What are the harmful effects of the relentless pursuit of economic growth?
Since the industrial revolution, economic growth has been viewed as an essential driver of progress. Governments, businesses and international institutions have adopted policies that prioritise GDP growth, often at the expense of social and environmental considerations.
But this pervasive goal comes at a human cost. Fierce competition, long working hours and economic instability create conditions that fuel anxiety, depression and other mental disorders. In OECD member countries, between a third and a half of new disability claims are linked to mental health. Among young adults, this proportion is estimated at over 70 per cent, according to the report.
Why are people on low incomes more vulnerable to mental health issues?
The link between poverty and mental health is well established. According to the World Health Organization (WHO), while 970 million people (11 per cent of the global population) suffer from mental disorders, “those on lower incomes are up to three times more likely to suffer from depression, anxiety and other common mental illnesses than those with the highest incomes”. People living in extreme poverty are exposed to chronic stressors due to a lack of financial security, limited access to mental health services and social stigma.
Is the burnout epidemic among white-collar workers also a product of this economic system?
The relentless drive for productivity, combined with a growing disconnect between the work being done and its purpose, is fuelling a sense of emptiness and exhaustion. Long hours, often unattainable goals and stressful work environments create a fertile breeding ground for burnout. This pressure is not only felt in large corporations; even small businesses and self-employed workers are trapped by the demands of an economic system that prioritises performance at any cost, to the detriment of individual well-being. Regarding work-related mental health, the WHO reports that only 35 per cent of countries report having national promotion and prevention programmes for workers.
How can we realign our economic goals to prioritise well-being?
Economists and policymakers should embrace models that prioritise well-being, such as Gross National Happiness (GNH) indicators (inspired by Bhutan), along with strengthened social protection policies, including universal access to mental health care. The UN estimates that, on average, governments allocate just 2.1 per cent of their health spending to mental health.
The very structure of our economy needs to be reimagined, with people placed back at the centre. The UN report details how shifts in working conditions and policies aimed at ‘flexibilising’ labour have significantly contributed to the mental health crisis among low-income workers. These changes have led to fewer long-term contracts, a rise in precarious part-time or self-employed work, and a decline in both wages and worker protections. De Schutter notes that in today’s 24/7 digital economy, it can be less harmful to one’s mental health to be unemployed than to take on a precarious job. Insecurity, lack of decent pay and unpredictable hours make it virtually impossible to achieve a healthy work-life balance.
What initiatives can be taken to tackle this crisis?
Some existing initiatives demonstrate that change is possible: Iceland, for example, successfully introduced a four-day working week with no reduction in pay, which has enhanced employee well-being. In New Zealand, former Prime Minister Jacinda Ardern proposed a ‘Wellbeing Budget’ in 2019, offering an alternative approach to public policy development.
The Special Rapporteur also calls on governments to implement regulations that guarantee decent work and fair pay, including measures such as universal basic income and more predictable working hours. He emphasises the need for a ‘biopsychosocial’ approach and advocates for the active involvement of those directly affected in the policymaking process. Finally, he recommends expanding access to green spaces, which can help people reconnect with nature and provide significant benefits for mental well-being.