ARTICLE
26 January 2023

Importance of managing psychosocial hazards at work

HR
Holding Redlich

Contributor

Holding Redlich, a national commercial law firm with offices in Melbourne, Canberra, Sydney, Brisbane, and Cairns, delivers tailored solutions with expert legal thinking and industry knowledge, prioritizing client partnerships.
In 2023, government agencies will need to focus on managing the risks from psychosocial hazards in the workplace.
Australia Employment and HR

All government agencies in 2023 will need to have a greater focus on managing the risks from psychosocial hazards in the workplace.

Psychosocial hazards are hazards that may cause psychological or physical harm arising from or in relation to:

  • the design or management of work
  • the working environment and equipment
  • workplace interactions or behaviours.

Psychosocial hazards can then generate a psychosocial risk, being a risk to a person's health or safety arising from a psychosocial hazard.

Unsurprisingly, many facets of work could qualify as a psychosocial hazard. This may include job demands (involving sustained high or low levels of physical, mental or emotional effort), low job control, remote or isolated work, and exposure to traumatic events.

Perhaps more unpredictable for agencies is the possibility of psychosocial hazards arising from the management of a person's employment. This may include poor support, lack of role clarity, poorly managed organisational change, inadequate reward and recognition (where there is an imbalance against a worker's effort), and poor organisational justice.

Codes of practice outlining the responsibility of agencies to manage these risks are in operation in jurisdictions such as NSW, Queensland and Western Australia, with others to follow shortly. The codes of practice have been developed following recommendations from the Boland Review of the work health and safety laws in 2018, which included the recommendation to focus on psychosocial hazards.

In 2022, Safe Work Australia also published its model code of practice, Managing Psychosocial Hazards at Work. The code, if approved in a state or territory, offers a practical guide to compliance with the laws requiring employers to maintain a safe workplace for their staff and others impacted by their business or undertaking. The code will also be evidence that a court may have regard to in determining whether your agency has taken all reasonably practicable steps to manage psychosocial hazards in the circumstances outlined in the code.

The code points out that, on average, work-related psychological injuries have longer recovery times, higher costs, and require more time away from work. The code notes that complying with the code not only protects workers, but also decreases the disruption associated with staff turnover and absenteeism, and may improve performance and productivity.

It is important for agencies to review the relevant code and determine whether steps have been taken to implement reasonably practicable controls as set out in the code. If your agency still needs to undertake a risk assessment for psychosocial hazards, you should follow the steps outlined in the code.

We will continue to examine these legal obligations and how government agencies can assess and control psychosocial hazards at work in our upcoming CLE program. Register for our 'Managing psychosocial hazards in the workplace' session here.

This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances please contact one of the named individuals listed.

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