A new study from TELUS Health, compiling 14 TELUS Mental Health Index reports published in 2024 and early 2025, has found that mental health challenges in the workplace remain widespread.

“Challenges like anxiety and isolation remained persistent in Canada last year. The lasting impact of the pandemic, ongoing economic instability and evolving work environments have created a scenario where employee wellbeing has been under strain and the impact on productivity in the workplace is greater than ever,” they write.

The report, based on more than 42,000 survey responses, identifies three trends, including that anxiety and isolation continue to affect large portions of the workforce. Mental health and productivity are closely linked, and workplace culture and trust can play a pivotal role in employee well-being scores and retention.

Financial insecurity 

According to the study, entitled The state of mental health and wellbeing in Canadian workplaces: Evidence-based insights to reshape your wellbeing strategy, mental health in the workplace continues to decline, with 40 per cent of workers saying they are under constant stress. Those under 40 are reportedly impacted the most. They add that 33 per cent of employees report feeling anxious and isolated – factors that have been contributing to mental health strain for nearly three years. Financial insecurity was also noted as a significant driver of declining mental health in the workplace.

“Women are 50 per cent more likely than men to feel extremely burnt out (and) report that harassment, bullying, unhealthy conflict and other harmful behaviours are not quickly and fairly resolved in their workplace,” they note. “Since 2020, women have had significantly lower mental health scores than men. At the start of 2025, their mental health score was close to six points lower.”

Employees who say they cannot speak up about concerns at work without fear of punishment have a mental health score that is 17 points lower than those who feel safe speaking up.

Open conversations and recognition 

Among the report’s recommendations, researchers suggest general education and training, open conversations and recognition that there are gender differences which need to be considered. They also recommend employers promote financial well-being programs. (According to the survey 60 per cent said their employer doesn’t offer any education on mental health or wellbeing.) 

Other recommendations include manager training, addressing stress at its source, creating opportunities to reduce isolation and providing enhanced resources that include financial literacy support. It notes that 33 per cent of employees would prefer better support for their wellbeing over a 10 per cent increase in salary.