Expect increasing action from safety regulators on managing psychosocial health

Employers take heed. The new head of SafeWork Australia, Marie Boland, in recently releasing the latest SWA report (click here) into psychosocial safety, warned employers that they need to take greater efforts into managing escalating mental health compensation claims.

Mental health conditions now account for 9% of all serious workers compensation claims which represented an increase of almost 37% from 2017 to 2018. The report further found that lost time to work-related psychosocial injury is more than four times that of all physical injuries and illnesses and that compensation paid for mental health conditions is more than three times that of all physical injuries and illnesses.

Our Take

Having a safe workplace is not only about avoiding legal action but it makes good business sense too.

We have seen a recent trend where employee representatives are now honing in on the employer’s efforts to assess and mitigate psychosocial hazards as part of any dispute or performance management. Whilst some of these matters have been just a ‘smokescreen’, the additional disputes have caused employers further concern and required additional compliance efforts.

We are also seeing WHS regulators increasing their efforts in this space by requiring under compulsion notices employers demonstrate their compliance. The failure to comply with these notices can result in additional fines.

Action Items

• reprioritise and reinvigorate your efforts to address psychosocial hazards

• make sure your executive team/board has undergone specific training regarding psychosocial hazards

• document your progress

• implement the above initiatives throughout your organisation

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