Lack of compassion from employers spurs mental health crisis in the workplace

Mental health, fatigue

New research commissioned by insurer Allianz reveals that 48 per cent of Australian employees feel fatigued and burnt out in their current work environment and 36 per cent are likely to leave in the next six to 12 months due to mental health issues they are facing in the workplace.

Adding to these issues, the research highlights the fact that 31 per cent of respondents feel a lack of compassion from their managers towards their personal circumstances and how these impact their work, and 28 per cent believe their managers have an unconscious bias regarding the perception of their ability to do their job effectively. This is especially notable among the 39 per cent who identify themselves as suffering from a disability and 42 per cent who identify as neurodivergent. In fact, 22 per cent of those with a disability have felt excluded due to their personal situation or characteristics.

Acknowledging employee concerns, 25 per cent of the managers surveyed believe there is an ’empathy gap’ in their workplace, where workplace challenges are not handled with the level of care necessary for all employees, and 45 per cent agree they may have an unconscious bias towards their team. Still, 85 per cent of managers believe they show empathy and/or compassion to their team regarding their personal circumstances and how they impact their ability to do their job effectively, a sentiment shared by only 46 per cent of employees.

The findings come amidst continuously rising Allianz psychological Workers’ Compensation claims, with the insurer reporting a 47.5 per cent increase in active claim volumes and a 30 per cent increase in the number of days off due to mental health over the last five years.

“Diversity and inclusion is so important within the workforce. It not only benefits individuals but also their teams, the organisation and society more broadly,” Julie Mitchell, Chief General Manager of Personal Injury at Allianz Australia, said. “Employers need to focus on developing a culture whereby employees feel psychologically safe and that they can bring their best selves to work. Psychological safety is a shared belief by team members that it’s OK to express their ideas, concerns and questions – and to take risks and admit mistakes – without fear of negative consequences.”

Both employees and managers agree that more action can be taken within their workplace to support the mental health needs of employees. To this end, one in five (21 per cent) of the managers surveyed say that their organisation is taking steps to address unconscious bias in their workplace.

“It is critical that organisations view their people as more than just workers and take the time to truly understand the often messy intersections between life and work in order to provide tailored support in meaningful and holistic ways,” Dr Sarah Cotton, organisational psychologist and Co-Director of Transitioning Well, said.

In addressing these concerns, employees called for improved opportunities for open and transparent conversations about individual workplace needs (39 per cent), alongside clear communication channels to voice workplace concerns (39 per cent).

On the plus side, Australian organisations are planning to invest $27.8 billion in diversity and inclusion practices and mental health support services over the next 12 months. The investment equates to an average of $38,771 per organisation surveyed, according to the report.

“By leading with empathy and inclusion, managers can create an emotionally intelligent and safe space for all employees, no matter their gender, generation, cultural background or experience of disability or neurodiversity,” Mitchell said. “Only by doing so will they reap the benefits of the new workforce including increased productivity, creativity, improved decision-making and much more.”