It's time to improve employment for Australians with disability

Man with Down's Syndrome speaking to a group of people in an office
Banner: Getty Images

New research finds that for people with disability, working in a job that's a good match for their skills and needs can improve mental health. But the reverse is also true

Dr Marissa Shields and Dr Zoe Aitken, the University of Melbourne

Marissa ShieldsDr Zoe Aitken

Published 12 July 2024

Rosie is a young woman who lives with mental illness.

A few years ago, Rosie had a stable job. She was unexpectedly hospitalised due to her disability, but when she returned to work she was fired – for being unreliable.

The loss of her job led to a significant deterioration in Rosie’s health and she was hospitalised again.

Smiling woman sitting at office desk
Employment is a fundamental social determinant of mental health. Picture: Getty Images

Rosie has since got a new job in a pharmacy, which she loves. Her supervisor is supportive and gives her the space and authority to manage her health needs on the job.

This inclusive workplace culture has enabled Rosie to not only maintain her job, but to flourish in it, providing her with a sense of structure and stability.

Employment is good for you – in fact, it is a fundamental social determinant of mental health.

But people with disability have higher exposure to barriers that may reduce their ability to get and maintain a job.  

The 4.4 million Australians with disability are much less likely to be employed than Australians without disability. While 80 per cent of working-aged Australians without disability are employed, only half of working-aged Australians with disabilities are in jobs.

People with disability are more likely to be unemployed, underemployed and working in poorer quality jobs than people without disability.

These poor outcomes have persisted for decades, despite significant ongoing investments from the Australian Government – like the over $AU1 billion spent on Disability Employment Services (DES) in 2020-2021.

Our team at the Centre of Research Excellence in Disability and Health examined the mental health impact of employment among people with disability.

We found that employment is important for good mental health. But  this is not just an economic issue of government spending or untapped labour potential.

In our summary report, we show how the experiences people have throughout their employment cycle – when they are looking for work, in a job and when they leave employment – all influence one another and collectively impact on mental health.

Man with Down's Syndrome serving a happy customer in a cafe
Flexible employment arrangements and on-the-job support helps people with disability keep working. Picture: iStock

Many people with disability have bad experiences throughout their employment cycle

People with disability reported getting a job was more difficult because they experience compounding barriers to employment.

These may include personal factors, like not having the right education and training, and environmental factors like discrimination, low expectations and a lack of available, suitable jobs.

However, when people with disability could access well-designed employment services and individualised employment support programs tailored to their needs, they were more likely to gain employment.

We found that working part-time hours (less than 35 hours per week) was better for their mental health than not working at all.

However, underemployment (where a person is available for more hours of work than they are offered) was a common experience among people with disability and was associated with poorer mental health.

Also common was discrimination from employers and other employees when on the job.

People with disability were more likely to stay in their job when it was a good match for them – that is, their skills, aspirations and flexibility requirement matched their role.

Available on-the-job supports (including support from employment services and reasonable adjustments, like working from home or flexible hours) and a positive, inclusive workplace culture also helped people with disability keep working.

But when the job wasn't a good match people with disability reported feeling ‘pushed’ into an early retirement.

Visually impaired woman with assistance dog giving presentation in office
Employers need resources to help them hire and develop the careers of people with disability. Picture: Getty Images

Policy changes can improve employment and mental health outcomes

Improving the employment landscape for people with disability requires action across four areas.

1. Improving job preparedness

Getting ready to work starts early in secondary school.

Young people with disability need more – particularly more inclusive and tailored opportunities to receive education, training and job preparedness activities like work experience and career advice.

Schools need extra resources to ensure their career programs can meaningfully include young people with disability.

Parents, schools and the broader community all need to support a young person's with disability's positive expectations for their employment.

People of all ages – like those who have acquired a disability or who are changing careers – may benefit from effective employment services outside of formal education.

2. Building effective services

We need to upskill the employment service workforce to provide tailored employment support to make the best possible fit between the jobseeker and the job.

This is needed for the implementation of the new specialist disability employment program which will come into effect from July 2025.

Recently announced by the Australian Government, the new program aims to provide individualised support for jobseekers, including ongoing support for participants who are in jobs.

Employment services will benefit from improved collaboration across government programs.

This means programs like the National Disability Insurance Scheme (NDIS) and DES working together to make it easier for people with disability to navigate services, and receive more holistic support to address complex barriers to employment.

Smiling man in wheelchair sitting at an office desk
It’s critical that workplace changes are co-designed with people with disability. Picture: Getty Images

3. Promoting inclusive workplaces

Our research echoed one of the findings of the Royal Commission into Violence, Abuse, Neglect and Exploitation of People with Disability (DRC) – that employment discrimination was a widespread issue among people with disability in Australia.

Strengthening the Disability Discrimination Act 1992 and creating a Disability Rights Acts, in line with the recommendations of the DRC, would offer people with disability greater rights to non-discrimination and equality.

Employers also need better resources to help them hire, support and develop the skills and careers of people with disability.

This includes timely information to help employers navigate government and employment services, address employer concerns regarding hiring people with disability, and build disability confidence.

It's also critical that all tools designed to change attitudes within workplaces are co-designed by people with disability, as well as pilot tested and evaluated to ensure their inclusivity and effectiveness.

4. Creating employment opportunities

The dire need for more employment opportunities in open employment can be met through national strategies and the development of local, place-based networks.

Employment targets, hiring schemes and financial incentives can promote the hiring and ongoing support of people with disability.

The right time for policy change

Since ratifying the United Nations Convention on the Rights of Persons with Disabilities in 2008, the Australian Government has developed strategies and schemes – including the NDIS – to improve the economic and social inclusion as well as the health of people with disability.

However, the recent NDIS Review and the findings of the DRC underscores the work needed on further policy change to improve employment outcomes.

Two men working in a factory. One sits on a wheelchair
The NDIS review highlighted the need to prepare young people with disability to transition into employment. Picture: Getty Images

The NDIS review recommended improving links between the NDIS, the DES and other initiatives to ensure more effective services that contribute to better employment outcomes for people with disability.

The review also highlighted the need to prepare young people with disability to transition into employment.

The time to address the poor employment of people with disability is now.

We need policy action that focuses on improving job preparedness, building effective services, promoting inclusive workplaces and creating employment opportunities for people with disability.

We need to take action on current recommendations and policy interest to make real change in the lives, opportunities and mental health of people with disability.

Find out more about research in this faculty

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