How does mental health affect productivity in the workplace?

Mental health in the workplace is becoming increasingly important, with organisations becoming more interested in improving employee mental health and wellbeing. But what makes mental health provisions so important?

There are many ways poor mental health can impact employees, including higher rates of absenteeism, presenteeism, burnout, and employee turnover. However, with the need for efficient and consistent working processes underpinning the operation of most businesses, the impact of mental health on employee productivity is one of the most important factors for employers to consider.

In this blog, we explore the link between mental health and work performance by considering existing research and examining how common mental health conditions and neurodevelopmental differences can have an impact on productivity.

How Does Mental Health and Wellbeing Impact Employees?

Employee mental health and wellbeing are important in maintaining a happy, healthy workplace. Fostering a supportive and understanding workplace environment is not only beneficial for individual employees but also for organisations.

 

According to the CIPD’s Health and Wellbeing Report 2025, sickness absences have increased to an average of 9.4 days per year, with poor mental health reported to be the top cause of long-term absences from work. As well as this, 64% of respondents reported having experienced stress-related absences in their organisation over the past year.

 

These statistics highlight why improving employee wellness is so important: poor mental health can have a profound impact on employee absence rates and the prevalence of stress and burnout in employees. Poor mental health can also increase employee turnover rate, as unhappy staff members are more likely to seek employment elsewhere.

How Can Mental Health Affect Work Performance and Productivity?

Employee mental health and wellbeing can have a significant impact on workplace productivity. As working efficiently, consistently, and to a high standard is key to keeping organisations running, maintaining productivity levels is of vital importance for businesses. Operations ceasing to work effectively could incur considerable costs and impact employee return on investment.

 

Poor mental health can reduce productivity in several ways:

 

  • Concentration levels: Employees facing mental health challenges may be preoccupied with their thoughts, causing them to struggle with concentration.
  • Motivation: Poor mental health can cause individuals to lose a sense of motivation, making them less willing to complete tasks to a high standard.
  • Memory loss: Some mental health challenges can cause individuals to forget things more easily, such as forgetting deadlines or what small, ad-hoc tasks they need to complete next.
  • Self-confidence: Employees with poor mental health might experience issues with their self-confidence, making them believe they are no longer capable of carrying out their job to the required standard.

What Does Research Say About the Role of Mental Health in Workplace Productivity?

There has been a variety of research conducted into mental health and workplace productivity, to try to establish whether there is a link between them, and how they might impact one another.

 

For example, Bellet, De Neve and Ward studied the impact of employee happiness on productivity and found a positive correlation between reported levels of happiness and work performance. By studying 1,800 BT call centre workers, they found that a one-unit increase in happiness resulted in a 12% increase in productivity, based on weekly sales data.

 

Furthermore, de Oliveira, Saka, Bone, and Jacobs conducted a literature review of 38 studies and found that overall, poor mental health was associated with a decrease in productivity in the workplace, such as higher levels of absenteeism and presenteeism.

 

Whilst there is evidence that employee wellbeing and mental health directly impact workplace productivity, it is important to note that there is still scope for further research. For example, researching the impact of specific mental health conditions (including uncommon conditions) on productivity.

 

The Impact of Common Mental Health Conditions And Neurodevelopmental Differences on Productivity

When considering the link between mental health and productivity at work, it can be insightful to examine the common mental health conditions and neurodevelopmental differences experienced by employees and their symptoms.

ADHD and Productivity

ADHD is a neurodevelopmental condition that can cause individuals to struggle with concentration and focusing on tasks. They might also experience restlessness, which can make it challenging for them to complete tasks that require them to sit still at a desk for prolonged periods. These symptoms can make the individual less productive when working.

 

However, some individuals with ADHD also experience periods of hyperfocus, where they might be extremely productive.

Depression and Productivity

Depression is a common mental health condition that can have an impact on workplace productivity. There are many ways depression can reduce someone’s productivity:

 

  • Individuals with depression might feel unable to carry out tasks that they need to do, whether this is in their daily life or work life.
  • Depression can cause individuals to isolate themselves and avoid tackling their to-do list, making tasks build up.
  • Prolonged periods of feeling unproductive can enhance feelings of depression, making it a cycle that can be difficult to break.

 

It is important to note that depression won’t always cause unproductive behaviours. Everyone is different, and some people with depression might exhibit hyperproductive behaviours as a way of masking negative emotions.

Anxiety and Productivity

Anxiety can cause a multitude of physical symptoms, including nausea, tension, and restlessness, that can make focusing on tasks more challenging. It can also cause memory issues, making it more difficult for individuals to remember deadlines or plan.

 

Employees with anxiety might also excessively worry about whether they are carrying out a task correctly or to a high enough standard. If there are specific tasks that are worrying an employee and causing high levels of anxiety, they also might be more likely to procrastinate doing these tasks to avoid negative feelings.

 

This can ultimately get in the way of employees working productively.

How to Improve Workplace Productivity

As research supports the idea that mental health and workplace productivity are linked, creating a supportive work environment where mental health is destigmatised can be important in maintaining levels of productivity.

 

Implementing mental health provisions in the workplace can ensure your employees are being appropriately supported and prove that you consider their wellbeing to be a priority.

 

In fact, there is evidence to suggest that implementing policies that aim to improve things like work-life balance, such as work-from-home policies, can not only maintain employee productivity levels, but improve it. For instance, the CIPD’s Mental Health and Wellbeing Report 2025 suggests 36% of organisations with employees working from home have seen lower rates of sickness absences, and 33% have reported an increase in productivity levels compared to 16% reporting a decrease.

 

Learn more about how to develop an integrated intervention approach to workplace mental health.

Invest in Employee Mental Health Support With Onebright

At Onebright, we are committed to helping employers improve workplace mental health. We offer a range of services, including:

 

 

With over 200 UK businesses as clients, our team of experts are experienced in improving the mental health and wellbeing of employees across all types of businesses and sectors.

 

Get in touch today to discuss how we can develop workplace mental health solutions tailored to your organisation.

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