Of the 167.9 million workers across the nation, many are impacted by some level of work-related stress daily. According to a survey by The American Institute of Stress, 83% of U.S. workers experience such stress, which can affect a person’s health, relationships, productivity and job performance. Poor workplace environments where discrimination, inequality, excessive workloads, low job control and job insecurity exist can contribute to mental health conditions. As a result, employers may face absenteeism, low employee productivity and an increase in stress-related worker injuries. The impact on U.S. employers is more than $300 billion in losses annually. Conversely, workplaces that prioritize mental health often contribute to recovery and inclusion, improve confidence and social functioning and improve worker productivity. State governments and other employers can implement a range of strategies designed to mitigate negative impacts, boost employee well-being and build a more inclusive workforce.
These issues were a focus of the Mental Health Matters: National Task Force on Workforce Mental Health Policy convened by The Council of State Governments and the National Conference of State Legislatures, in collaboration with the State Exchange on Employment & Disability (SEED), which is a unique state-federal collaboration funded by the U.S. Department of Labor Office of Disability Employment Policy. The task force engaged state policymakers and subject matter experts from across the country to explore policy options and actions taken by states to address major workforce challenges and barriers to employment for people with mental health conditions. Four task force subcommittees explored specific issues.
The Workplace Care and Supports Subcommittee identified inclusive workforce strategies state governments can use to foster worker well-being. These include developing employee wellness programs and drug-free workplace initiatives as well as providing reasonable accommodations for employees with mental health conditions.
Workers stand to benefit significantly from employee wellness programs. These programs are proven to reduce disease risk factors and increase healthy behaviors among employees and can lead to lower health care costs and utilization. According to a study by the Society for Human Resource Management (SHRM), the SHRM Foundation and Otsuka Pharmaceutical Co., Ltd., 78% of organizations in the U.S. offered workplace mental health resources in 2022 or planned to offer them in 2023. Many states offer wellness programs for public sector employees, but some have taken additional steps to incentivize private employers to adopt or expand services under these programs. For example:
- In 2009, North Dakota launched a Worksite Wellness Program initiative in partnership with the Dakota Medical Foundation, Blue Cross Blue Shield North Dakota and the Department of Health to improve employee engagement with worksite wellness programs. The initiative provides implementation resources and training to organizations across the state.
- Pennsylvania Executive Order 1996-10 (1996) establishes its State Employee Assistance Program to provide its employees and their family members with free, confidential assessments and referral services. The program includes:
- Financial, legal and emotional support services.
- Six free counseling sessions per year.
- Resources for individuals with substance use disorder (SUD).
- Wisconsin SB 73 (2013) provides an income and franchise tax credit to small businesses that offer workplace wellness programs. The credit equates to 30% of the amount spent by the employer to provide the program in a taxable year.
Another strategy for supporting employee mental health is implementing ready-recovery workplace programs. According to the U.S. Department of Labor, such efforts encourage treatment and support recovery for employees with SUD. Approximately 13.6 million adults with SUD are employed in the U.S., comprising nearly 9% of the adult workforce. Drug-free workplaces improve productivity, decrease absenteeism and reduce the risk of workplace accidents or injury. These programs range from providing treatment options to those who fail drug screenings to establishing court diversion programs.
- New Jersey SB 524 (2023) creates the Mental Health Diversion Program to divert eligible individuals with SUD away from the criminal justice system and into appropriate case management and mental health services.
- Kentucky SB 191 (2020) permits employers to hire and retain individuals who fail a drug screening if the employee completes a drug education and addiction treatment program. The bill also provides legal liability protections to employers that implement the Kentucky Transformational Employment Program in their workplaces.
Employees with mental health conditions may be negatively impacted by certain factors in an office setting. Helpful accommodations may include flexible or modified work schedules and remote work. As of 2023, 12.7% of full-time employees worked from home, and 28.2% participated in a hybrid model. States are supporting telework in a variety of ways, such as expanding broadband access and granting remote options to public employees.
- Vermont HB 99 (2013) allows public and private sector employees to request intermediate or long-term flexible work arrangements, such as telework, job-sharing or changes in work schedules.
- In 2016, Tennessee’sDepartment of Human Resources issued Policy 14-001 to provide guidance on Alternative Workplace Solutions (AWS) for state employees. AWS allows certain employees to have flexible schedules and workspaces and has been used as a model for other states. The legislature also appropriated grant funding to improve broadband access in underserved areas.
Additional examples of state telework policies can be found in The Council of State Governments brief Disability-Inclusive Telework for States: State Approaches to Increasing Access & Inclusion. For more information about these findings and others, visit the “Mental Health Matters: Framework on Workforce Mental Health Policy.” This resource outlines policy options to recruit and retain qualified mental health providers; increase access to workplace care and supports; address the unique needs of underserved communities; and enhance mental health parity. Such practices are vital to solve the mental health crisis — and build a stronger, more inclusive workforce and economy.