Poor mental health is forcing a shocking number of Aussies out of the workforce..for good.
Payments for mental health claims now make up nearly a third of all total permanent disability claims according to new research by KPMG.
Mental health has become one of the biggest reasons behind Total and Permanent Disability (TPD) claims in the last decade.
And all signs from the new research suggest that younger working Australians are feeling the impact more than ever.
If this keeps up, some industry experts are worried it might strain government safety nets and insurance affordability.
Young at heart, sound of mind?
The number of permanent disability claims for mental health reasons has more than doubled over the last decade. For those aged 30 to 40 years old, this has gone up by more than 700%, which is the biggest jump among all age groups.
People filling mental health claims are now, on average, 46 years old. This is three years younger than the average age a decade ago.
It appears that more of us are getting burnt out, and we're experiencing it earlier in our lives than before.
Sticks and stones
Why is working life getting that much worse for Australians?
Well according to Nick Glozier, from the University of Sydney, one reason is that we're growing more sensitive to stress.
We have found that the most recent cohort of workers, not only are more likely to have mental health problems before they enter the workforce, but the mental health of a 25-year-old now is more negatively affected by any given level of work stress than 25 years olds were a decade ago.
So is it the start of brighter days? I'm not so sure.
And he thinks not just because of recent times.
It is not a COVID thing, it is not a cost-of-living thing, it all started before that.
It's as clear as mud
It's probably fair to say that young Australians have a few things to worry about as workers.
As a country, we've had the biggest drop in disposable income in the world over the past two years.
That's not to mention rental shortages that have steadily gotten worse since 2016.
So, should we really be surprised that Gen Z and Millennials Australians are feeling overwhelmed?
Buy the rumour, act on the news
Industry Experts like Christine Cupitt, CEO of the Council of Australian Life Insurers, want to shift the conversation to focus on working together to find a lasting solution.
That's because insurance affordability is already a key financial stress for many Australian households. And things won't help if our mental health is the leading cause of disability claims.
Can the government and the insurance industry come to an agreement? Here's hoping a new years resolution is on the table.
The unprecedented number of people leaving the workforce permanently in the prime of their working life has huge implications for them personally, for their loved ones, for our national economy, and for our already stretched government support systems.
But it can't be fixed by just one group. Australia's mental health crisis seems to be widespread, and Ms. Cupitt believes the solution needs teamwork from both the insurance industry and the government.