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Home»Health»Mental Health Issues, Substance Abuse Negatively Impact Louisiana’s Economy
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Mental Health Issues, Substance Abuse Negatively Impact Louisiana’s Economy

March 10, 2025No Comments
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NEW ORLEANS – A new study from Tulane University’s Newcomb Institute is sounding the alarm over an escalating crisis in Louisiana. Titled “Substance Use and Mental Health in Louisiana: January 2025,” the research reveals that nearly one in nine adults in the state, almost 400,000 men and women, are grappling with severe depression and/or anxiety, and an equal number have contemplated suicide over the past year. These stark findings underscore the economic and public health challenges facing the state.

Dr. Anita Raj, executive director of the Newcomb Institute and the Nancy Reeves Dreux Endowed Chair at Tulane’s Celia Scott Weatherhead School of Public Health and Tropical Medicine, explained, “Our findings show that substance use and mental health concerns are highest among our younger working age populations, especially those 18-29, but even among men 30-44, we see notable rates of suicidality. These kinds of concerns affect employment and productivity, and they are a strain in terms of health care costs and impacts on families.” Her comments point to a dual crisis impacting not only individuals but also businesses across Louisiana.

The study highlights that the intertwined issues of mental health and substance abuse are having far-reaching economic implications. With nearly 39% of prime working-age adults engaging in binge alcohol use and 19% involved in illicit drug use, Louisiana businesses may be facing enormous annual productivity losses. This figure is supported by national research that attributes around $300 billion in costs to alcohol and illicit drug use across the United States. Although the Tulane study does not provide a specific cost estimate for the state, Dr. Raj said, “We can surmise from these findings that the issues are likely costing our state in the billions.”

Sean Leonard, board-certified psychiatric nurse practitioner at Healthy Life Recovery based in San Diego added his perspective on how the fast-paced work environment contributes to the crisis. “In today’s fast-paced work culture, many feel pressured to ‘tough it out,’ ignoring stress, burnout, and exhaustion. While it may seem like strength, this mindset can harm both your well-being and career,” Leonard said. “Ignoring mental health leads to burnout and pushing through stress without addressing the problem only heightens the risk.”

Both experts agree that targeted mental health interventions could provide significant economic benefits. “Research on mental health interventions document strong cost-effectiveness, especially when the focus is on adolescent and young adult populations, because you get more time for longer term benefit including work productivity and income generation,” Dr. Raj said. “This approach could reduce not only healthcare costs but also improve overall workforce productivity by addressing the root causes of substance abuse and mental health challenges.”

Nationwide, approximately 39% of employees report that their employer‐provided health insurance includes select mental health benefits. In Louisiana, where many workers are employed by small businesses, that percentage is likely to be much less.

Dr. Raj pointed to the need for broader economic strategies to tackle these challenges. “We know from extensive research that job loss, economic distress, and low economic opportunity contribute to substance abuse and mental health concerns, so building economic opportunity in our state is key to helping address the mental health crisis,” she said. “Workplaces would also benefit from having linkages to substance abuse treatment and mental health programs to provide referrals for individuals where they have concern.”

Leonard says it is important to address personal stressors that contribute to poor mental health. “Unresolved personal stress, whether from family issues, relationship challenges, or financial concerns, weighs heavily on your well-being. Poor work-life balance and even feelings of imposter syndrome can compound these problems,” said Leonard. “Taking care of your mental health is essential for long-term success, both personally and professionally. We all know the anxiety that creeps in on Sunday evening as the workweek approaches—the ‘Sunday Scaries’ might be something deeper than just job stress.”

The Tulane study highlights the need for tailored approaches in urban and rural areas. “We see higher prevalence of suicidality in urban areas,” said Dr. Raj. “These patterns suggest that there are different stressors at play and unique support needs based on geographic location.” She said that initiatives such as training peer support case managers, expanding telehealth services, and bolstering local healthcare infrastructure are critical, particularly in rural areas where economic opportunities and social support may be limited.

Dr. Raj said that healthcare and social services continue to be an area of growth in Louisiana and nationally. “While historically, women have been more likely than men to enter these sectors, we have been seeing more men going into fields like nursing and social work. However, if we do not ensure that salaries are commensurate with what providers in other states are being paid, we will not get these providers in our state. So, it will be important to ensure that we increase this workforce to meet Louisianan’s needs by paying market value for the services these trained providers deliver.”

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