One in four young workers has considered quitting the workplace in the last year. Mental ill-health is the main reason.
The PwC research comes in response to Wes Streeting’s controversial remarks over the weekend, which claimed that mental illness and disorders are “overdiagnosed”.
Mental health charities and experts have criticised Streeting’s comments made on BBC’s Sunday With Laura Kuenssberg program. Professor Robert Howard of University College London’s Old Age Psychiatry Department, for example, has argued that “punishing people” by removing their access to benefits will not help them get back to work.
In its report Reversing the tide of economic inactivity PwC surveyed over 4,000 employees in the UK. PwC also surveyed 311 leaders in the business world, including CEOs, HR Directors, Managing Directors and Operations Directors.
According to the study, 10% of workers actively considered a long-term leave. This is approximately 4.4 million individuals. Another 19% of all workers had also considered leaving the company in the last year.
Mental health issues are more common among employees under 35 than older workers. Employees aged 18-24 are at greater risk.
Inactivity in the economy, measured by people who are not looking for work or aren’t available to do so, reached a record high of 9.4 million adults last year. This is about 22%.
Nearly nine of ten companies reported that they were concerned by the increase in economic inactivity. In addition, 81% said that their productivity was affected and 73% said it was affecting the financial performance of their business.
PWC said that employers viewed inactivity as a threat to the talent they valued. PWC noted that “more than half of employers (54%) are re-evaluating or have re-evaluated the support they provide to their employees in order to keep them at work.”
Over half of the businesses admitted to being concerned about hiring people who were already inactive. Skills gaps are a major concern.
PwC said that this highlighted the importance and necessity of prevention. It urged employers to focus on reducing the number of employees who are inactive economically as well as supporting those currently unemployed to return to work.
The level of inactivity in the UK economy is a serious problem. Since late 2019, there has been a net increase of 12,000 people per month in the number who are neither employed nor seeking work. PwC stated that a new approach was needed.
The report recommends that employers adopt a “prevention-first” approach to workplace culture and design, including better integration of health support into other aspects.
The report also called for improved communication and peer group support as well as a focus on skills and development. It also suggested that the government and employers “work together to develop a prevention-first strategy, such a Good Employer Charter.”
Marco Amitrano is a senior partner at PwC UK. He said: “Given the fact that outflows of work into inactivity are not showing signs of slowing down, we see an opportunity for businesses, governments and other organisations to work together, both centrally and locally.
“About 80% of businesses that we spoke with said inactivity had an impact on productivity, and they are already rethinking their support. He added that the prize for channeling these efforts in a constructive manner would be substantial.
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