Poor mental health costs SA economy R250bn a year in lost productivity – here’s how to support employee wellbeing

Could investing in employee health and wellbeing put year-end function budgets to better use?


As companies finalise their fourth-quarter budgets, employee mental health is emerging as a far greater business concern than choosing a venue for the annual year-end function.

Mental health challenges are estimated to cost South Africa R250 billion in lost productivity each year through absenteeism and presenteeism, while approximately 35% of the workforce experiences symptoms of severe stress or clinical anxiety.

Karen Heath, senior researcher at The Noakes Foundation, said workplace wellness cannot be treated as a once-a-year morale exercise.

“Stress, sleep, nutrition and metabolic health all form part of how people feel and function at work. Employers have an opportunity to give their teams credible information and practical tools that support healthier decisions throughout the year.”

Year-end functions aren’t enough for recognition

The Noakes Foundation is a South African non-profit organisation that promotes low-carbohydrate, high-fat (LCHF) diets and funds independent research into metabolic health and nutrition.

Founder Professor Tim Noakes said year-end functions play an important role in recognising employees and strengthening relationships.

However, drinks, lunch and a few hours away from the office cannot compensate for unresolved workloads, ineffective support programmes or a workplace culture that allows stress to accumulate.

Budget to support mental health

He added that companies could instead consider how part of the year-end budget might support an experience that combines recognition with useful health education, conversation and access to credible expertise.

“A one-off event cannot undo a year of poor health habits, but it can open the door to better questions,” said Noakes. “The real value is in giving people credible information they can use long after they return to work.”

This means selecting experiences that reflect the organisation’s workforce, business pressures and existing employee support programmes.

Four questions for business leaders

Before allocating a wellness or year-end budget, employers should consider:

• What workforce problem are we trying to address? This could include burnout, low use of employee-assistance programmes, absenteeism, disconnection or limited health knowledge.

• Is the experience inclusive? Cost, location, working patterns, disability, language and family responsibilities can determine who is able to participate.

• What happens afterwards? Learning should be supported through follow-up resources, conversations, benefits or policy changes.

• How will the value be assessed? Attendance alone does not show whether an initiative improved awareness, engagement or access to support.

What could go on the corporate wellness calendar?

Noakes said businesses could consider experiences suited to different employee and leadership needs.

Among other conferences, he mentioned the World Health Expo Johannesburg, to be held at Gallagher Convention Centre from 6 to 8 October. Noakes believes this conference may be more appropriate for HR, healthcare and employee-benefits teams interested in industry developments and professional education. Registration is free.

“No conference, workshop or wellness day can replace sound management, reasonable workloads, effective benefits and access to professional support. However, a carefully selected experience can become a useful starting point for a broader workplace conversation.

“The value of a year-end investment should ultimately be measured by more than attendance figures and photographs. It should leave employees with knowledge or support they can carry into the next year, and give employers a clearer foundation for building a healthier, more sustainable workforce.”

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