Mental Health Disability Duration

Mental health is one of the most significant and misunderstood drivers of workplace disability.​

IBI’s latest research shows that mental health conditions make up only 9.9% of new short-term disability claims but 12.3% of total payments. These claims average 53.9 lost workdays and cost 70% more than a typical claim. Yet employees with mental health conditions can and do return to work (RTW), often at rates comparable to those with physical conditions when the workplace is supportive.

So, what makes the difference?
❌Not just treatment. ❌Not just policy.
✅The workplace experience itself.

Across dozens of studies and millions of claims, a consistent pattern appears:

🔹 Supervisor support predicts successful return to work.

🔹 Rigid processes fail, while flexible, phased approaches work.

🔹 Stigma shapes every stage of recovery.

🔹 Employees want agency.

Mental health disability is shaped as much by the workplace as by the condition itself. Employers have meaningful levers to pull. When organizations invest in early outreach, supervisor training, coordinated support, and a culture that normalizes mental health, they can shorten disability duration, reduce costs, and help people return to meaningful work with dignity.