Mental health is no longer viewed solely as a clinical concern in Arizona. It has become a growing economic issue that directly affects workforce stability, productivity and the state’s long-term competitiveness.
Employers across Arizona are seeing the impact of rising depression rates show up in daily operations, says Dr. Houshang Aminian, M.D., medical director at American TMS Clinics. Absenteeism, presenteeism and higher turnover are frequently linked to untreated or under-treated mental health conditions. Employees struggling with depression often miss more work, have difficulty concentrating or leave positions altogether, driving up recruitment and training costs while weakening overall performance.
“When access to care is limited, businesses pay the price in lost hours, reduced productivity and higher turnover,” Aminian says. Over time, these challenges erode organizational stability and make it harder for companies to grow and compete.
The economic consequences extend well beyond individual employers. Untreated mental health conditions contribute to increased healthcare utilization, disability claims and public-sector spending tied to Medicaid, emergency care and social services. When systems rely on crisis response instead of early intervention, costs rise across the board for employers, insurers and taxpayers.
As a result, mental health treatment is increasingly viewed as a long-term investment rather than a discretionary expense. “Early, evidence-based care doesn’t just improve clinical outcomes, it supports workforce participation and productivity,” Aminian says. In Arizona, non-drug therapies such as transcranial magnetic stimulation are becoming part of broader discussions about access, particularly following recent FDA clearance expanding treatment eligibility to adolescents, which allows for earlier intervention.
Arizona now sits at a pivotal moment, says Juliane Popelka, CEO of American TMS Clinics. Population growth, workforce shortages, and rising mental health needs are converging at the same time. “Access gaps and untreated mental health conditions directly affect workforce participation and economic stability,” she says.
Looking ahead, mental health trends are expected to shape labor force availability, healthcare spending and business competitiveness statewide. How employers, healthcare systems and policymakers respond will play a defining role in Arizona’s economic resilience over the next decade.
