Mental health and substance misuse are often treated as separate workplace issues — but the reality is, they’re deeply connected. Employees who feel overwhelmed, unsupported, or psychologically unsafe at work are more likely to turn to alcohol or drugs as a coping mechanism. And when workplace stress becomes chronic, it doesn’t just harm individuals — it affects productivity, increases absenteeism, and raises legal risks for employers.
Creating a mentally healthy workplace isn’t just good for people — it’s essential for maintaining a drug-safe work environment.
The high cost of poor workplace mental health
Every year, 12 billion working days are lost globally due to depression and anxiety, costing businesses over $1 trillion in lost productivity. In Australia, mental health compensation claims have jumped by 36.9% over the past five years, driven by work-related stress, bullying, and high job demands.
According to Safe Work Australia, the top three workplace hazards contributing to mental health claims are:
- Work-related harassment and bullying (2,213 claims)
- Work pressure (2,030 claims)
- Exposure to traumatic event (1,121 claims)
These psychosocial hazards are more than just HR concerns — they are critical business risks. And left unaddressed, they can lead to increased drug and alcohol misuse among staff.
Why mental health issues can lead to substance misuse
When work becomes a source of anxiety, burnout, or trauma, some employees may turn to alcohol or drugs as a coping tool — especially in industries where mental health support is lacking or stigma is high. This is particularly common in high-pressure roles or safety-sensitive industries like transport, construction, and healthcare.
Substance misuse, in turn, increases the risk of accidents, absenteeism, and poor performance — creating a vicious cycle for both the employee and the employer.
Mental health and safety are legally linked
Under updated workplace health and safety laws in Australia, psychosocial hazards must now be treated like physical hazards — meaning employers have a duty to identify, assess, and control risks related to mental wellbeing.
Ignoring psychological safety can now result in non-compliance, legal claims, and penalties — particularly if it leads to an incident involving drugs or alcohol in the workplace.
Workplace drug and alcohol testing is most effective when paired with a strong mental health strategy. Without addressing the root causes of stress and burnout, testing alone may not reduce substance misuse.
Building a mentally healthy, drug-safe workplace
To build a truly safe and productive work environment, employers should take a proactive, integrated approach:
- Assess psychosocial risks – Identify sources of stress, burnout, and conflict through surveys, manager feedback, and incident reporting.
- Develop a clear policy – Combine mental health and drug/alcohol policies into a unified wellbeing and safety framework.
- Encourage open dialogue – Create a culture where employees can speak up about stress or substance issues without fear of punishment.
- Provide access to support services – Offer EAPs, counselling, or partnerships with addiction recovery services.
- Use drug and alcohol testing strategically – Implement testing where appropriate, such as post-incident, at-risk roles, or return-to-work assessments.
IN DEPTH: What to include in your drug and alcohol policy (Australia)
Where do we go from here?
Mental health and drug safety are not separate challenges — they’re two sides of the same coin. By prioritising mental wellness, identifying psychosocial hazards, and supporting employees through proactive policies and respectful testing programs, workplaces can reduce the risk of substance misuse before it becomes a crisis.
Need help implementing a drug and alcohol testing program that supports mental health too? Contact the Andatech team to learn more about our workplace solutions and policy support services.
