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What Employers Need To Know About Workplace Mental Health And Legal Liability

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While COVID-19 has brought widespread and growing awareness of workplace mental health, fears of legal liability can often stand in the way of meaningful progress. It can be especially difficult for frontline managers to understand how to navigate the best path forward when an employee discloses a diagnosis of mental illness. In the absence of clear guidance and company policies, many managers may not know where to turn or what to do.

As employers are required to provide reasonable accommodations, what is the best way to proceed when an employee makes a disclosure? Three steps are key:

Follow The Lead of the Employee Making the Disclosure

The first thing to do when an employee shares their diagnosis is to listen, as discussed in a recent HBR article. It’s most likely that the employee arrived at the decision to disclose after much time and consideration, so how a manager responds can make all the difference. Simply thanking them for the disclosure can be a critical first step. This is a difficult and deeply personal decision, and managers should give verbal acknowledgment that they know this.  

Employees can provide information about the existence and extent of their disability or diagnosis, and how this impacts their role, as well as the accommodations needed to address these challenges. How they choose to share this is up to them. What’s more, employees have the right to disclose at any time during their employment—and they also have the right not to disclose. The Americans with Disabilities Act (ADA) states that employers cannot ask questions that will likely reveal the existence of a disability before making a job offer, so letting the employee guide the conversation—and knowing that there will need to be more than one conversation—will go a long way toward making them feel seen and heard.

Know Your Company’s Policies

When an employee trusts a manager enough to disclose their condition, it may seem like the right move to take immediate action to provide accommodations. However, in most cases, this is actually not the best move. Instead, managers should partner with the employee to determine and understand what would make them feel supported – tapping into the company’s resources and always following company policies. This will take time, as an ongoing partnership to develop and refine a plan that will best suit the employee’s needs.

Employers should take care to understand what company policies exist to provide support, such as an Employee Assistance Program and/or Disability Employee Resource Group. What’s more, flexible working arrangements for all employees should be designed to be inclusive, which means normalizing workplace mental health as a company priority, regardless of a disclosed disability or diagnosis.

Create a Manager Toolkit for What to Do When an Employee Discloses

Employers who take mental health seriously should work with their organization’s legal team to build a manager toolkit. Legal teams know that managers are themselves employees and should have a clear picture of what resources are available to themselves as well as their direct reports. Where applicable, such a toolkit may also include information about the process of operating outside of the U.S., so that the team knows how to navigate that country’s specific laws. A great place to start is the JAN’s Workplace Accommodation Toolkit, which is a free, comprehensive resource for employers who want to move beyond basic ADA compliance to build more inclusive workplaces

By following these steps, managers can be prepared to respond appropriately when an employee discloses a mental health diagnosis. At a higher level, HR and benefits leaders can make sure that these policies and goals are widely understood by managers – helping to reduce fears of legal liability and provide important support to employees. At One Mind at Work, we are continuing to develop and understand the complexities of this topic by convening leaders and engaging in ongoing efforts.  This represents the best path forward, removing an all-too-common obstacle to real progress in workplace mental health.

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