Chief Executive John Lee Ka-chiu’s 2025 Policy Address presents a comprehensive agenda to enhance economic growth, talent development, and overall efficiency. However, one key enabler to achieve these aims was not given sufficient attention — employee mental health.
In a city where overwork and “always-on” norms are deeply entrenched, a crisis of poor mental health would lead to significant economic consequences. To realize meaningful talent and productivity dividends, the people expected to deliver them must be protected and nurtured. While the Policy Address introduced a school-based emergency mechanism and committed funds for mental health training through welfare organizations, these remain incremental and insufficient. It is long overdue to integrate occupational mental health into the core of the competitiveness agenda, including updating safety laws, establishing digital guardrails, and rewiring managerial culture as the foundation for attracting, developing and retaining talent.
The primary law meant to safeguard employees, the Occupational Safety and Health Ordinance, was crafted in an era characterized by physical hazards, rather than psychological ones. Today, more than a quarter of Hong Kong’s employees report work-related mental health issues, well above the global average of 16 percent. It is estimated that stress-fuelled sick days and underperformance cost Hong Kong as much as HK$14.9 billion ($1.9 billion) each year in lost productivity. Under existing frameworks, which are outdated, employers are under no explicit legal duty to prevent or address mental strain on the job. Work-induced psychological injury is not covered by the Employees’ Compensation Ordinance. In practical terms, protecting workers’ mental health is primarily left to the discretion of employers, which is reflected in the patchy support on offer.
A recent Legislative Council review shows that only about 12.5 percent of employees diagnosed with mental illness reported receiving any support from their employer. The gap between the scale of the problem and the safety net in place directly impacts productivity and retention. Surveys reveal that nearly half of Hong Kong’s workforce (48 percent) took sick leave for mental health reasons in the past year. At work, distressed employees are less engaged, to the extent that 41 percent admitted to avoiding interacting with colleagues.
Beyond the continued promotion of the voluntary Mental Health Workplace Charter, there is no commitment to modernizing employer duties around psychosocial risk. This is long overdue, lest productivity goals be undermined by a workforce that is exhausted, disengaged and at risk of departure
Beyond the human suffering, which is the real problem, the result is inefficiency, low morale, and lost productivity. The toll on talent retention is alarming: an estimated 35 percent of employees plan to leave their jobs because of mental health concerns. Nearly two-thirds say robust mental health benefits and well-being initiatives are crucial in deciding whether to remain with an employer. Modernizing the Occupational Safety and Health Ordinance requires explicitly including mental health and extending compensation protections to psychological injury. It is an urgent necessity to protect the most productive force within the economy — our talent.
Personal accountability among workers and managers is imperative. Smartphones have erased the line between work and personal time. A junior analyst might leave the office at 9 pm only to feel obliged to answer messages from his/her supervisor at midnight. One study found that 80 percent of workers think they operate in an “always-on” mode, constantly on the lookout for work notifications and unable to disconnect. Beyond lost free time, the prolonged state of alertness results in physiological stress on the brain and body.
The “always-on culture” reveals a common yet flawed assumption about technology: Employees can effectively self-regulate and set healthy boundaries independently. In theory, they could ignore after-hours emails or simply switch off their phone. In practice, self-regulation is extraordinarily difficult, especially when the culture demands otherwise. Many professionals privately admit a fear of missing an important update or appearing uncommitted if they don’t respond immediately, regardless of the hour.
Some societies have begun to recognize the need to limit digital media in children’s lives. It is illogical to assume that adults, subject to work demands and financial pressures, can self-police their tech use without institutional support. Many jurisdictions are acting: France instituted a “right to disconnect” law in 2017. Last year, Australia granted employees the legal right to decline their employers’ calls or emails outside work hours. Yet, power dynamics and economic incentives make it difficult for even the most outspoken employee to decline requests or admit they need a break. It’s like swimming against a riptide.
Systemic interventions are needed to ensure digital well-being. For companies, mandatory digital hygiene training can be used to teach employees and managers how to set boundaries on screen time. We have long argued the benefits of a licensing mechanism for youth before they can even use a mobile phone, akin to a driver’s license for the internet. It is naive to assume mobile devices are any less dangerous if we agree their psychological impact is a defining factor in a tech-enabled society.
Proper training and onboarding for young people ensure that digital self-care begins before entering the workforce, where the confluence of professional demands and personal digital distractions can overwhelm them. Regularizing the three-tier emergency mechanism in secondary schools is a step in the right direction, but it is still in its early stages. At minimum, public agencies and corporate employers should lead by example, instituting “right to disconnect” guidelines, discouraging out-of-hours emails, and treating digital overuse as the health hazard it is. To be clear, this is not simply a professional issue, but a broader societal dilemma about digital addiction. Still, healthy digital hygiene habits can be reinforced at work.
Regulations and training will have limited effect if Hong Kong’s work culture remains unchanged. In 2022, one study ranked Hong Kong as the world’s second-most overworked city. The local culture prizes “face time” and considers overtime a badge of honor. “Leaving on time” can be regarded as on par with slacking — power dynamics matter. Rigid hierarchies and deference to seniority mean employees often feel unable to speak up.
Managers must be accountable for awareness and action. Structured coaching can be a solution. Middle managers often suffer the highest stress and burnout. Being equipped with mental health literacy, they can model healthier work habits and be a buffer against excessive demands. Culture change is a long game. Without it, even the most creative policy measures will fail.
The Policy Address is explicit about growth, talent pipelines, and administrative muscle. It is far less explicit about the driver of productivity — workplace mental well-being. Beyond the continued promotion of the voluntary Mental Health Workplace Charter, there is no commitment to modernizing employer duties around psychosocial risk. This is long overdue, lest productivity goals be undermined by a workforce that is exhausted, disengaged and at risk of departure.
The author is the managing director of Global Institute For Tomorrow.
The views do not necessarily reflect those of China Daily.
