New research from Peninsula Group has revealed a growing awareness among New Zealand SMEs of the importance of mental health in the workplace, but also a concerning gap between that awareness and the actual support on offer.
The findings come from a global survey of over 79,000 SMEs across Australia, New Zealand, the UK, Ireland, and Canada with New Zealand results suggesting that while attitudes are shifting, many employers are still lagging in practical action.
A majority of New Zealand respondents (73 percent) said they do not currently offer dedicated mental health days and have no plans to introduce them within the next 12 months. Additionally, 57 percent said they are not planning to implement any new mental health initiatives during the same period.
This lack of action contrasts sharply with the growing need for support. Over half (52 percent) of NZ employers reported observing more employees experiencing mental health challenges, and 30 percent noted an increase in mental health-related sick leave.
Only 25 percent of New Zealand businesses surveyed currently offer an Employee Assistance Program (EAP), and just 28 percent have introduced any new wellbeing measures in the past year.
Kayleigh Frost, Associate Director of Operations at Wisdom Wellbeing ANZ, Peninsula New Zealand’s EAP provider, says the results signal an important moment for employers to reassess their approach.
“We’re seeing more openness and honesty from employees about mental health, which is a positive shift,” says Frost.
“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.”
The survey also found that 77 percent of employers are not fully confident that staff would feel safe disclosing a mental health issue to their manager, suggesting stigma remains an issue in many workplaces.
Frost emphasises that improving mental health support doesn’t require large budgets or complex programmes.
“Support needs to be accessible and meaningful, not a tick-the-box exercise,” she says.
“Poor mental health is estimated to cost New Zealand employers approximately $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.”
Compared to New Zealand, countries such as Canada are further ahead, with a greater proportion of businesses introducing new mental health initiatives, including mental health days, in the past year.
The research highlights a critical window for New Zealand employers to catch up, and ensure their mental health support evolves with the growing needs of the modern workforce.
NZ Leadership Awards finalists announced
30 years of magic memories
