Corporate Ireland’s current mental health support strategies are falling short — for both employees and businesses.
Many organisations continue to heavily rely on traditional Employee Assistance Programs (EAPs). While important, these services often engage with staff too late in the mental health lifecycle — when issues have potentially already escalated. Instead of preventing problems, the current model focuses on managing crises — an approach that is both costly and unsustainable.
Poor mental health causes absenteeism, presenteeism, and staff turnover, costing the Irish economy an estimated €11 billion annually. The business case for prevention is clear: companies that shift their focus upstream towards credible, early-stage supports, will not only strengthen their workforce, but will also protect their bottom line.
The problem with reactive approaches
Despite widespread adoption, EAPs remain significantly underutilised. In Ireland, only 3% to 5% (opens a new window) of employees engage with these services. Many employees are unaware of their existence, or are reluctant to engage due to perceived stigma or concerns over confidentiality.
Furthermore, while 76% of Irish employers acknowledge responsibility for employee mental health, only 20% allocate a dedicated budget (opens a new window) to it. This is against a backdrop of worsening levels of mental health related work absences. In the past year, 31% (opens a new window) of Irish workers reported taking sick leave due to mental or psychological health issues, according to the 2025 Mind Health Report by Laya Healthcare — a sharp rise from 23% in 2023 (opens a new window).
In addition, presenteeism (employees working while unwell) is a hidden issue. In Ireland, presenteeism rates stand at 27%, (opens a new window) notably higher than in England (21%). These employees are present, but disengaged, contributing to lost productivity that rarely appears in headline HR metrics, but nevertheless impacts business performance.
Investing in prevention: the business case
There is growing evidence that early, pre-clinical mental health interventions offer tangible returns. Research shows that for every £1 invested in workplace mental health initiatives, organisations see an average return of £4.70 (opens a new window) through reduced absenteeism, presenteeism, and staff turnover. A study in the US published in 2025 found that every $100 invested in effective mental health support reduced future medical claims by $190. (opens a new window)
Despite available evidence, many businesses retain a reactive approach, addressing symptoms rather than building resilient, thriving workplaces from the ground up.
Leadership buy-in
Supporting mental health is not about slogans or one-off initiatives — it is about leadership. Authentic leadership commitment goes beyond funding. It requires modelling behaviours that prioritise well-being, embedding mental health support into everyday business practices, and fostering a culture where employees feel psychologically safe to seek help early.
In Ireland, 42% (opens a new window) of employees still do not feel comfortable disclosing a mental health issue to their employer. Without active efforts to address stigma and normalise mental health conversations, the best-designed programmes will continue to underperform.
Work-related stress, depression, or anxiety accounted for half of all work-related ill health and over half of all working days lost (opens a new window) in in the UK between 2022 and 2023. Addressing mental health shouldn’t be perceived as optional, but instead a core leadership responsibility tied directly to performance, retention, and risk.
Building supports that work
Building credible, pre-clinical mental health supports requires a connected, strategic approach. This includes businesses implementing the following steps: - Services must be visible, accessible, and easy to engage with. - Support must be proactive, not just crisis-focused. - Initiatives must be aligned to employee needs, not assumptions. - Leadership must champion and live the commitment. - Communication must be authentic and continuous.
It is also essential to recognise that mental health strategies must evolve over time to reflect changing workforce demographics, emerging challenges, and employee expectations.
Next steps
Creating a meaningful, preventative mental health strategy shouldn’t be based on performative gestures or conducting required compliance measures. It is about delivering credible support that strengthens teams, protects business performance, and drives long-term success.
For organisations looking to rethink their approach to mental health — from reaction to prevention — Lockton can provide support. Having a partner that can negotiate optimal terms, help you select an appropriate provider, and ensure you access any available government subsidies, is critical.
Together, we can design and deploy strategies that deliver real impact, aligned to your culture, workforce needs, and business goals.
