Why are so many younger workers going off sick?
We know that the rate of economic inactivity due to long term ill health is rising in the UK. Taking a closer look at what is happening the younger end of the spectrum of the working age population is particularly concerning.
The largest relative increase in economic inactivity due to long term ill health in recent years has been among those aged 25 to 34, with a 42% increase in economic inactivity due to long term ill health in this cohort between 2019 and 2022. Amongst 16 to 24 year olds, economic inactivity due to long term ill health also increased by 29%.
Thinking about our aging population and the consequences this will have for the economy is key, given that those aged 50 to 64 are the main contributors to recent rises in economic inactivity, and that pension ages will increase in the coming years.
However, we also need to focus on retaining younger cohorts within the working age population. This relates to human capital.
What is human capital?
According to the ONS, ‘Human capital is defined as the stock of skills, knowledge and experience of an individual or population, which can productively be applied in the economy and is widely referred to as one of the main drivers of economic growth.’
Human capital extends beyond direct economic benefits. Wider societal benefits include reduced health costs and reductions in crime.
Comparing two workers of different ages with variables other than age controlled for, the younger worker will have more human capital, as they have more years of work ahead of them.
This is relevant because rising rates of economic inactivity due to ill health in younger people means higher human capital losses than if the same trends were seen in older cohorts. This must be addressed for the UK economy to have a sustainable future. In order to do this, a deep dive on why so many younger people are leaving work due to long term ill health is necessary.
Why are younger workers becoming economically inactive due to ill health?
A breakdown of type of long term ill health causing people to become economically inactive shows that mental ill health is driving the increase in younger people leaving the workforce. Increases in mental ill health as a reason for economic inactivity due to ill health were less notable in those aged 50 or over.
What is also interesting is that approximately half the cases of work-related ill health are work-related mental illness. Interrogating the overlap between young people requiring long term sickness absence due to mental illness and the proportion of cases that are work-related will be important to understand work as a factor in mental ill health amongst under 34s.
What can be done to address this?
This data shows that a focus on work and mental health is particularly important for younger cohorts and for the UK’s economic future.
At individual level:
Young people must be supported to connect the impact of deteriorating mental health on their ability to work and understand the causes, consequences and solutions to this
Work must feature more highly in mental health education and awareness campaigns
At employer level:
Insights into the mental health element of sickness absence in younger cohorts can guide investment in support and intervention, to the financial benefit of employers where staff can be retained and sickness absence minimised
Addressing work-related mental ill health is part of this, where more workplace involvement is essential to leverage change
At population level:
A focus on keeping younger people in employment and out of long term sickness absence is essential for the future of the economy due to the potentially significant human capital loss given younger workers have more years of earning potential ahead of them
Addressing the relationship between mental health, mental illness and employment in young people must be prioritised on in government initiatives on both health and employment policy