Workplace Wellbeing

Mental Health Leave: A Critical Tool for Building a Resilient Workforce

Offering mental health leave isn’t just a policy—it’s a commitment to your team’s well-being. By giving employees the time they need, you create a culture where they feel valued, leading to a more loyal, productive, and resilient workforce.

Written by
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Megan Bohinc, MA, PCC-S, LPC, MFT
Clinical Quality Manager, Spring Health
Clinically reviewed by
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    Untreated mental health issues can be costly, with the average company in the United States losing between $3,000 and $5,000 per employee each year. This statistic reflects a significant challenge driven by factors like absenteeism, presenteeism, and increased turnover.

    As an HR leader, you might ask yourself, “Is there a way we can change this? Can we cultivate a workplace environment where our employees feel truly supported in their mental health journeys and know they have the resources and options—like taking a leave of absence when necessary—to care for themselves?”

    When mental health challenges go unaddressed, the impact extends far beyond financial costs. Employee morale, team dynamics, and workplace culture can suffer, leading to decreased productivity and higher turnover. 

    Implementing supportive policies like mental health leave is a compassionate approach that can enhance employee well-being, foster a more resilient organization, and ensure long-term success. 

    Understanding mental health leave of absence

    A mental health leave of absence allows employees to take dedicated time away from work to focus on their mental well-being, whether they are dealing with stress, anxiety, depression, or other mental health challenges. Unlike a vacation or typical sick leave, this type of leave specifically addresses mental health needs, giving employees the time they need to recover and seek appropriate treatment.

    Offering mental health leave is more than just a benefit—it’s vital to creating a supportive workplace culture. It helps prevent burnout, reduces the risk of long-term mental health issues, and fosters a healthier, more engaged workforce. This “safety net” allows employees to pause, prioritize their well-being, and return to work without the added pressure of falling behind or worrying about their income.

    Understanding the legal framework surrounding mental health leave is essential for HR leaders. It’s important to consult with your legal team to ensure compliance with relevant laws. In the United States, several key laws protect employees who need to take leave for mental health reasons. The Family and Medical Leave Act (FMLA) allows eligible employees to take up to 12 weeks of unpaid leave for serious health conditions, including mental health disorders. The Americans with Disabilities Act (ADA) also requires employers to provide reasonable accommodations for employees with disabilities, including those related to mental health.

    Knowing and understanding these regulations is vital for HR leaders. Ensuring your policies are supportive and legally compliant will create an environment where employees feel safe and valued.

    Some companies have already set the standard with effective mental health leave policies. Their comprehensive approach includes providing mental health resources, flexible leave options, and ongoing support. As a result, their employees feel more supported inside and outside the workplace, leading to higher retention rates. 

    The business case for mental health leave

    Mental health leave plays a pivotal role in enhancing employees’ overall well-being. Research shows that employees who take time off to address mental health issues often return with improved clarity, focus, and motivation. This period of recovery helps prevent more serious mental health problems, leading to better long-term health outcomes.

    The link between mental health leave and increased productivity is well-documented. A 2023 study by the American Psychological Association found that employees who feel supported in their mental health are more engaged and productive. Companies can reduce presenteeism and boost overall performance by allowing time off for mental health management.

    Mental health leave also significantly reduces turnover and absenteeism. Employees who feel their mental health is valued are more likely to stay with the company, reducing the costs of hiring and training new staff and contributing to a stable, experienced workforce.

    While the initial costs of offering mental health leave might seem high, the long-term financial benefits are substantial. Companies that invest in mental health leave often see reduced healthcare costs, fewer disability claims, and lower absenteeism rates. These improvements in productivity and team culture ultimately lead to better business outcomes. 

    Developing a comprehensive mental health leave policy

    Before revising or implementing a mental health leave policy, HR leaders should assess existing policies to identify gaps in addressing mental health needs. Gathering employee feedback through surveys can provide valuable insights into areas that need improvement.

    When creating or updating a mental health leave policy, consider these four key components:

    • Eligibility: Clearly define who qualifies for mental health leave and under what circumstances.
    • Duration: Specify the length of leave allowed and conditions for extending it if necessary.
    • Confidentiality: Protect employee privacy by ensuring that all information related to mental health leave remains confidential.
    • Return-to-Work Procedures: Establish a clear process for employees returning to work, including accommodations or phased return options.

    Tailoring these policies to fit the organization’s and employees’ needs is essential. Offering flexible options, such as part-time leave or remote work, can accommodate various mental health situations, ensuring that all employees have access to the support they need.

    Mental health leave is just one element of a comprehensive wellness strategy. Integrating it with other benefits, such as wellness initiatives and health insurance, can create a cohesive employee support system. A holistic approach enhances the effectiveness of mental health leave and contributes to a healthier work environment and a stronger company culture. 

    Communicating and implementing the policy

    When introducing a new mental health leave policy, HR leaders must ensure that employees and managers are fully informed about how to access it and what to expect. Clear, transparent communication builds trust and encourages employees to use this benefit when needed.

    It’s also important to open conversations about mental health between employees and managers before a leave of absence becomes necessary. Consider creating an accessible platform, such as an online request form, where employees can initiate discussions about mental health leave with their manager or HR.

    It’s crucial to provide additional training for managers and HR leaders on recognizing mental health issues, handling leave requests empathetically, and maintaining confidentiality. This training ensures they can support employees throughout their mental health journeys.

    Beyond mental health leave, organizations should offer additional support, such as counseling services and mental health resources. Providing these tools helps employees navigate their mental health both during and after their leave, fostering a more supportive workplace environment. 

    Reducing stigma and promoting mental health leave

    Reducing the stigma surrounding mental health is essential for creating a supportive workplace culture, particularly when implementing mental health leave. At Spring Health, we are committed to fostering this kind of environment. Encouraging open conversations about mental health through initiatives like awareness programs, workshops, and support groups can make employees feel more comfortable seeking help and using mental health leave when needed.

    Promoting a healthy work-life balance is also crucial in preventing mental health issues. Employers can support this by offering flexible work arrangements, encouraging regular breaks, and cultivating a culture that values time off. These efforts help employees maintain their mental health and reduce the likelihood of needing extended leave.

    Support should continue when employees return from mental health leave. Regular check-ins, access to mental health resources, and workload adjustments are vital for a smooth reintegration. Integrating mental health into overall wellness programs ensures that employees have ongoing support.

    Often, the barrier to seeking help is simply not knowing what’s available. Imagine the positive impact on your workplace culture if those barriers to accessing mental health resources were removed. 

    Mental health leave: a strategic business decision

    Offering mental health leave isn’t just a “nice-to-have” benefit—it’s a strategic business decision. By implementing comprehensive, flexible, and well-communicated policies, companies can effectively support their employees’ mental health, providing long-term benefits for everyone involved. With Generation Z increasingly entering the workforce and prioritizing mental health, it’s essential to continually expand and refine your offerings to meet the needs of every employee.

    As you evaluate your current mental health leave policies, consider: What is your company doing well? Where can you improve or introduce new initiatives to support your employees on their mental health journeys at work and beyond?

    Transform workplace culture and drive organizational excellence by advocating for mental health support tailored to your industry's unique needs.

    About the Author
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    Megan Bohinc, MA, PCC-S, LPC, MFT
    Clinical Quality Manager, Spring Health

    Megan Bohinc is the Clinical Quality Manager at Spring Health, licensed as a Professional Clinical Counselor/Supervisor and Marriage and Family Therapist in Ohio and Georgia. With over 17 years of experience, she specializes in attachment, trauma, adoption, foster care, disability accommodations, anger management, and mediation. Megan has worked extensively with children, adolescents, couples, and families in nonprofit and private practice settings. Outside of work, she enjoys spending time with her dog, Rain, participating in dog sports, and volunteering in Ethiopia to empower high-risk women and prevent orphanhood.

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