From Stigma to Action: Pay Parity and Corporate Responsibility in Mental Health

"From Stigma to Action: Pay Parity and Corporate Responsibility in Mental Health"

Member of the European Parliament, Ladies and Gentlemen,

As we gather here today at the European Parliament in Strasbourg, for this encounter kindled convened by MEP Juan Ignacio Zoido to discuss the crucial topic of mental health, I stand before you as the Global Chair of the G100 Wing for Pay Parity and Corporate Transformation. It is an honour to address distinguished MEPs, European Parliament experts, representatives of the private sector working in mental health, and members of the G100 Network, among the largest advocacy groups operating at a global scale.?

I would like to thank Mar. Introini, PhD , Manuela Pérez-Chacón , and Antonio Pérez Chacón organisers of this encounter.

According to the EU strategic framework on health and safety at work 2021-2025, even before the pandemic, mental health problems affect about 84 million people in the European Union alone.

The concept of mental health has undergone a profound shift in the last 80 years, with the stigma around mental health being challenged every day, while the way we deliver mental health services has also evolved.? We have been getting rid of long-held stigmas and misconceptions.?

We now recognise mental illness as stemming from biological, genetic, and situational factors, rather than from superstition or moral failing. The times when people suffering from mental health were classified as “being hunted by spirits” are somehow not as common as it was 100 years ago.? Today, when we talk about mental health we also include anxiety, depression, and stress. This paradigm shift has quickened in the last couple of years also thanks to or due to the COVID-19 pandemic.

On the one side, the pandemic and the consequent economic crisis have only exacerbated the challenges, placing an immense strain on individuals' mental well-being. The repercussions have been unequal, with certain demographics, such as young people, the elderly, women, and those in vulnerable positions, bearing a disproportionate burden. On the other side, the rise in mental health issues has been brought to the attention of the wider audience, also thanks to the young generation that has been more vocal about the problem, allowing to change the narrative around mental illnesses.

However, as we acknowledge progress, we must confront the stark realities of discrimination and inequality that persist in our societies and how also these impact on mental health. Today, I would like to highlight how gender discrimination, unequal pay, and unhealthy work environments are among the causes of mental illness.

Gender discrimination

Today, we have data showing that Gender discrimination, takes a toll on mental and physical health worldwide. We can measure how it limits people’s access to health care, increases rates of ill health, and lowers life expectancy. Exposure to violence, objectification, discrimination, and socioeconomic inequality can lead to anxiety, depression, low self-esteem, and PTSD contributing to the increase in mental illness.

In recent years, these overt examples of gender inequality have rightly been the focus of many programs to improve health. What has been less studied is the impact of a more pervasive - although often less overt and quantifiable – form of gender discrimination. However, the World Health Organization (WHO) recognises that people are differently affected by mental health outcomes both across and within countries, with inequity especially disadvantaging women across their lifespan. There are studies to remind and reinforce that the worldwide “Gender gap” in depression also has major sociocultural determinants.?

Unequal pay

Today, we have data showing that unequal pay for women undermines not only their financial security but also contributes to higher rates of mood disorders and poorer health.

By the way, the disparities in pay are glaring, even within the healthcare sector itself. Women in health and care professions earn 24 percent less than their male counterparts - according to a 2022 joint report by the International Labour Organisation (ILO) and the World Health organisation (WHO), and despite women shouldering the majority of the workload and accounting for 67 percent of health and care sector workers worldwide.?

The same report also finds that wages in the health and care sector tend to be lower when compared with other economic sectors.

This gender pay gap, compounded by systemic biases and undervaluation of women's labor, represents a glaring injustice that demands rectification.

Unhealthy work environments?

Today, we have data to quantify the impact of unhealthy work environments on mental health.?

In Europe, a significant portion of employees face burnout, although precise statistics may vary from country to country.

The workplace often perpetuates a culture where personal struggles are expected to be left at the door, and vulnerability can be viewed as a liability. Stressful workplaces not only impair productivity but also foster anxiety, depression, and burnout among employees. Stress contributes to around half of all lost working days in the EU and heavily impacts on national social security systems.

A 2023 study of the EP “Minimum health and safety requirements for the protection of mental health in the workplace ” analysed national legislation and best practices across the EU Member States that address health and safety requirements for the protection of mental health at work. The study revealed that efforts at the EU and national level are currently insufficient to protect employees from psychosocial risks.?

The World Health Organization (WHO) has classified burnout as a legitimate medical diagnosis recognising the severity of burnout.

EU-level legislation on work-related psychosocial risks is therefore needed to set the minimum health and safety requirements for mental health at work. This would compel Member States to take action to protect employees and to ensure minimum standards and equality across the EU.

European Institutions must prioritise the creation of supportive, nurturing work environments, where employees feel valued, safe, and empowered. Institutions such as the European Parliament must praise the efforts of organisations fostering balanced and nurturing work environments.

The EP should urge the European Commission to propose new laws so that Member States can apply minimum requirements for effective legislation in this area and recommend approaches to ensure better coordination between national and EU legislation.

We should applaud the first report on mental health approved by the European Parliament in December 2023, calling for more direct funding to tackle the rising mental health issues in Europe and the identification of high-risk populations.

I read that seven companies in the world have developed world-class programmes that put their employees first and have reaped business benefits for their efforts. Strangely enough, these companies are all in the United States. I am sure Europe can do better and EU Institutions shall demand European companies to do so

The Commission estimated that the cost of “non-action” in mental health amounts to €600 billion every year.?

In light of these challenges, I urge the European Parliament to champion the cause of mental health and prioritise it in policymaking. The recent initiatives by the EU to address mental health are commendable, but more concerted efforts are needed.?

The Subcommittee on Public Health (SANT) is poised to play a pivotal role in shaping policy recommendations, and I invite its members to heed the call for pay parity and corporate responsibility in the realm of mental health.

I call upon the European Parliament to champion the cause of mental health, also by prioritising the achievement of pay parity, and by holding companies accountable for fostering supportive work environments.?

I also call on the European Parliament to work together to ensure that mental health remains at the forefront of EU policymaking.?

Together, we can build a more equitable and compassionate society for all.

Thank you.

Lucia de Luca?