Brain Capital: A Business Imperative
The Economic Impact of Brain Health
Impaired brain health costs the global economy up to $8.5 trillion annually in lost productivity.
By 2050, dementia cases are projected to triple globally, exacerbating challenges related to workforce retention, absenteeism, and escalating healthcare costs.
In the United States, the average lifetime cost of care for an individual with dementia is approximately $350,000, with 70% of this burden falling on families.
Without intervention, dementia-related expenses in the U.S. could consume a third of an average U.S. family’s wealth in the last five years of life.
One in five caregivers supporting someone with dementia withdraws from retirement savings, and 15% borrow money to cover costs.
McKinsey Health Institute estimates there is $26 trillion in economic opportunity from addressing brain health, including in the workplace, where proactively investing in holistic employee health could create close to $12 trillion of global economic value.
At the 2025 World Economic Forum in Davos, brain health emerged as a top priority, with experts warning that mental health conditions alone could cost the global economy over $6 trillion by 2030 if left unaddressed.
Brain Health and Workforce Productivity
Financial stress is correlated with greater psychological distress, a known risk factor for cognitive decline.
Psychological distress significantly increases the risk of mild cognitive impairment and all-cause dementia.
Negative wealth shocks are directly associated with declining cognitive function in older adults.
Job loss and income drops of 25% or more in young adulthood are linked to reduced brain health in middle age.
Sustained midlife employment is linked to better cognitive function in later years.
Changing Demographics and Workforce Participation
As of February 2025, the U.S. labor force participation rate stands at 62.4%, reflecting a decline from 62.7% over the past year.
In contrast, the OECD average labor force participation rate reached a record high of 74% in the second quarter of 2024.
As of 2025, only 57% of American women participate in the workforce compared to 68% of men. This underrepresentation suggests that women’s skills and talents are not being fully utilized in the economy.
By 2050, one in six people globally will be over 65, highlighting the need for stronger retirement savings and workplace policies.
Between 17% and 42% of Americans over 50 express a desire to work or volunteer but are unable to do so due to poor health or caregiving responsibilities.
Increasing workforce participation among older adults could boost GDP by up to 7.2% and contribute 8.7 billion volunteer hours.
Cognitive Skills: The Key to Future Jobs
The World Economic Forum identifies top job skills as analytical thinking, creativity, resilience, and lifelong learning—all rooted in brain function.
AI and automation elevate the need for uniquely human cognitive skills such as problem-solving, adaptability, and critical thinking.
Organizations investing in brain health strategies will have a workforce better equipped to drive innovation and economic growth.
Call to Action for CEOs
Consider that Human Capital is an Asset Rigorously measure, manage, and invest in workforce talent as a critical strategic asset for sustainable long-term value creation.
Invest in Workplace Brain Health Programs Support mental well-being, financial literacy, and cognitive training initiatives.
Support an Aging Workforce Develop policies for flexible work, caregiving support, and lifelong learning.
Mitigate Financial Stress Provide financial wellness programs to reduce cognitive decline linked to economic instability.
Advocate for Public-Private Collaboration Partner with research organizations to advance brain health science, policy, and innovation.
About the UsAgainstAlzheimer’s Business Collaborative for Brain Health (BCBH)
Uniting leading private sector companies and institutions to optimize cognitive health for better business results and healthy longevity
Hosts monthly meetings with business leaders and economists to drive solutions for better brain health and economic impact.
With McKinsey Health Institute and Davos Alzheimer’s Collaborative, developed a Unified Model of Brain Health to identify shared risk and resilience factors for employee brain health and their common outcomes across three domains — mental health, neurological health, and workplace performance.
Partnered with Mercer and HERO to create a brain health best practice scorecard for employers.
Conducting research to quantify the short-term ROI of workplace brain health programs.Investing in brain capital is a business and economic imperative.
References and Resources
Organization for Economic Co-operation and Development (OECD). (n.d.). Brain Capital: Driving Economic Growth and Resilience. Retrieved from https://www.oecd.org
Alzheimer’s Disease International. (2019). World Alzheimer Report 2019: Attitudes to Dementia. Retrieved from https://www.alzint.org
Alzheimer’s Association. (2018). 2018 Alzheimer’s Disease Facts and Figures. Retrieved from https://www.alz.org
National Bureau of Economic Research (NBER). (2021). Economic Consequences of Dementia: Financial and Policy Implications. Retrieved from https://www.nber.org
McKinsey Health Institute. (2023). The Economic Potential of Older Workers. Retrieved from https://www.mckinsey.com
World Economic Forum. (2025). Future of Jobs Report 2025. Retrieved from https://www.weforum.org/stories/2025/01/future-of-jobs-report-2025-jobs-of-the-future-and-the-skills-you-need-to-get-them
American Academy of Neurology. (2020). Income Volatility and Cognitive Decline in Middle Age. Retrieved from https://www.aan.com
Bureau of Labor Statistics (BLS). (2025). The Employment Situation – February 2025. Retrieved from https://www.bls.gov/news.release/pdf/empsit.pdf
Organisation for Economic Co-operation and Development (OECD). (2024). Labour Market Situation – Updated October 2024. Retrieved from https://www.oecd.org/en/data/insights/statistical-releases/2024/10/labour-market-situation-updated-oct
Putting the Brain Economy on the Map of Global Health Priorities. (2025). Health Policy Watch. Retrieved from https://healthpolicy-watch.news/putting-the-brain-economy-on-the-map-of-global-health-priorities/
Galagali, T. (2025, January 23). Brain Health Emerges as Top Priority at Davos. Forbes. Retrieved from https://www.forbes.com/sites/tarungalagali/2025/01/23/brain-health-emerges-as-top-priority-at-davos/
American Journal of Health Promotion. (2024). Integrating Brain Health Strategies in the Workplace: A Holistic Approach. Retrieved from https://journals.sagepub.com/doi/full/10.1177/08901171241232042b
Business Collaborative for Brain Health. (n.d.). Unified Model for Brain Health. Retrieved from https://businessforbrainhealth.org/resources/unifiedmodelbrainhealth
World Economic Forum. (n.d.). Human capital as an asset: An accounting framework to reset the value of talent in the new world of work. Retrieved from https://www3.weforum.org/docs/WEF_NES_HR4.0_Accounting_2020.pdf Willis Towers Watson. (n.d.). Retrieved from https://www.willistowerswatson.com