In Counting the Cost, a report developed in collaboration with the Te Kāhui Tika Tangata Human Rights Commission, it is estimated that the economic cost of workplace bullying and harassment on New Zealand employers is at least $1.34 billion annually.
The report builds on a study published by the Commission in 2022, analysing survey data from over 2,500 workers across New Zealand. This is the first time these costs have been estimated for New Zealand.
Understanding the economic cost of bullying and harassment will help inform public discussion and guide employers. The report highlights a clear business case for employers to invest in proactively addressing bullying and harassment in the workplaces.
KPMG developed the model to create the estimates, which considered bullying, sexual and racial harassment and the economic costs to employers arising from absenteeism, presenteeism, turnover, replacement, and internal complaints. The report was supported by KPMG on a pro bono basis.
THE REPORT CONSERVATIVELY ESTIMATES THE COST OF BULLYING AND HARASSMENT TO NEW ZEALAND EMPLOYERS AT $1.34 BILLION OVER A 12MTH PERIOD DURING JUNE 2021 TO JUNE 2022.
The Report highlights that proactively addressing workplace bullying and harassment will boost worker productivity, bring economic benefits to employers, and make Aotearoa New Zealand a better place in which to work and live
Key Findings
$1.34 BILLION
The overall cost to New Zealand employers over a 12mth period during June 2021 to June 2022
$1,618
The average cost for every worker impacted by bullying and harassment.
$1.5 BILLION
An estimate of the total cost for 2023, which is likely around 15% higher due to inflation, increases in nominal wages and the working population
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