The latest report from Safe Work Australia highlights trends in workplace psychological health, with an increasing number of mental health-related compensation claims. These insights underline the critical need for employers to address psychosocial risks to protect employee well-being and safeguard their businesses from liability.
Key Findings from the 2024 Safe Work Australia Report:
- Increasing Mental Health Claims:
- 9% of all serious workers’ compensation claims in 2021-22 were for mental health conditions (11,700 claims), a 36.9% increase since 2017-18.
- Mental health claims cost significantly more, with the median compensation being $58,615, compared to $15,743 for all other injuries.
- Top Contributors to Psychosocial Risks:
- 27.5% of claims were due to workplace harassment and bullying.
- 25.2% were related to work pressure.
- 16.4% of claims resulted from occupational violence, particularly in high-risk industries like healthcare and education.
- Impact of Mental Health on Productivity:
- Employees experiencing mental health conditions lose an average of 34.2 working weeks, compared to 8.0 weeks for other types of injuries.
High-Risk Industries:
- Health care and social assistance: The highest number of serious claims for mental health conditions (25.8% over five years), driven by emotional demands, violence, and bullying.
- Public administration and safety: The fastest-growing sector for mental health claims, largely due to exposure to traumatic events.
- Education and training: Significant numbers of claims due to work pressure (18.8%) and bullying (32%).
Employer Responsibilities Under WHS Laws
The Work Health and Safety (WHS) Act places a non-delegable duty of care on PCBUs (Persons Conducting a Business or Undertaking) to manage psychosocial risks and ensure the safety and well-being of workers. Failure to address these risks exposes businesses to legal liabilities and reputational damage. Employers must take both preventive and remedial action to meet these obligations.
Action Points for Employers:
- Update Workplace Management Systems:
- Regularly review and update your workplace management systems to include specific measures for identifying and controlling psychosocial hazards, such as workload management, anti-bullying initiatives, and crisis intervention protocols.
- Well-being Monitoring and Support:
- Implement a structured approach to monitor employee well-being, such as anonymous surveys, direct consultation, and regular feedback sessions.
- Offer mental health support, including regular employee check-ins, pulse surveys and possibly Employee Assistance Programs (EAPs), to provide immediate support to workers experiencing stress, anxiety, or burnout.
- Consultation and Education:
- Engage in ongoing consultation with employees regarding workplace risks and the controls in place to manage them. This is essential for compliance with the Psychosocial Code of Practice.
- Provide education and training to all levels of staff, from management to frontline workers, to foster a culture that prioritises mental health. This includes training on identifying psychosocial hazards and knowing how to respond appropriately to incidents of bullying or violence.
- Conduct Regular Risk Assessments:
- Conduct regular psychosocial risk assessments to identify emerging issues and ensure that mitigation strategies remain effective. Include metrics for monitoring work pressure, role clarity, and workplace relationships.
- Clarify Personal Accountability:
- Ensure that all levels of worker understand their personal accountability under WHS laws. This includes taking reasonable steps to prevent mental health risks from escalating and ensuring that safety measures are applied consistently.
Professional Support for Implementation:
Addressing psychosocial risks requires specialised expertise, especially when aligning management systems with the latest government regulations. Business 360 offers comprehensive support to help businesses:
- Assess, review, and update their WHS policies to cover psychosocial risks.
- Implement monitoring and reporting systems for mental health and well-being.
- Provide ongoing consultation and education to ensure that the workforce is aware of their rights, responsibilities, and the support available.
We help businesses create clear strategies for managing psychosocial hazards, ensuring compliance with WHS laws and protecting both the workforce and the organisation from potential risks. Through a structured approach, Business 360 can assist you in clarifying expectations, promoting personal accountability, and fostering a workplace culture that prioritises health and safety.
Key Takeaways:
- Psychosocial risks are a growing issue, with mental health claims rising by 36.9% over five years.
- Harassment, work pressure, and violence are the leading causes of mental health claims, particularly in healthcare, education, and public safety sectors.
- Employers are required by law to address these risks, with penalties for non-compliance.
- Preventive and remedial actions such as risk assessments, well-being monitoring, and clear management protocols are essential to meet WHS obligations.
- Business 360 can help businesses develop robust strategies to manage these risks and protect their workforce.
For further guidance on managing psychosocial hazards and ensuring compliance, contact Business 360 for tailored support and expert consultation. Call 1300 287 360 or email info@business360.au.
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