Mental health claims are up 37%. HR & Safety leaders need to act now

For HR and Safety leaders, this statistic isn’t just another number on a report; it represents real people in our teams grappling with stress, burnout, and workplace pressures. The cost is enormous to organisations, translating into lost productivity, compensation claims, and, most importantly, the human impact on employees’ wellbeing. Mental health claims are now taking up a larger share of workers’ compensation costs than ever before, and the trend shows no sign of slowing down.

The challenge goes well beyond compliance. The truth is, one-off wellness campaigns, token perks, or generic “wellbeing days” are no longer enough. Employees want meaningful change. Such as genuine choice in how they work, supportive leadership behaviours, and a workplace culture that doesn’t push them to the brink. If those issues aren’t addressed, claims will continue to rise, engagement will erode, and attrition will continue.

So, what can leaders do to build resilience and trust? The answer lies in embedding wellbeing into everyday practice and not treating it as an afterthought. This means designing flexible work that actually meets employees’ individual needs, proactively managing psychosocial risks, and creating cultures where people feel safe to speak up. When HR and Safety leaders work together on this agenda, they don’t just reduce claims; they are able to build healthier, more resilient teams and foster the trust that underpins long-term success.

The responsibility is clear for those of us who lead and manage teams. We need to champion cultural best practices and put mental health at the heart of workplace strategy. Managing burnout should be factored into an employee value proposition, as it’s a key driver in attraction and retention of our current and future workforce. Future employees want proof of genuine wellbeing initiatives and a culture of openness. This will set organisations apart from others, strengthen productivity and engagement in an increasingly competitive job market.

To discuss how we can help you put safety structures in place, contact me directly via dani@proteqt.com.au or call 0491 786 440 for a confidential discussion.