Why smart business leaders invest in true mental wellbeing

Keywords: sustainability, performance, ROI, mentalhealth, measurement, effectiveness

Date: 7 May 2025, WorkLife Digital

Despite the growing recognition that mental wellness is a critical pillar of sustainable business, some leaders remain sceptical about investing properly in employee mental health. Yet, the evidence is clear: superficial gestures like meditation apps and mental health days are not enough to build a resilient, high-performing workforce. To remain competitive and future-proof, organisations must move beyond the basics, embracing robust measurement and targeted strategies that deliver real results - for people and for the bottom line.

The pitfalls of half-measures

Many companies have introduced well-intended initiatives such as mindfulness apps, Employee Assistance Programs (EAPs), and casual wellness activities. While these can offer short-term relief, they rarely address the deeper, systemic issues that drive disengagement, burnout, and turnover.

Mindfulness apps: While accessible, these tools oversimplify complex mental health needs and may not suit every employee equally.

EAPs: Valuable but reactive, EAPs often only come into play once issues have escalated, rather than preventing them in the first place.

Mental health days and casual activities: These boost morale but do not tackle the root causes of poor mental health or disengagement.

The result? Persistent presenteeism, rising absenteeism, and a workforce that feels unsupported and undervalued.

Measurement: The game-changer for business outcomes

What sets high-performing, sustainable organisations apart is their commitment to psychologically evidence-based measurement. This means using validated tools to assess factors like purpose, identity, boundaries, stress, job satisfaction, and, critically, psychological safety: the extent to which employees feel safe to speak up, admit mistakes, and be themselves without fear of negative consequences.

Recent research highlights the importance of external providers in this process. Employees are more likely to give honest feedback to impartial, confidential third parties, leading to more accurate data and a clearer understanding of both individual and organisational challenges. This external perspective helps leaders identify hidden issues and tailor interventions that actually work.

Why psychological safety-and its measurement-matters

Psychological safety is the foundation of engagement, innovation, and trust. When employees feel safe, they are more likely to collaborate, share ideas, and support each other - driving better business outcomes. However, studies show a worrying decline in psychological safety, especially among frontline staff and those already struggling with mental health. This disconnect between leadership perception and employee reality can only be bridged with continuous, anonymous measurement and open dialogue, ideally facilitated by external experts.

The value of measurement: From data to ROI

Measurement is not just a box-ticking exercise - it’s the engine of effective strategy and demonstrable business value. Here’s how:

Tailored, impactful strategies: Data from robust measurement allows organisations to move beyond generic initiatives. If surveys reveal low psychological safety in a department, targeted leadership training can be deployed. If resilience scores are lagging, resilience-building programs can be prioritised. This precision ensures resources are invested where they’ll make the biggest difference.

Tracking impact and success: Ongoing measurement enables organisations to monitor input (resources invested), output (e.g., training completion), and outcomes (reduced absenteeism, improved engagement, lower claims). This data-driven approach ensures continuous improvement and agility.

Proving ROI to the board: Well-implemented mental health initiatives deliver a measurable return - studies show a $3 to $5 benefit for every $1 invested, through reduced disability claims, lower presenteeism, and higher productivity. Tracking KPIs like program engagement, absenteeism, and satisfaction enables leaders to present clear, data-backed evidence of value to boards and stakeholders, making the case for sustained investment.

Beyond the basics: What works

A holistic, evidence-based approach combines robust measurement with proactive programs, such as:

Coaching and resilience-building: Supporting personal and professional growth.

Leadership training: Fostering supportive, empathetic management.

Mental health workshops and ERGs: Promoting openness and peer support.

Career development and clear communication: Building confidence and reducing uncertainty.

External providers enhance these efforts by bringing expertise, neutrality, and benchmarking, ensuring honest feedback and actionable insights. Organisations that partner with external mental health professionals see not only improved wellbeing but also reductions in disability claims and greater adaptability to local needs.

The bottom line

Mental health is not a “nice-to-have” - it’s a strategic imperative. Companies that prioritise robust measurement and invest in tailored, evidence-based mental health strategies enjoy higher engagement, lower costs, stronger employer brands, and a clear, reportable ROI. In today’s competitive landscape, failing to act is not just a risk to your people - it’s a risk to your business.

Ready to move beyond the basics? Invest in measurement, act on the data, and watch your people and your organisation thrive.

Measure your own personal mental health here and identify your mental health risk areas.

WorkLife Digital is a global mental-wellbeing consultancy driven by the mission to improve the sustainability of businesses. Our psychological wellbeing tool, Worklife Quotient (WL-Q), is modelled on cutting-edge scientific research and provides organisation-wide measurement and intelligence on the mental wellbeing levels and psychological resilience of staff. WL-Q also assesses the impact of organisational practices (i.e. people and culture, leadership styles, organisational purpose and values, social impact) that have a direct influence on staff wellbeing and provides strategic recommendations on addressing risks and promoting strengths.

For more information, get in touch at lisa@worklife.digital

REFERENCES

Deloitte The ROI in workplace mental health programs: Good for people, good for business
https://www2.deloitte.com/content/dam/insights/us/articles/ca22901_blueprint-for-workplace-mental-health/DI_blueprint-for-workplace-mental-health.pdf