Regulations to manage psychosocial risks in the workplace are designed to create awareness and spark action. 

They’re not about creating complexities for businesses, Ai Group WHS experts said at a webinar last week. 

“Psychosocial regulations are intended to provide a structure for businesses that highlights that they have to address psychosocial risks,” Tracey Browne, Ai Group’s Manager - National Safety & Workers’ Compensation Policy and Membership Services, said. 

“They are very broad in the things you need to consider; they’re not prescriptive. 

“Essentially, they are designed to create awareness and to get employers who may not have focused on psychosocial risks in the past to do something.” 

Psychosocial hazards  

Safe Work Australia (SWA) says a psychosocial hazard is anything that could cause psychological harm, that is, have a negative impact on mental health. 

According to a Wellbeing Lab report, the top three psychosocial hazards reported by workers who felt burnt out are:   

  • unachievable job demands,
  • poor workplace relationships and 
  • harassment. 

Members have told Ai Group that the number of psychological claims they are receiving is on the rise while Allianz has reported a five per cent increase in psychological claims, with the average cost of psychological damage 3.5 times higher than physical injuries. 

“So, even though Covid restrictions have eased, and many employers have previously placed a huge focus on campaigns to improve employee wellbeing programs during the pandemic, an increasing number of people are still struggling,” fellow presenter Trinette Jaeschke, Ai Group’s National Manager - Work Health Safety Consulting Services, said. 

“This shows it is really important that every business address and manage psychosocial hazards to create a workplace that is healthier, happier and more productive. 

“Those that don’t, risk a workforce experiencing burnout, stress, anxiety or depression — and if it becomes frequent, prolonged or severe — it can potentially cause psychological and physical harm and lead to significantly lower levels of job performance and satisfaction and workplace commitment.” 

Codes and regulations 

WHS/OHS laws have always required employers to eliminate or minimise as much as possible psychosocial (and physical) risks. 

“There has been some perception that maybe there wasn't quite as much emphasis on psychological risks as there should be which is why there's been a lot of work happening in recent years to increase people's understanding of this area,” Ms Browne said. 

“Some jurisdictions adopted codes well ahead of the work being done at the national level through SWA and we now have regulations starting to flow through the process, as well.” 

The model WHS laws are developed at a national level by SWA but have no status unless they are adopted into law in individual jurisdictions.   

Victoria has opted out of the model laws and maintains a separate set of laws.  

NSW has had a code on psychosocial risks in place for some time while regulations, based on the model WHS laws, have been in place since October 1. 

Queensland’s regulations will become effective from April 1 next year, along with its code. 

Victoria has draft regulations which are still being finalised following public comment and will release a code based on the final regulations. 

WA has a code on psychosocial risks in general as well as one specifically relating to workplace behaviour.  

Other states and territories, while making progress, are yet to adopt regulations or codes. Guidance material is available in those jurisdictions.  

Ai Group has produced a Member Advice which outlines the current status of the psychosocial health and safety law space and is updated whenever changes are made

Control measures 

Under the model WHS regulations (and similarly for Victoria), employers are required to consider control measures such as: 

  • the design of work, including job demands and tasks; 
  • systems of work, including how work is managed, organised and supported and  
  • the design, layout and environmental conditions of the workplace. 

“We need to think about how we utilise these controls before looking at things like information, instruction and training,” Ms Browne said. 

Consultation envelopes all the work done in risk management.  

“While consultation is important in every aspect of managing health and safety, it’s particularly important when it comes to psychosocial risks,” Ms Browne said. 

“You might be able to see improper guarding on a piece of equipment, but it's not quite as easy to see psychosocial hazards in an organisation.” 

Putting it into practice 

It is important to manage psychosocial risks in the workplace strategically, says Ai Group’s Kirsty Mungly, Adviser — WHS Consulting Services and Workplace Adviser — Workplace Advice Line. 

Looking at the process as a journey, you need to:  

  • understand the legislation; 
  • identify hazards; 
  • assess risks;
  • put in place actions, such as a prevention plan;  
  • perform internal reporting that may potentially be required and finally, 
  • review the process.  

“Consult with workers during each of those steps,” Ms Mungly said. 

“Workers can provide feedback and insight about what is affecting them, while leaders need to understand the risks and their role in addressing those.” 

Once a structure is established, look at managing risks. 

There are many ways to identify hazards, and these have been categorised into the following areas:   

  • organisational (workplace change, review workplace culture);  
  • data (survey results, turnover reports); 
  • systems (audits/inspections, corrective action plans) and  
  • people (meetings, observations).

When assessing risks, some hazards to look out for include:  

  • job demands,  
  • low job control, 
  • poor support, 
  • lack of role clarity, 
  • poor organisational change management and  
  • inadequate reward and recognition. 

Psychological hazards may not necessarily create risks within themselves.  

“Problems may arise if they are combined with other hazards,” Ms Mungly said. 

“We might look at something individually, but when we consider the overall working environment in the organisation, we might see how different hazards may interact to cause harm.” 

For example, during busy end-of-month periods when there is an increase in workloads, the risk may be increased if there are other team members who are away and cannot help. 

Employers also need to remember that poor workplace behaviour can aggravate workplace hazards. 

“Such behaviour can escalate and if it occurs over a long period of time and is not addressed by management — leading employees to believe that nothing is being done — psychosocial harm can occur,” Ms Mungly said. 

Strategies to manage risks 

Collaboration and consultation must occur in all areas of the workplace. 

“It’s not just up to human resources or health and safety to be looking at ways to manage risks. It requires the whole business to get involved,” Ms Mungly said. 

“Don’t just focus on current systems in place; look at ways to improve.” 

Document, maintain records and review measures. 

Put everything in writing. 

Any workplace data collected from surveys, health and safety committee meetings, toolbox meetings, incident and hazards reports or corrective action plans should be documented. 

Any procedures that may have been implemented should be recorded and kept up to date. 

“We don't want to ‘set and forget’,” Ms Mungly said. 

Review procedures by monitoring and through audits and surveys. 

Ensure that every control measure put in place has the individual at the forefront and that it is working for them. 

“Don’t just tell employees what to do or what you are implementing,” Ms Mungly said. 

“Have regular discussions with them and ensure there is a system for feedback and that people have a way to report any issues and that they are heard. 

“If an employee raises a concern, look into it and consider whether anything needs to be done at the organisational level and what support can be offered to that person. 

“Doing this as an ongoing cycle is particularly important as organisations move further into dealing with their psychosocial risks by adopting the requirements in the regulations.” 

No one size fits all  

What might work for one organisation or group of workers may not necessarily be applicable across the board. 

“Consider the most appropriate control measure for your organisation,” Ms Mungly said.  

“Some employees may struggle with structured deadlines and targets, whiles others might thrive.”  

Ai Group can help 

The requirement to identify and manage hazards and risks will apply to every employer. 

There are also new legal frameworks that impact employers’ obligations in preventing and addressing workplace sexual harassment. 

For assistance in managing your psychosocial hazard journey, visit our website or send an email 

Ai Group offers a range of multidisciplinary Work Health Safety Consulting Services advising companies faced with strategic, operational and compliance difficulties. Our services range from auditing safety management systems, developing and implementing safety processes and procedures through to delivering onsite services tailored to your business, workplace or safety issue. 

 

Wendy Larter

Wendy Larter is Communications Manager at the Australian Industry Group. She has more than 20 years’ experience as a reporter, features writer, contributor and sub-editor for newspapers and magazines including The Courier-Mail in Brisbane and Metro, the News of the World, The Times and Elle in the UK.