Super funds could play a leading role in helping return employees to work following illness or injury and increasing Australian businesses productivity, according to AIA Australia's general manager life insurance Damien Mu.
Increased mental health issues can reduce Australian businesses' productivity, but rehabilitation programs and early intervention programs could be key to reducing losses, an AIA report has claimed.
Over 40 per cent of Australian employees reported being stressed out on a daily basis whilst 12 per cent were highly stressed — a $160 million annual impost on the life insurance industry through income protection and total and permanent disability claims related to mental illness, according to AIA.
Productivity decreased as employees with mental health issues and job-related stress typically took 10.8 weeks per year off, the life insurer said. However every dollar spent on supporting and case-managing employees with a mental illness could increase output and reduce leave, yielding a 500 per cent return on productivity.
AIA Australia's general manager life insurance, Damien Mu, said trials show that early intervention is key in returning employees to work.
"If an employee is off work for 20 days, they have a 70 per cent chance of ever returning to work", he said.
"If they are off for 45 days, this goes down to 50 per cent, and after 70 days their chance of ever returning to work is only 35 per cent."
Mu said the life insurance industry was responsible for educating funds and companies on how best to support return-to-work programs.
"The opportunity exists for our super fund partners and Australian companies to play a leading role in helping employees get back to work following illness or injury," he said.
The report, ‘A critical equation: balancing Australian worker health and company wealth', was prepared in conjunction with SuperFriend and human capital expert, Dr Sallie Strickland.
Returning employees to work was often just as important to recovery as time off, SuperFriend chief executive Margo Lydon said.
