Managing Psychosocial Hazards: Mental Health Under Australian WHS Law
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Regulations5 February 2026Updated 30 June 20269 min read

Managing Psychosocial Hazards: Mental Health Under Australian WHS Law

Mental health claims up 161% in a decade. Psychosocial hazards Code of Practice, NSW binding codes from July 2025, construction risks and PCBU duties explained.

Mental health conditions account for 12% of all serious workers' compensation claims in Australia — median time off nearly five times longer than physical injuries. Regulators are enforcing psychosocial hazard duties, not merely publishing guidance.

NSW: Codes of Practice are binding (from July 2025)

In New South Wales, Section 26A of the WHS Act makes approved Codes of Practice legally binding from 1 July 2025. PCBUs must comply with the Managing Psychosocial Hazards at Work* Code — or demonstrate equivalent or higher standards. This elevates psychosocial risk from "best practice" to mandatory framework — with officer due diligence implications under Section 27. Dentons (January 2026) notes 2025 saw the first Commonwealth entity conviction* for psychosocial WHS failures.

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, civil and mining 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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