Global Economic Growth Policies Drive Mental Health Crisis Among Impoverished Communities, Warns UN Expert

De Schutter notes that while 11% of the global population—about 970 million people—suffer from mental health conditions, the burden disproportionately affects low-income individuals.

A recent report from Olivier De Schutter, the UN Special Rapporteur on extreme poverty and human rights, exposes the severe mental health toll that growth-focused economic policies have imposed on impoverished populations worldwide. The report emphasizes the rising incidence of depression, anxiety, and other mental health issues among low-income communities, linking it to unrelenting global GDP targets that favour productivity over individual well-being.

De Schutter notes that while 11% of the global population—about 970 million people—suffer from mental health conditions, the burden disproportionately affects low-income individuals. Data reveals that people in poverty are up to three times more likely to struggle with mental illnesses like depression or anxiety than those with higher incomes. Although mental health struggles among professionals are often highlighted, De Schutter argues that the poorest, especially those in informal or precarious jobs, face the most profound challenges but have minimal resources for coping.

Labor Market Flexibility, Gig Economy, and Precarious Employment Are Worsening Mental Health

The report criticizes labour policies that promote ‘flexible’ employment models as a means to boost economic growth. Changes such as reduced long-term contracts and the rise of part-time or gig work may drive GDP but have eroded job security, fair pay, and worker protections, which in turn harm mental health among the most vulnerable.

“In a 24/7 gig economy, unemployment is sometimes healthier than being employed in precarious work,” De Schutter warned. He pointed to findings that precarious work often has more detrimental mental health impacts than unemployment, as workers face unpredictable schedules, limited bargaining power, and minimal work-life balance, all of which compound stress and anxiety.

A Call for Policy Reforms to Protect Mental Health and Economic Security

The report calls on governments to intervene by implementing safeguards that ensure decent wages, stable working hours, and protective scheduling policies. De Schutter proposed that economic reforms prioritize worker stability by guaranteeing minimum work hours for part-time employees, establishing advance scheduling requirements, and offering compensation for last-minute schedule changes. Additionally, the report advocates for improved social safety nets, including the consideration of universal basic income (UBI), as a means of securing both financial stability and mental health benefits.

Challenging 'Growthism' to Build a Healthier, More Equal Society

De Schutter argues that the global fixation on economic growth has morphed into a “burnout economy,” where wealth accumulation for a few has come at the expense of widespread economic insecurity and deteriorating mental health for the many. Highlighting research that ties higher mental health problems to greater economic inequality, he asserts that society’s single-minded pursuit of GDP growth is contributing to both poverty and a worsening mental health crisis.

“Our obsession with growth has created a burnout economy – a race to increase the profits of a tiny elite in which millions of people have been made too sick to run,” De Schutter said. “In order to combat poverty and the accompanying mental health crisis, we must confront this unsustainable economic model. Replacing GDP-driven goals with policies that prioritize individual well-being will help to create a fairer, healthier, and more inclusive society for all.”