Beyond the paycheck: The economic cost of mental health in Singapore’s workforce

One in five adults in Singapore is living with symptoms of depression or anxiety. Most of them are still showing up to work every day. While the health impact of these conditions is well covered, their economic cost is far less visible, and much of that cost never reaches a clinic or hospital.

Our report, Beyond the paycheck: The economic cost of mental health in Singapore’s workforce, looks at the impact mental health conditions have on the economy, from presenteeism to absenteeism and turnover.

The number is striking. Mental health conditions, specifically depression and anxiety, cost Singapore’s economy an estimated SGD 19.6 billion in 2025, more than the government’s entire operating health budget for the year. By 2030, that figure is projected to climb to SGD 21.7 billion, equivalent to 2.3% of GDP.

Where the financial burden lies

The burden falls across four groups, although the distribution is far from even.

Employers carry the overwhelming majority, an estimated SGD 20.3 billion by 2030, or almost 94% of the total. This comes through three channels: workers who are present but operating at reduced capacity, days of work missed, and the cost of replacing people who eventually resign.

Workers, caregivers, and government share the remaining 6%, but each in their own way: out-of-pocket healthcare costs, lost productivity from family members stepping in to help, and public spending on mental health programmes and services.

Ultimately, employers have the strongest financial incentive to act, but closing the gap will take government, employers, community organisations, and workers working together.

Three interventions that pay for themselves

DDrawing on the World Health Organization’s Guidelines on Mental Health at Work, the report models three interventions and estimates significant returns for each of them.

• Organisation-wide mental health promotion returns SGD 6.20 for every dollar invested, largely by shortening the gap between when symptoms start and when people seek help. In Singapore, the median delay between the onset of a mood disorder and first treatment contact is five years.
• Training for supervisors and managers returns SGD 7.50, the highest of the three. Over six in ten Singapore employees say they’re uncomfortable raising mental health concerns with their line manager, the highest share in Southeast Asia. Trained managers can spot the warning signs early, before they turn into prolonged absence or resignation.
• Employee Assistance Programmes return SGD 5.20, giving workers a confidential route to support that doesn’t depend on disclosing anything to their employer.

Scaled together, the report estimates these three interventions could cut the projected 2030 burden by up to SGD 5.4 billion, roughly a quarter of the total.

The deployment gap

What comes through clearly in the report is that Singapore isn’t short on policy ambition, with initiatives like the National Mental Health and Well-being Strategy, the Tripartite Advisory, and iWorkHealth, the foundations are there. What’s missing is consistent reach, particularly to the SMEs that employ most of the workforce, and a shared standard for what “good” looks like, especially when it comes to manager training. 93% of Singapore companies communicate their mental health programmes, but only 5% of employees actively engage with them.

The report sets out what coordinated action could look like for government, employers, community organisations and workers alike, drawing on examples from Australia, Canada, Japan, Korea, the UK, and the US that point to practical ways to close this gap.

Download the full report for the complete breakdown of the economic burden, the methodology behind the modelling, and the detailed roadmap for turning evidence into action.