- Date:
- 9 Oct 2025
On 30 September 2025, the highly anticipated Occupational Health and Safety (Psychological Health) Regulations 2025 (Regulations) were passed, with WorkSafe simultaneously publishing a Compliance Code for Psychological Health (Compliance Code).
The Regulations stand separately from the Occupational Health and Safety Regulations 2017 and sit alongside the Occupational Health and Safety Act 2004 (OHS Act). They will take effect from 1 December 2025.
The development of the Regulations follows several reviews which recommended strengthening workplace health and safety laws, to better address risks to workplace psychological health. The reviews have included the:
- Review of Model Work Health and Safety Laws (known as the Boland Review)
- Respect@Work Report
- Productivity Commission’s Inquiry into Mental Health.
The Final Report of the Royal Commission into Victoria’s Mental Health System also highlighted the need to improve education and awareness concerning psychological health, to build safe and healthy workplaces and to prevent mental injury.
The Regulations
At a high level, the Regulations impose obligations upon Victorian employers to:
- identify and assess psychosocial hazards, so far as is reasonably practicable
- eliminate or reduce risks associated with psychosocial hazards, so far as is reasonably practicable
- review and (if necessary) revise measures implemented to control risks associated with psychosocial hazards.
These obligations relate to employees, independent contractors and labour-hire workers.
The Regulations in their current form differ from the draft version of the Regulations which were circulated for public comment in 2022, in that they no longer include the requirements:
- to prepare Prevention Plans in relation to 5 specific psychosocial hazards, namely bullying, sexual harassment, aggression or violence, exposure to traumatic content or events, or high job demands (although WorkSafe has published a Prevention Plan template on its website)
- to report psychosocial complaints to WorkSafe every 6 months (where an employer has more than 50 employees), made in respect of bullying, sexual harassment and aggression or violence.
What is a psychosocial hazard?
Psychosocial hazards are factors in the design or management of work that increase the risk of work-related stress and can lead to psychological or physical harm.
Specifically, they are any factor or factors that may cause an employee to experience one or more negative psychological responses that create a risk to the employee's health and safety, arising out of work design, systems of work, the management of work, the carrying out of the work, or personal or work-related interactions.
In light of this expansive definition, the Regulations provide several examples as to what may constitute psychosocial hazards, including:
- aggression or violence
- bullying
- exposure to traumatic events or content
- high job demands
- low job control
- low job demands
- low recognition and reward
- low role clarity
- poor environmental conditions
- poor organisational change management
- poor organisational justice
- poor support
- poor workplace relationships
- remote or isolated work
- sexual harassment.
This is a non-exhaustive list of examples of psychosocial hazards. The Commonwealth Work Health and Safety (Managing Psychosocial Hazards at Work) Code of Practice 2024 also lists a further 3 psychosocial hazards, namely:
- work-related fatigue (which the Compliance Code relates to 'high job demands')
- intrusive surveillance (which the Compliance Code relates to 'low job control' and 'poor organisational justice')
- job insecurity (which the Compliance Code relates to 'poor organisational change management').
Importantly, as Worksafe Victoria notes in its Compliance Code, there is a greater risk of harm when multiple hazards are present. Employers need to consider how psychosocial hazards combine and interact, as the cumulative impact of multiple psychosocial hazards poses a greater risk to work-related stress.
What are public sector employers required to do?
Identify and eliminate or reduce risk associated with a psychosocial hazard
The Regulations impose an obligation to, so far as is reasonably practicable, identify psychosocial hazards. This requires employers to consider all available information to identify whether any particular risk or hazard is present. This may include reviewing organisational data, information and records, employee surveys or existing policies and procedures, and identifying patterns that may indicate a potential psychosocial hazard.
Overall, employers are required to eliminate risk associated with a psychosocial hazard, so far as is reasonably practicable. However, where it is not reasonably practicable to eliminate such a risk, the employer is required to reduce the risk, so far as is reasonably practicable, by:
- altering the management of work, the plant/equipment used, the systems of work, work design or the workplace environment
- providing information, instruction or training
- by implementing a combination of these items.
The Regulations provide that an employer can only exclusively rely on the provision of information, instruction or training, if it is not reasonably practicable to alter:
- the management of work
- the plant/equipment used
- the systems of work, work design
- the workplace environment.
If a combination of measures are used, the provision of information, instruction or training must not be the predominant measure (subject to reasonable practicability).
This obligation is consistent with an employer's existing obligations under the OHS Act to:
- provide the highest level of protection against risks to health and safety that are reasonably practicable in the circumstances
- implement all reasonably practicable measures to ensure health and safety at workplaces and in the conduct of undertakings.
Review risk control measures
The Regulations also require employers to review control measures implemented to control risks associated with psychosocial hazards, to determine whether they are still fit for purpose, and revise any control measures if necessary. This kind of review must occur:
- before any alteration is made to a process or system of work that is likely to result in changes to risks associated with psychosocial hazards
- if new or additional information about a psychosocial hazard becomes available
- where the employer receives a report of a psychological injury or a psychosocial hazard
- after a 'notifiable incident' occurs pursuant to section 38 of the OHS Act, where this involves one or more psychosocial hazards
- if, for any other reason, the risk control measures do not adequately control the risks
- after receiving a request from a Health and Safety Representative.
Where any control measure is assessed as no longer being an effective way to manage the relevant risk, then an employer is required to consider whether there is any other measure or measures that can be implemented, in accordance with ordinary OHS risk management principles.
Consequences for non-compliance
Any breaches of the obligations imposed by the Regulations are considered to be breaches of section 21 of the OHS Act, and can result in the filing of criminal charges and the imposition of a financial penalty, in the event that any charge is proven.
WorkSafe Compliance Code
In alignment with the Regulations, WorkSafe has also released a Compliance Code, providing Victorian employers with practical tools and guidance to assist them to meet their obligations in relation to managing psychosocial hazards.
The Compliance Code provides specific examples of control measures relating to each of the identified psychosocial hazards and outlines the kinds of questions employers should be asking in relation to identifying the hazards, implementing control measures and reviewing and revising those measures where required.
Using 'high job demands' as an example, the Compliance Code outlines what may constitute this hazard, including:
- long work hours
- work that is beyond an employee's capabilities or training
- high or unrealistic workloads, such as having too much to do, having too many clients, having to operate at a fast work place or working under significant time pressure
- undertaking emotionally demanding work.
The examples outlined in the Compliance Code for managing this hazard or risk include, among other things:
- developing an internal process for managing peak demand periods, planned leave and/or unplanned absences
- providing appropriate resources to meet demand
- setting achievable performance targets
- providing adequate support and encouraging regular breaks for work involving high levels of concentration or exposure to emotionally demanding work for sustained periods
- designing recruitment processes to support the selection of employees with appropriate skills, experience and qualifications.
While the Compliance Code provides guidance, it is not mandatory. However, a duty holder who complies with the Code will be 'taken to have complied' with their duties and obligations under the OHS Act and Regulations. However, as always, the key issue will be whether the implementation of any particular control measure is reasonably practicable in the context of the employer's undertaking.
VLSBC Wellbeing Guidelines for Legal Workplaces
Duty holders who employ members of the legal profession in their undertakings should also consider the Wellbeing Guidelines for Legal Workplaces published by the Victorian Legal Services Board + Commissioner (VLSBC Guidelines). The VLSBC Guidelines provide several tangible actions that represent 'good', 'better' and 'best' practice in supporting staff who work in legal settings (including lawyers and non-legal staff).
What public sector employers should be doing now
With the upcoming commencement of the Regulations, public sector employers should:
- become familiar with the Regulations and the Compliance Code
- proactively identify and assess psychosocial hazards by reviewing internal information such as work systems, policies, organisational or operational records (including employee feedback/surveys or incident data)
- ensure that a compliance and implementation team is able to facilitate organisation-wide engagement and consultation in relation to managing psychosocial hazards
- provide information to, and training for employees to raise awareness and convey workplace expectations in relation to expected standards of workplace behaviour, available supports and mechanisms for reporting psychosocial hazards and risks
- review current control measures to determine whether they are effectively eliminating or reducing risks associated with psychosocial hazards, and updating those measures as necessary.
How the VGSO can assist
Our dedicated OHS team has significant experience in advising Victorian public sector employers on managing psychosocial risks, and in acting for employers in relation to WorkSafe investigations, when criminal charges are filed and in challenging Improvement Notices through internal and external review.
Our team can:
- undertake a review and/or gap analysis of existing policies and procedures to identify areas of OHS risk management which may require strengthening in order to align with legal requirements and WorkSafe guidance
- develop risk assessment tools relating to psychosocial hazards
- provide information and training to leadership teams, People Leaders and Boards in relation to managing psychosocial hazards
- support employers with responding to compliance and enforcement action by WorkSafe in connection with alleged breaches concerning the management of psychosocial hazards.
Contact our team
If you have any queries regarding these changes, the VGSO's OHS team is on hand to provide tailored advice.
James Sofianos
Solicitor
james.sofianos@vgso.vic.gov.au
0498 649 226