Unlocking the Key to Workplace Mental Health with Jason Flax

In an episode of the MOD Ventures podcast, Entrepreneurship Uncovered, we sat down with Jason Flax, an HR professional with over 25 years of experience in human resources, insurance, and business operations. Jason, who has served on the board of the Society for Human Resource Management of Greater Tucson, shared valuable insights on the evolving role of mental health in the workplace and why it matters now more than ever.

Employee mental health isn’t just a personal concern—it has a direct impact on workplace productivity, engagement, and financial performance. In today’s evolving business landscape, forward-thinking employers recognize that supporting mental well-being isn’t just the right thing to do; it’s a strategic move that benefits both employees and the bottom line.

The Shift Toward Prioritizing Mental Health

For decades, the prevailing attitude in many workplaces was to separate personal struggles from professional responsibilities. However, as Jason Flax points out, this mindset is outdated.

“For decades, employers said, ‘Your personal life is your personal life, and your work life is your work life.’ Well, I think that’s changed,” Flax explains. “Generationally, we’re seeing a shift. Younger employees are more self-aware of their mental health, and they expect their workplaces to recognize its importance too.”

Ignoring this shift can be costly. A stressed, disengaged workforce leads to higher turnover, lower productivity, and increased absenteeism. By contrast, companies that invest in mental health initiatives report higher job satisfaction and stronger financial performance.

The Financial Impact of Mental Health on Business

It’s not just about employee satisfaction—there are real financial consequences tied to workplace mental health. According to Flax, businesses across the U.S. will face a staggering $6 trillion in costs related to mental health challenges by 2030.

“If we had to take one thing away about why mental health is important, it’s that it directly impacts the bottom line,” he states. “Happy employees equal a profitable business, and we can dial that down to specific lines on a profit and loss statement.”

Companies that fail to address mental health risks can expect higher healthcare costs, lost productivity, and increased liability related to stress-induced illnesses and burnout. By contrast, those who actively implement wellness programs see measurable improvements in employee retention, engagement, and overall performance.

Practical Steps Employers Can Take

Supporting mental health in the workplace goes beyond offering a benefits package. It requires intentional strategies that address employees’ needs both inside and outside of work hours. Here are three key approaches:

1. Leverage Employee Assistance Programs (EAPs)

One of the most underutilized yet highly effective tools available to employers is the Employee Assistance Program (EAP). These programs provide confidential counseling, financial guidance, and other essential resources.

“An EAP program isn’t just about therapy,” Flax explains. “It can help employees find daycare services, financial advisors, or legal support. It’s a first-line resource that too few people take advantage of.”

Employers should actively promote EAP services, reminding employees of their availability and integrating them into performance management discussions when personal struggles seem to be affecting workplace productivity.

2. Embrace Flexible Work Arrangements

The pandemic proved that remote and hybrid work models could be highly effective. While some companies have pushed for a full return to the office, many employees thrive with greater flexibility.

Flax emphasizes the importance of shifting managerial mindsets: “Employers need to stop thinking in terms of just the eight hours they’re paying for. An employee’s day consists of 16 hours, and what happens outside of work impacts their performance in it.”

Flexible work policies, such as remote work options, adaptable hours, and results-based performance evaluations, help employees manage stress and maintain a healthier work-life balance.

3. Cultivate Leadership That Prioritizes Mental Health

Leadership styles have evolved dramatically. Today’s employees don’t want to be managed—they want to be coached. Creating a supportive environment starts with leadership that prioritizes people over mere output.

“Companies with high turnover and declining profits often have leadership that’s too focused on the business and not focused enough on their people,” Flax notes. “It’s about building relationships, showing empathy, and understanding that every employee needs to be coached differently.”

Training managers to recognize signs of burnout, foster open communication, and provide meaningful support can go a long way in maintaining a mentally healthy workforce.

The Future of Workplace Mental Health

The workplace is evolving, and mental health is no longer a secondary concern. Companies that proactively address it will benefit from a more engaged, productive, and loyal workforce.

By implementing thoughtful policies, providing access to necessary resources, and fostering a leadership culture that values well-being, businesses can create a healthier, more sustainable work environment—and ultimately, a stronger bottom line.

This interview was originally broadcast on the MOD Ventures podcast. Watch the full episode here and subscribe to be alerted when a new episode of the podcast is released.

If you’re ready to start making smarter, more confident financial decisions for your business, reach out to the Mod Ventures team today for a consultation. The right support and resources (such as a fractional CFO or Financial Controller) can turn data into your business’s most valuable asset.