}

The economic loss due to mental health problems at work - An analysis and solutions

Tim Kleber
Nov 2025

The mental health of employees has become a central issue for companies in recent years. It is of great importance for companies to promote and protect the mental health of their workforce, not only for ethical and health reasons, but also from an economic perspective. This article highlights the economic impact of mental health problems in the workplace and presents innovative solutions.

The hidden costs of mental health problems

Mental health problems cause significant economic losses for companies. Studies show that companies lose an average of 9,000 euros per employee annually due to mental health problems. This figure has even risen by 16% since 2020, which underlines the growing importance of the issue.

Direct costs

Absenteeism and sick days

Employees who suffer from mental health problems take an average of 36 sick days per year. With an estimated cost of 300 euros per day of absence, this amounts to up to 11,000 euros per serious case. On average, companies incur costs of 2,300 euros per employee and year due to absences due to mental health problems alone.

Compliance and regulatory requirements

Carrying out psychosocial risk assessments, as required by ISO 45003 and the German Occupational Health and Safety Act, also entails costs. A standard psychosocial risk assessment costs around 12,000 euros per 100 employees, plus internal administrative expenses. Companies that do not comply with these regulations risk legal consequences, fines and increased insurance costs.

Increasing healthcare costs and insurance premiums

Mental illnesses account for 13.1% of total healthcare costs in Germany, which corresponds to around 44 billion euros annually. The treatment costs for depression alone amount to 9,453 euros per affected person and year.

Indirect costs

Presentalism and loss of productivity

Presentalism, i.e. being present at work despite health problems, often causes higher costs than absenteeism. Studies show that 46% of mental health costs at work are due to presentism. The estimated costs per employee amount to around 3,000 euros per year.

Fluctuation and recruitment costs

Around 40% of voluntary cancellations are linked to a lack of psychological well-being. The cost of replacing an employee is between 50% and 200% of the annual salary, taking into account recruitment, onboarding and loss of institutional knowledge. For managers in particular, new appointments usually cost 200% of their annual salary. The estimated annual loss per employee due to fluctuation amounts to 2,500 - 10,000 euros.

Innovation losses and competitive disadvantages

Burnout and stress have been shown to reduce employees' creative problem-solving skills. Companies with high burnout rates have lower innovation rates. The estimated annual loss per employee due to reduced innovative capacity and missed opportunities is 700 euros.

The overall impact on companies

When you add up all direct and indirect costs, the picture is alarming. The following table summarizes the annual costs per employee:

Cost category | Amount per employee (yearly)

Absenteeism & sick leave | 2.300€

Presentalism (reduced productivity) | 2,900€

Fluctuation & Recruitment Costs | 2.500€

Compliance & Regulatory Requirements | 600€

Reduced Innovation & Competitiveness | 700€

Total economic loss per employee | 8,900€

These figures show that the mental health of employees is a decisive factor for the company's success. The total costs of almost 9,000 euros per employee and year are a clear signal that action is needed.

Why investing in mental health pays off

In view of these considerable costs, the question is how companies can take countermeasures. The good news is that investments in employee mental health have been proven to pay off. Studies by Deloitte and McKinsey confirm that every euro invested in occupational mental health provides a return of 5 euros.

Strategic recommendations for companies

  1. Implementation of AI-supported psychosocial risk assessments: These enable full compliance and provide real-time insights into the mental health of the workforce.

  2. Introduction of digital mental health solutions: AI-based coaching and biofeedback technologies can help employees individually and preventively.

  3. Training managers and HR teams: The ability to identify early warning signs of burnout is critical for timely intervention.

  4. Improving corporate culture: Increasing transparency and reducing stigmas around mental health promote an open and supportive work environment.

The mentalPORT solution: A holistic approach to mental health at work

In view of the complex challenges that mental health problems pose for companies, mentalport has positioned itself as an innovative solution. The company offers a holistic approach that both meets legal requirements and proactively promotes the mental health of employees.

The Mental Health Management Hub

mentalport presents itself as a “mental health management hub” for companies. This hub integrates various components that together form a comprehensive system for promoting and monitoring mental health in the workplace.

1. Risk assessment of psychological stress (GBU Psyche)

A core element of the mentalPORT offering is the digital, anonymous and fully automated implementation of the legally required risk assessment of psychological stress. There are several benefits to this solution:

  • 100% legal certainty: GBU Psyche meets all legal requirements and maintains them in real time.

  • cost efficiency: Companies can save up to 34,000€ per 100 employees in personnel and process costs.

  • Automated derivation of occupational safety measures: Each employee receives individual occupational safety measures based on the respective questionnaire, while maintaining anonymity at all times.

2. mentalport coaching app

The mentalport coaching app is at the heart of the solution for employees. It replicates a human systemic coach based on AI and biofeedback. Key features include:

  • Occupational safety measures area: Behavioral preventive measures are offered here, which are individually tailored to the identified burdens on employees.

  • Instant exercises and mini journeys: These offer immediate help for various concerns, such as stress reduction or a quick energy boost.

  • 1:1 systemic coaching: Employees can book coaching sessions with certified systemic coaches.

  • Mood and biotracking: A mental health tracker helps to record mood, heart rate variability, and other relevant factors.

3. Management platform

The management platform enables holistic mental health management for an optimal working environment. It provides companies with insights and recommendations for action based on aggregated, anonymized data.

Benefits of the mentalPORT approach

  1. Holistic approach: mentalport addresses both legal requirements and the individual needs of employees.

  2. scalability: The digital solution can be easily implemented in companies of all sizes.

  3. proactivity: Through continuous monitoring and AI-based interventions, problems can be identified and addressed at an early stage.

  4. anonymity: Technical and experienced anonymity creates trust and enables employees to deal openly with their mental challenges.

  5. cost efficiency: By automating many processes and taking a preventive approach, companies can save considerable costs.

  6. Compliance: The solution ensures that companies meet all legal requirements in the area of psychological risk assessment.

Conclusion: Mental health as a strategic competitive advantage

The economic losses due to mental health problems in the workplace are significant and can no longer be ignored. With an average cost of 9,000 euros per employee and year, companies are faced with the challenge of implementing effective solutions.

The mentalPORT solution offers a promising approach that both meets legal requirements and proactively promotes the mental health of employees. By combining digital risk assessment, AI-based coaching and a comprehensive management tool, mentalport addresses the complex challenges holistically.

Companies that invest in the mental health of their employees can not only save significant costs, but also benefit from increased productivity, higher employee retention and improved innovative capacity. At a time when competition for talent is becoming increasingly fierce and demands on employees are constantly increasing, robust mental health management can become a decisive competitive advantage.

The implementation of a solution such as mentalport should therefore not be regarded as a cost factor, but as a strategic investment in the future viability of the company. By focusing on the mental health of their employees, companies are not only creating a healthier and more productive working environment, but also positioning themselves as attractive employers in an increasingly demanding job market.

The message is clear: Investing in the mental health of employees is not only ethically necessary, but also makes economic sense. With innovative solutions such as mentalport, companies now have the opportunity to address this complex issue effectively and efficiently and thus benefit from the positive effects in the long term.

Learn now in a free demo how mentalport can take on all tasks related to mental health and get in touch with us without obligation!

sources:

  1. https://executive.berkeley.edu/thought-leadership/blog/impacts-poor-mental-health-business
  2. https://www.thenewhopemhcs.com/impact-of-mental-health-on-work-performance/
  3. https://www.peoplemanagement.co.uk/article/1861363/mental-health-issues-costing-company-think
  4. https://www.forbes.com/councils/forbesbusinesscouncil/2024/06/21/breaking-point-the-toll-of-the-mental-health-crisis-on-businesses/
  5. https://www.centreformentalhealth.org.uk/wp-content/uploads/2024/03/CentreforMH_TheEconomicSocialCostsofMentalIllHealth.pdf
  6. https://pmc.ncbi.nlm.nih.gov/articles/PMC9663290/
  7. https://www.deloitte.com/uk/en/about/press-room/poor-mental-health-costs-uk-employers-51-billion-a-year-for-employees.html
  8. https://www.gallup.com/workplace/404174/economic-cost-poor-employee-mental-health.aspx
  9. https://www.who.int/teams/mental-health-and-substance-use/promotion-prevention/mental-health-in-the-workplace
  10. https://pmc.ncbi.nlm.nih.gov/articles/PMC9969895/
  11. https://www2.deloitte.com/us/en/insights/industry/health-care/economic-burden-mental-health-inequities.html
  12. https://www.psychologytoday.com/us/basics/productivity/mental-health-and-productivity
  13. https://www.linkedin.com/pulse/hidden-costs-mental-health-workplace-call-action-juan-guti%C3%A9rrez
  14. https://www.who.int/news-room/fact-sheets/detail/mental-health-at-work
  15. https://www.effectory.com/knowledge/the-emotional-and-economic-costs-of-overlooking-wellbeing-in-the-workplace/
  16. https://www.modernhealth.com/post/cost-of-poor-mental-health-in-workplace
  17. https://www.aflac.com/business/resources/articles/mental-health-in-the-workplace-and-productivity.aspx
  18. https://www.bighealth.com/blog/the-hidden-costs-of-neglecting-mental-health-in-the-workplace
  19. https://www.centreformentalhealth.org.uk/publications/the-economic-and-social-costs-of-mental-ill-health/
  20. https://www.fitonhealth.com/blog/the-impact-of-mental-health-on-workplace-productivity

Jetzt unverbindlich & kostenlos starten

Dein Weg zum Mental Wellbeing Management

Abonniere unseren Newsletter
Dankeschön! Deine Einreichung ist eingegangen!
Huch! Beim Absenden des Formulars ist etwas schief gelaufen.
Das könnte auch interessant für Dich sein