 in Southeast Asia live with a mental health condition, treatment gap in some countries is ‘huge’: WHO official}

^{3 NORC at the University of Chicago, National Safety Council and NORC at the University of Chicago Announce New Mental Health Cost Calculator to Demonstrate Why Investing in Mental Health is Good for Business}

^{4 Taipei Times, Boosting coverage of mental health}