Mental health leave is rising, and healthcare leaders are feeling it

Mental health leave is rising, according to Bloomberg’s July 8 reporting, and the trend is drawing added attention in healthcare, where workplace mental health issues intersect with chronic staffing pressure. The industry faces workplace violence rates far above the national average across sectors, making employee well-being an increasingly important operational concern.

Healthcare and social assistance recorded an incidence rate of 14.2 per 10,000 full-time workers, compared with 2.2 across all industry sectors, according to 2021-22 Bureau of Labor Statistics data. That backdrop helps explain why mental health-related leave can be especially difficult for hospitals and health systems to manage, particularly when shifts are already hard to fill.

A Littler survey of employers, fielded in March and released in May, found that 67% of U.S. employers saw an increase in mental health-related leaves of absence and accommodation requests over the past year. Among large employers, that figure was 74%. Nearly half of respondents said the volume increased, while 18% said it increased significantly.

The survey also showed that the trend has continued for several years. Littler reported similar increases in prior surveys, including 70% in 2025 and 74% in 2024. The recurring rise suggests that employers are increasingly dealing with employee requests tied to mental health, rather than seeing these cases as isolated events.

Some employees are using mental health-related leave through the Family and Medical Leave Act, which was signed in 1993 and is intended to help workers balance job responsibilities with medical needs, including caring for a family member. Bloomberg reported that some companies say this use of leave is straining resources. Employers often respond by hiring temporary replacements or redistributing work, but unlike expectant parents, workers taking mental health leave typically do not give advance notice.

Corporate wellness consultant Erin Clifford told Bloomberg that more people are recognizing when they are struggling and need to take leave. She also noted that work does not stop when someone steps away. Jeff Nowak, an employment attorney at Littler, said employees feeling more comfortable coming forward is positive, but it can also be difficult for employers to absorb.

The financial effects are hard to pin down, but a 2022 Gallup report estimated the cost of a missed workday at about $340 for full-time workers. That translated to $47.6 billion in annual lost productivity in the U.S., according to the report.

For healthcare employers, the issue carries particular weight because clinical work is difficult to backfill. In response, some organizations have expanded mental health benefits to support employees and get ahead of long-term strain. Charlotte, N.C.-based Advocate Health said in a July 9 LinkedIn post that it enhanced benefits in 2026 to include no-cost virtual therapy and expanded mental health resources.

Healthcare systems have also responded to interest from Generation Z workers. UC San Diego Health CHRO Kim Eskierka told Becker’s in 2025 that Gen Z places a strong emphasis on mental health benefits. She said the system has implemented free or subsidized counseling sessions and team member well-being programs. Eskierka also said younger workers have been vocal about access to therapy and environments that support psychological safety, especially in high-stress healthcare roles.