Opinions

Why the next manufacturing bottleneck might be mental health 

21 Jul 20255 min read
Why the next manufacturing bottleneck might be mental health 

Summary

  • The manufacturing industry recorded the highest presenteeism rate across ten sectors, with a 9% increase from 2023 to 2024. This translates to a productivity loss of approximately USD$990 per employee per month, indicating that many employees are disengaged despite being physically present due to unaddressed mental health concerns.
  • Large team sizes and diverse demographics make it challenging to spot mental health issues early.
  • A case study in the Workplace Wellbeing 360 Report 2025 showed that integrating mental health support into daily operations led to a 30% adoption rate and a 4.6/5 satisfaction rating.
The global manufacturing industry has been hit with disruptions after disruptions. From a once-in-a-century pandemic to geopolitical tensions and massive port congestion, we have seen the undying resilience of the industry. Amid these disruptions, operations adapt quickly.However, in recent years, a new challenge has emerged. The manufacturing sector is showing signs of distress and exhaustion. If it goes unaddressed, mental health could become the next major bottleneck.

The unique challenges of the manufacturing industry

According to Intellect's Workplace Wellbeing 360 Report 2025, which surveyed ten industries, large team sizes and team diversity were the manufacturing industry's key challenges.Large team sizes can make it difficult for managers to identify when individuals are struggling and when to offer timely support, while having diversity within teams (such as different generations, languages, and functions) can lead to distress signs manifesting in differing ways. And so, having a one-size-fits-all approach towards mental health support is unlikely to be effective.These workforce complexities are aggravated by another pressing issue: presenteeism, which is when employees physically show up at work but are disengaged, due to mental health or physical issues. Presenteeism is not just a productivity issue, but rather, an indication that employees are under pressure like never before. And in such environments, it becomes even more difficult to identify who needs support, which is why it needs to be seen as an operational risk.

The cost of presenteeism

Intellect's Workplace Wellbeing 360 Report 2025 revealed that out of ten surveyed industries, the manufacturing industry had the highest rate of presenteeism, with a 9% increase from 2023 to 2024.This is costly for businesses, as an estimated USD$990 is lost per employee per month due to presenteeism. Beyond a loss in productivity, it uncovers a hidden truth of the industry: There is a prevalent culture where workers feel unable to rest, speak up, or seek help. And if left unchecked, presenteeism may erode the resilience and adaptability the industry depends on.Ironically, the same report showed that the manufacturing industry reported one of the highest Organisational Support scores with 67.6%, ranking second out of ten industries, and standing higher than the global benchmark of 66.1%. Organisational Support refers to the extent to which employees feel encouraged and assisted by their employers.Despite a healthy level of Organisational Support, some employees may still feel the need to work due to stigma in utilising wellbeing initiatives, perceived job insecurity, feelings of guilt towards colleagues, or being unable to switch off even when unwell.

Why work can't ignore the personal

Personal challenges, such as health issues, financial difficulties, or relationship conflicts, can impact how individuals perform at work. It could affect an employee's focus, engagement, and overall performance, and recognising this connection is essential for building a supportive, high-performing organisation.Our data from the Workplace Wellbeing 360 Report highlights three personal factors that are particularly vulnerable in the manufacturing industry: growth mindset, work-life balance, and stress management.A growth mindset refers to our belief in the potential for our skills to grow with effort and time, as well as our willingness to seek opportunities for improvement. Yet, many workers in the manufacturing industry lack the psychological safety to view setbacks as opportunities, and without this, workers may become more vulnerable to burnout and disengagement.Work-life balance refers to our ability to establish healthy boundaries between personal and professional commitments. For the manufacturing industry, irregular hours and demanding shifts could be the norm for many, leading to chronic exhaustion and resentment.Stress management refers to our ability to handle challenging situations healthily and maintain a sense of control. Operational pressure is inevitable in this sector; however, stress, when not dealt with, can become chronic. Without the right tools or space to regulate emotions, workers may choose to struggle silently, which can eventually lead to presenteeism, disengagement, and burnout.

Case study: Operationalising mental health on the ground

When employee wellbeing is treated with importance and embedded into daily operations, it becomes a strategic advantage that can build the workforce's resilience and improve employee retention.In the Workplace Wellbeing 360 Report 2025, we shared a case study where a manufacturing company partnered with Intellect to build mental health support for their workforce.With rising burnout and stress as their key concern, we worked out a three-prong approach:• Managerial training: New and existing managers were sent for managerial training to align with the company's workplace wellbeing agenda• Accessibility: Employees were given the flexibility of both virtual and in-person wellbeing services, bookable via various mediums. Foreign workers were also offered access to counselling, coaching sessions and a 24/7 hotline in localised languages.• Privacy: With Intellect's Zero-Knowledge Encryption technology, multiple layers of cybersecurity, and our compliance with Singapore's Personal Data Protection Act (PDPA), employees were assured of confidentiality when utilising our services.As blue-collar workers have a greater exposure to high-risk and critical incidents in their line of work, Intellect's care escalation protocol was in place to refer severe cases for external treatment when needed.As a result, across 12 manufacturing and logistics companies in 2023, we saw an average of 30% adoption rate of the Intellect platform, and a 4.6 out of 5 satisfaction rating of coaching.This shows that a strong mental health strategy is not just a feel-good, one-off wellbeing initiative, but an essential aspect of workforce management. And with real data and real conversations, leaders can make meaningful changes and seek relevant, effective solutions.

The future of manufacturing

The manufacturing industry has already proven that it can navigate crises. But true resilience isn't just about reaction, it's also about prevention.But the next bottleneck can be prevented if we treat wellbeing like the strategic priority it is. Because people aren't just part of the manufacturing line, they keep it running every single day.
Presenteeism in Manufacturing: Rising Mental Health Risks