By Penny Corkill
Partner Risk & Assurance
Observed on 28 April, the theme for the World Day for Safety and Health at Work this year, is ‘Let's ensure a healthy psychosocial working environment’.
The focus on psychosocial safety in the workplace is timely. Psychosocial risk management is no longer emerging — it is enforceable, regulated, and rapidly becoming one of the most scrutinised areas of WHS compliance in Australia. Every jurisdiction now has explicit psychosocial regulations, and regulators are shifting from education to enforcement.
Importantly, every Australian jurisdiction now has a legally enforceable ‘positive’ duty to manage psychosocial risks in the workplace. The exact legislative instrument differs by jurisdiction, but all states, territories and the Commonwealth have now implemented psychosocial‑specific WHS or OHS regulations that require employers/Persons Conducting a Business or Undertaking (PCBU) to proactively identify, eliminate and minimise psychosocial hazards.
Yet the Australian WHS Survey – Autumn 2024 shows that many workplaces are still struggling to meet the standard.
What Workers Are Telling Us
The 2024 Survey highlights several concerning trends:
These findings indicate that psychosocial risk is not being managed with the same maturity as physical hazards.
Why Psychosocial Risk Is Different
Psychosocial hazards arise from work design, systems, and interactions — not from equipment or machinery. This means traditional WHS controls (PPE, signage, training) are insufficient.
Effective psychosocial risk management requires:
These are complex, systemic issues — and they require governance, not just training.
The Compliance Imperative
Australia’s WHS regulators now expect organisations to:
The upcoming national expansion of notifiable incidents to include work‑related or suspected work‑related suicides or attempts will further elevate the governance requirements.
Where Organisations Are Falling Behind
Despite strong legislative frameworks, Australia’s performance on psychosocial harm is lagging:
Compared with leading OECD countries with strong psychosocial frameworks (e.g., Sweden, Denmark, the Netherlands), Australia is still in the building capability phase.
How Organisations Can Lift Their Psychosocial Compliance
1. Treat psychosocial risk as a WHS risk — not an HR issue
Performance management, conflict, workload, and remote work must be assessed through a WHS lens.
2. Build psychosocial risk into WHS management systems
Policies, procedures, risk registers, and assurance programs must reflect psychosocial hazards.
3. Strengthen leadership capability
Workers in the 2024 Survey identified leadership commitment as inconsistent. Leaders need training in psychological safety, communication, and early intervention.
4. Audit for compliance and maturity
Independent psychosocial audits help identify gaps and demonstrate due diligence.
5. Integrate WHS and security controls
Aggression, violence, and customer‑related conflict are psychosocial hazards that require both WHS and security controls.
A Turning Point for WHS In Australia
Psychosocial risk is the fastest‑growing WHS obligation — and the area where organisations face the greatest compliance risk. The organisations that succeed will be those that treat psychosocial risk as a governance issue, not a cultural aspiration.
Your Risks | Our Solutions – How Centium Can Help
Centium prides itself on its internal audit expertise. Our team of generalist, WHS specialist and performance auditors brings a wealth of experience and professional qualifications. At all times our team members adhere to the highest standards set forth by the Institute of Internal Auditors’ International Professional Practices Framework (Global Internal Audit Standards), and other Australian and international standards, and relevant sector requirements. We deliver risk-based plans and audits to our clients, always ensuring that our recommendations are practicable and improvement-focused.
Some recent engagements have included:
To find out how Centium can help you, go to centium.com.au or ring us on 1300 237 810
