Nearly half of those working in India's startup ecosystem reported low levels of mental wellbeing, with employees faring worse than founders and investors, according to a new study released ahead of World Mental Health Day on October 10.




The *State of Mind: The Startup Ecosystem* report found that 47.5% of respondents scored at or below its wellbeing threshold. Among startup employees, the figure rose to 54.3%, compared with 42.9% among founders, 45.2% among investors and 44.2% among other ecosystem stakeholders.




The study, which surveyed 823 people across India, also found a strong link between mental wellbeing and psychological safety at work, or how comfortable people feel admitting that they are struggling.




Overall, 34.8% of respondents said they felt unsafe speaking up. Among employees who felt this way, 88.3% scored low on wellbeing, compared with 26.7% of employees who felt safe acknowledging difficulties.




Another finding was the gap between how people assessed their own mental health and what their wellbeing scores suggested. Of the 391 respondents who scored below the threshold, 35.3% still described themselves as thriving or doing okay. Only 15.1% reported seeking professional help.




The study was initiated by Sheetal Bahl, Founder and Partner at venture capital firm Merak Ventures, and authored by Priyanka Kartari, Dr Sukhmani Pal and Dr Dilip Panniker.




“To those who are part of it, it will unlikely come as a surprise how poorly the ecosystem is faring. But this study highlights some nuances, like while all groups show concerning results, it is employees who carry the largest share of stress,” Bahl said.




“The silver lining is that the fixes are not rocket science – make it safer for people to speak up, give them some support, and allow them real time-off, and the wellbeing improves dramatically,” he added.




The initiative is supported by study's co-authors and 1mg co-founder Gaurav Agarwal and Akshit Mathur.




The report also draws attention to the business implications of poor mental health, citing industry findings that associate prolonged exhaustion with entrepreneurs leaving their businesses and employees taking more sick leave or looking for other jobs.




It recommends regular anonymous wellbeing assessments, confidential support systems, training for managers and protected time off. Investors, too, have a role to play, the report suggests, by factoring wellbeing into due diligence and supporting mental health initiatives within their portfolio companies.




The research used an adapted version of the World Health Organization's Five-item Well-Being Index, alongside respondents' own assessments of their wellbeing.




Of the 1,040 survey submissions received, 823 were retained for analysis, including 347 founders or co-founders, 300 employees, 124 investors and 52 ecosystem supporters.




The researchers cautioned that the survey was self-selected and captured responses at a single point in time. The wellbeing threshold used has not been independently validated for the adapted index, and the findings do not establish clinical diagnoses or a causal relationship between workplace conditions and mental health. The difference in wellbeing between founders and employees also narrowed after accounting for demographic factors and working hours.




The report, released ahead of World Mental Health Day, calls for more sustained attention to mental health across India's startup ecosystem, particularly among employees whose difficulties may otherwise go unrecognised.