Regulations5 February 20267 min read

Managing Psychosocial Hazards: Mental Health Under Australian WHS Law

Mental health claims have surged 161% in a decade. Learn about the new psychosocial hazards Code of Practice and your obligations as a PCBU under Australian WHS law.

Mental health conditions now account for 12% of all serious workers' compensation claims in Australia — and the median time off work is nearly five times longer than for physical injuries. The regulatory response has been decisive: psychosocial hazards are now explicitly covered by model WHS law, and regulators are enforcing compliance.

What are psychosocial hazards?

The model Code of Practice: Managing Psychosocial Hazards at Work (July 2022) defines psychosocial hazards as factors in work design or management that increase the risk of work-related stress and psychological (or physical) injury. The 14 identified hazard categories include:

Job demands — workload, time pressure, emotional demands

Low job control — inability to influence how work is done

Poor support — inadequate supervision, resources, or training

Low role clarity — unclear expectations and responsibilities

Poor organisational change management — change without consultation

Low recognition and reward — effort not matched by outcomes

Poor organisational justice — unfair decisions, processes, or treatment

Traumatic events — exposure to death, serious injury, or violence

Remote or isolated work — working alone without adequate support

Poor physical environment — contributing to stress (noise, heat, confined spaces)

Violence and aggression — from colleagues, clients, or the public

Bullying — repeated unreasonable behaviour creating a risk to health

Harassment (including sexual harassment) — unwelcome conduct

Conflict or poor workplace relationships

Legal obligations

The duty to manage psychosocial risks sits under the same framework as physical hazards — Section 19 of the model WHS Act. PCBUs must:

Identify — psychosocial hazards through consultation, surveys, data review, and observation

Assess — the risk, considering the nature, duration, frequency, and severity of exposure

Control — the risk by eliminating or minimising it so far as is reasonably practicable

Review — control measures regularly and after any incident or concern

This isn't a suggestion — it's an enforceable duty. SafeWork NSW, WorkSafe Victoria, and Workplace Health and Safety Queensland are all actively investigating psychosocial hazard complaints.

The construction and trades context

Construction and trade workers face compounding psychosocial risks: long hours, physically demanding work, financial pressure from project-based employment, high injury rates, and a culture that has historically discouraged help-seeking.

Australia's construction industry has a suicide rate approximately 53% higher than the general male population (MATES in Construction data). Organisations like MATES in Construction and Beyond Blue provide industry-specific mental health support.

Practical steps for construction and facilities PCBUs:

Include psychosocial hazards in site-specific risk assessments

Implement mental health awareness in toolbox talks

Provide access to Employee Assistance Programs (EAPs)

Train supervisors to recognise early warning signs

Review work scheduling to manage fatigue and workload

Document all psychosocial hazard management in your WHS management system

Sexual and gender-based harassment

Safe Work Australia published a new model Code of Practice for sexual and gender-based harassment in 2024. This Code specifically addresses harassment from colleagues, clients, and the public — including online harassment. PCBUs must take a proactive, risk-management approach rather than waiting for complaints.

Documentation and compliance

Psychosocial hazard management should be documented alongside physical hazard management in your WHS records. Digital compliance systems that include psychosocial hazard fields in SWMS, JHAs, and site risk assessments help ensure these factors aren't overlooked — and provide an audit trail if a regulator asks to see your risk management process.

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