In recent years, mental health has moved from the sidelines of workplace discussions to center stage. Business leaders and employees recognize its profound impact on productivity, employee retention, and overall workplace culture. Despite this enlightened understanding, data from our 2024 State of Workplace Empathy Study shows employees aren’t using the mental health benefits available to them—even when strong majorities say these benefits are highly important.
Closing this gap is not only a matter of improving employee well-being but also a strategic imperative to cultivate a resilient and productive workforce. However, data from more than 3,100 employees, HR professionals, and CEOs reveals that several obstacles stand in the way. Namely, widespread mental health stigma, toxic workplaces, and awareness of benefits.
Employees and Leaders Alike are Struggling with Mental Health
This year’s study shone a spotlight on one clear takeaway: both employees and executives are experiencing significant challenges with mental health. A staggering 55% of CEOs (+24 points from 2023) and 50% of employees reported experiencing a mental health issue in the past year. It serves as a stark reminder that no one is immune to the demands of stress and burnout.
Are toxic workplaces to blame? Findings likewise revealed an association between workplace toxicity and mental health issues. Strikingly, 35% of employees and 52% of CEOs agreed their workplaces are toxic. Overall, respondents who cited workplace toxicity are 47% more likely to also cite mental health issues compared to those who did not cite a toxic workplace. For CEOs, this association between mental health issues and workplace toxicity is even higher at 64%.
It appears that toxic workplace environments may be one driver of mental health issues, exacerbating stress, anxiety, and burnout for employees at all levels. Yet, it certainly isn’t the only one. Regardless of whether the source is inside or outside the workplace, organizations must be sensitive to the reality that many people today are struggling—and this is another reason why the data on mental health benefits usage is particularly interesting.
Employees Value Mental Health Benefits but Don’t Use Them
Overwhelmingly, nine out of 10 employees, HR professionals, and CEOs agree that mental health is just as important as physical health. Also encouraging, many organizations have responded to the demand for greater mental health support by boosting and expanding their benefits since the pandemic. Yet, our data shows that employees are not using the mental health benefits they rate as highly important. In fact, there are, on average, 70-point gaps between the benefits employees say are important versus what they’re actually using.
When evaluating the benefits and resources that help employees best care for their mental health, it’s evident they tend to view offerings through a more holistic lens. While traditional mental health benefits offered at enrollment, Employee Assistance Programs (EAPs), and access to online mental health resources or clinics rank highly, resources that provide peer support and autonomy are equally important—such as open-door policies, flexible working hours, and being encouraged to take breaks away from work. Of note, employees perceived flexible work hours along with remote work options as primary mental health benefits. It’s clear employees strongly desire robust mental health support, but the large gaps in utilization signal something isn’t working.
Lack of Awareness and Stigma Play a Role
Mental health is a complex issue, so it goes without saying that the reasons why employees don’t use mental health benefits are varied and personal. This year’s data pointed to two of those potential reasons:
- Lack of awareness and confusion. Many employees are unaware of their mental health benefits or do not know how to access them. Too often, information about mental health resources is buried in onboarding documents or only discussed during annual enrollment, leaving employees disconnected from support when they need it most. To counter this, HR leaders must make mental health resources highly visible and easily accessible. Intelligent technology, such as virtual benefits assistants driven by empathetic AI, is one way to provide simple-to-use and powerfully effective support.
- Stigma. A widespread mental health stigma persists across employees (67%), HR professionals (72%), and CEOs (81%), with the majority in agreement that companies still view someone with mental health issues as weak or a burden. This sentiment transcends age, race, and industries, with Gen Z (82%) and Hispanic/Latino (80%) employees among the most likely to share this belief. Open dialogue is one solution to dismantling mental health stigma. In fact, there’s about 90% agreement across respondents that it’s important for senior leadership to openly discuss mental health to create a safe environment for others.
The Role of Empathetic Leadership
The role of empathy in the workplace should not be underestimated in creating healthier workplaces where mental health benefits are not only valued but actively utilized. Leaders who demonstrate empathy foster environments where employees feel supported and understood, especially relating to personal struggles or integrating work and home life. An empathetic approach doesn’t mean compromising on performance or expectations, but rather understanding that employee well-being is a critical driver of long-term success.
In addition to incorporating tools that help employees take advantage of mental health benefits, HR leaders can promote empathetic leadership through a variety of avenues. This can include the open dialogue and flexibility employees strongly crave. Top leadership plays an important part in creating safe spaces where employees feel comfortable discussing mental health challenges without fear of judgment or negative consequences. By modeling vulnerability and openness, leaders can help destigmatize mental health discussions and encourage employees to seek help when needed. This shift not only increases engagement with mental health benefits but also strengthens the overall health and culture of the organization.
Building a Workplace of Mental Well-being
As the conversation around mental health in the workplace continues to evolve, HR leaders must remain at the forefront, advocating for environments where mental well-being is as important as physical health.
The gap between the mental health benefits employees value and their usage rates represents a challenge and an opportunity for HR leaders. By addressing root causes—such as toxic workplaces, stigma, lack of awareness, and low empathy—organizations can foster a culture where mental health is prioritized and benefits are more fully utilized. Together, open dialogue, empathetic culture, and technology can be powerful tools in closing this gap, creating a workplace that not only offers mental health support but actively participates in its use.
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ABOUT THE AUTHOR
Rae Shanahan
Chief Strategy Officer at Businessolver
Rae Shanahan is the Chief Strategy Officer at Businessolver. Learn more about the State of Workplace Empathy Study at businessolver.com/workplace-empathy.