23-07-2025
NZ businesses urged to bridge gap in mental health support
New research from Peninsula Group indicates that New Zealand businesses are increasingly recognising the importance of supporting employee mental health, though many still lack dedicated initiatives and resources.
The findings are based on a global survey covering more than 79,000 small to medium-sized businesses.
The survey included responses from New Zealand participants and was conducted across Australia, New Zealand, the United Kingdom, Ireland, and Canada.
The results highlight that while awareness of mental health issues in the workplace is rising, there is a gap between understanding and the implementation of practical support schemes. Among New Zealand employers surveyed, 73% reported that they do not currently offer mental health days in addition to standard leave and do not intend to introduce them within the next year. In the same timeframe, 57% are not planning to introduce any new mental health initiatives.
This lack of planned action comes as many New Zealand businesses acknowledge an increase in demand for support related to mental wellbeing. According to the survey, 30% of employers noted a rise in mental health-related sick leave, and 52% observed a greater number of employees experiencing mental health challenges.
Support structures
Data from the research shows that only 25% of New Zealand employers currently offer an Employee Assistance Program (EAP). Additionally, just 28% have introduced new wellbeing measures during the past year.
This means that a majority of businesses are yet to provide targeted support for mental health concerns beyond standard leave policies.
Stigma regarding mental health disclosure also remains prevalent in New Zealand workplaces. The survey found that 77% of respondents are not fully confident their employees would feel safe discussing a mental health issue with their manager. We're seeing more openness and honesty from employees about mental health which is a positive shift," said Kayleigh Frost, Associate Director of Operations at Wisdom Wellbeing ANZ, Peninsula New Zealand's Employee Assistance Program provider.
Frost acknowledged that some progress has been made, but emphasised the opportunity for employers to build on this foundation was significant. Many employers are already taking steps to support staff, but our data shows there is still plenty of opportunity to expand that support further. Even small changes, like basic training for managers, can make a meaningful difference.
By contrast, the Peninsula Group noted that employers in countries such as Canada are more likely to have introduced additional mental health initiatives - including mental health days - within the past 12 months. This suggests there is further potential for New Zealand businesses to implement and normalise expanded support for mental health.
Opportunity for action Support needs to be accessible and meaningful, not a tick-the-box exercise. Poor mental health is estimated to cost New Zealand employers approximately NZD $1.3 billion a year. We cannot afford for mental health to be the thing that is talked about in policy but missed in practice. The opportunity lies in translating this awareness into consistent and tangible support for employees.
Frost added that support strategies do not necessarily need to be complex or costly to be effective. Introducing basic measures such as management training, facilitating open conversations, and providing access to confidential assistance can help address the identified needs.
The data provided by Peninsula Group illustrates an ongoing challenge for New Zealand businesses: turning growing awareness of mental health issues into direct and systematic support for employees. Responses from employers indicate a willingness to discuss mental health more openly, but also highlight a need for expanded practical measures to ensure staff feel secure, supported, and able to access appropriate assistance when needed.
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