Employee absences caused by mental health issues are impacting more businesses and costing them money.

However, options are available that help employees back to work sooner and enable employers to reduce the likelihood of absence in the workplace.

Last year, the Chartered Institute of Personnel and Development’s (CIPD) Absence management survey, published in October 2014, reported that almost two-fifths (38%) of employers said that stress-related absence had increased over the past year, compared to 21% in 2009. This represents a rise of over 80%.

Our figures [DLT clarifying] show that absence notifications related to anxiety and depression increased by 56% between 2012 and 2014, and notifications due to nervous system issues [mental health illnesses???] grew by 300%.

More people off work for longer means more cost to the employer.

A vicious spiral

Evidence shows the longer people are not working, the more likely they are to experience depression and anxiety disorders.

A Mental Health Foundation survey [DLT checking title and publication date] showed that more 60% of people who had a physical illness had not received a diagnosis for depression and other mental health illnesses, despite reporting symptoms of those illnesses.

The earlier these issues are addressed, the quicker employees can return to full strength.

But the government’s Fit for Work service is not the solution. The initiative, which helps employees stay in or return to work, is great news but has limits. These include: the fact it only provides one assessment per person in any 12 months, regardless of cause; the service has a three-month cap; non-NHS treatments must be arranged and paid for; and it can be over four weeks between referral and first NHS treatment for severe or enduring mental health problems.

This is unlikely to be suitable for employees who develop mental health issues after suffering physical issues, or are not ready to go back to work after three months. Someone will have to fund the treatments.

Employers can save thousands

Early intervention with absences can be hugely beneficial. Overall, absences are 30% shorter when the insurer is notified at week six, compared to notification at week 26.

With staff absence costing employers an average of £97.27 a day, according to figures from the CIPD, this can save businesses thousands of pounds.

Most back at work within six months

With early intervention, the results speak for themselves. More than three-quarters (79.4%) of people with notified absences due to mental health could return to work before they became a claim.

Prevention better than cure

Organisations of all sizes can make long-term savings by making it easier for workers to feel comfortable coming forward with personal issues.

Managers must look out for changes in employee behaviour, be alert to mental health issues as well as more visible physical injuries and recognise that people do not react in the same way.

Reacting quickly means problems, both mental and physical, will be less likely to become long-term issues.

Vanessa Sallows is benefits and governance director at Legal and General