Mental health benefits in the workplace: Why they matter and how to offer them

The importance of mental health in the workplace should not be underestimated. Read on to learn about mental health benefits for employees.

Jacqueline Demarco

Written by

Jacqueline Demarco

Jim Kazliner

Edited by

Jim Kazliner

importance-mental-health-in-the-workplace
5 min read
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TL;DR

  • 89% of businesses offer mental health coverage, but only 59% of employees believe their employer offers sufficient mental health support resources 

  • Giving employees access to thoughtful mental health benefits can help improve on-the-job productivity

  • Flexible schedules, paid time off, and access to counseling are all great examples of mental health resources you can offer

As a benefits administrator, you should not underestimate the importance of mental health in the workplace. The state of employee mental health in your company directly affects their productivity and how confident they feel about their work performance (American Psychological Association). You can make a positive impact on the mental health of your employees by understanding how to implement effective mental health programs and solutions such as offering mental health benefits like accessible counseling services and mental health days, as well as fostering a culture of openness and support.

What are mental health employee benefits?

As an employer, you want to offer a suite of valuable employee benefits that can help attract and retain top talent. They also need to ensure their workers can access those resources. A 2023 study from SHRM discovered that the majority (89%) of organizations provided their employees with access to mental health coverage, however over half (59%) of workers felt their employer did not provide sufficient mental health support resources. 

What mental health benefits can look like varies by employer, but can include:

  • Access to therapy and counseling: Provide coverage for in-person and virtual therapy sessions through health plans or Employee Assistance Programs (EAPs)

  • Psychiatric medication coverage: Ensure mental health medications are included in the insurance plan with minimal out-of-pocket costs

  • Digital mental health tools: Offer apps and platforms for preventive care, mindfulness, stress reduction, and crisis intervention (e.g., Calm, Headspace, or Talkspace)

  • Paid mental health days: Supply employees with designated mental health days separate from regular sick leave to encourage employees to focus on their well-being

  • Flexible scheduling: Allow flexible work hours or hybrid models to help employees manage responsibilities and reduce stress

  • Psychological safety training for managers: Equip leaders with the skills to foster a safe and supportive work environment where employees feel comfortable discussing mental health

  • Peer support programs: Establish support groups or peer mentoring programs to build community and mutual understanding

  • Grief and trauma support: Create resources and counseling for employees coping with loss, trauma, or significant life changes

  • Workload management resources: Ensure reasonable workloads and provide tools like project management software or training to reduce employee stress

  • Educational resources: Host webinars, distribute articles, or partner with organizations to educate employees about mental health awareness and coping strategies

  • Fitness and financial wellness stipends: Designate a stipend or discounts for gym memberships, fitness classes, or financial wellness-related purchases

  • Return-to-work support: Design tailored programs for employees returning from mental health-related leave to help them reintegrate smoothly

Source: SHRM

Learn more about how Thatch can improve your team’s health and well-being today.

Advanced employee mental health benefits

If you want to enhance your employee mental health benefits, these are some more advanced programs you can put into place:

  • Sabbaticals: Help long-term employees avoid burnout by offering them the chance to take a sabbatical. A sabbatical will give them an extended break that can improve mental health.

  • Specialized healthcare benefits: Provide healthcare coverage for health concerns like menopause and obesity. Your employee’s physical health challenges can impact their mental health. 

  • Wellness Rooms: Encouraging breaks can make a major impact on productivity and stress levels. Create quiet spaces in the office for employees to relax and recharge.

  • Wearables: Provide wearable devices to help employees track and improve their physical and mental health. Again — create a culture where breaks for rejuvenating activities like going on walks are supported. (SHRM)

How to improve employee well-being with mental health benefits

To boost employee well-being, consider how you can make your mental health benefits more accessible and effective. 

Consider the value

Spend some time getting to know your employees and what mental health benefits matter to them. Focus on building out the resources that provide them with the most value. You can interview employees individually, host focus groups, or create surveys to discover more about which of your benefits are most valuable and what types of mental health benefits they may prefer to have on offer. 

Communicate your benefits

One way to improve mental health benefits usage is to communicate what benefits you provide them with and how they can utilize them. The SHRM’s Employee Mental Health in 2024 Series found that 67% of workers are unaware or only somewhat aware of the mental health resources they can participate in through their workplace.

Understandably, many benefits administrators focus on educating new employees about benefits offerings, but it's a good idea to continuously educate your workforce on their mental health benefits. It can be challenging to ask for support and your employees may not have paid much attention to your mental health benefits while onboarding — especially if they weren’t struggling with their mental health at the time. 

Consider creating a peer-led support group or look for volunteers who want to help promote your mental health benefits to their teammates. (SHRM)

Train managers to offer support

While you want to leave whether or not to utilize your mental health resources up to your employees, consider requiring mental health training for managers. That way, they can learn how to properly support their employees through mental health challenges without overstepping. With proper training, your managers will find it easier to create solutions and accommodations for mental health struggles their employees may be having. It also sends a clear message that employee well-being matters to the company. 

Take a community based approach

Fostering a sense of community is a great way to make employees feel more confident in using their mental health benefits. Start a peer-led support group or a mental health ambassador program. These programs can include volunteers who are passionate about promoting mental well-being. To make the initiative more inclusive, involve volunteers from different departments, as teams often face unique challenges and may benefit differently from mental health resources.

Remove barriers to care

Make an effort to eliminate logistical and cultural obstacles that prevent employees from fully using mental health benefits. These resources should seamlessly fit into employees' daily routines, and staff must feel secure in accessing them. For example, some employers may offer impressive benefits but undermine their effectiveness by allowing managers to disrupt work-life balance, such as calling employees late at night, questioning their time off, or making it hard to schedule medical appointments.

Are you looking for healthcare support? Sign up for a free demo with Thatch today to see how we can help you find the healthcare solutions you’re looking for at the right price.

Jacqueline Demarco Thatch Writer
Written by
Jacqueline Demarco /Writer

Jacqueline DeMarco is a freelance writer who lives in the Bay Area and tackles a wide variety of healthcare and wellness topics. She writes for healthcare publications such as Hoag Hospital Foundation, Whisper, Outcomes4Me, USA Today, Newsweek, and more.

Connect with Jacqueline

This article is for general educational purposes and is not legal advice. The opinions shared here belong to the author and are not official statements from Thatch. For legal and tax questions, please feel free to consult with a qualified professional.

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