From 1st December 2025, new psychological health regulations will come into effect in Victorian workplaces. These regulations recognise that psychosocial hazards are just as important as physical hazards, creating new obligations for employers to identify, assess and control risks linked to psychological harm.
The Psychological Health Regulations 2025 are a significant step forward in addressing a growing issue.
In 2024–25, 17% of all WorkCover claims were mental injury claims, a number expected to keep rising, according to WorkSafe.
These changes are particularly welcome in industries and jobs that face high exposure to psychosocial risks.
"Employers have had a duty to provide a psychologically safe and healthy workplace, so far as is reasonably practicable, since the commencement of the OHS Act in 2004. In reality how to meet this duty has been little understood and poorly controlled. The key reform in the new regulations is to provide a pathway to applying the hierarchy of control to psychosocial hazards to better reduce the risk.", says Dominic Melling, OHS Lead Organiser at the Victorian Trades Hall Council
What is a psychosocial hazard?A psychosocial hazard is anything in the design, management or carrying out of work or in workplace interactions, that may lead to negative cognitive, emotional or behavioural responses, creating a risk to a worker’s health and safety. In the workplace, this can include: • harassment, aggression or violence Source: WorkSafe Victoria & Psychological Health Compliance Code. |
Which industries are more exposed to psychosocial hazards?
Some industries experience far higher levels of psychosocial risk because of chronic understaffing, intense workload pressure, emotional labour, or entrenched poor workplace cultures.
Healthcare and social assistance, for example, are among the most affected sectors: mental stress is the second most common cause of injury, representing 23% of all claims in this industry, behind body stress (40%) and ahead of falls, trips, and slips (19%), according to WorkSafe’s Annual Report. Frontline health workers are particularly affected.
"The employer’s new duty to first consider the implementation of higher order controls means that emphasis should shift to identifying and fixing the root causes of harm, rather than treating the symptoms.", states Dominic Melling.
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Nurses are five times more likely than other workers to make a claim for injuries linked to violence. |
Education, emergency services, hospitality, retail, transport, logistics and disability or community services also face higher exposure to psychosocial hazards. These environments often combine high emotional demands, unstable staffing levels, exposure to trauma, and frequent contact with the public, where aggression or unpredictable behaviour can occur.
Together, these factors create conditions where psychological harm can more readily develop, making preventive regulation essential.
Isolated, marginalised: some workers are at higher risk
Not all workers face psychosocial hazards in the same way. Women and gender diverse people in male-dominated industries are more likely to encounter bullying, discrimination, and gendered violence, all recognised psychosocial hazards under the new regulations.
The risk also increases for workers who are isolated, whether physically (working alone or remotely) or socially (being the only woman or minority in a team).
"The groups most at risk include those employed in arrangements that exacerbate the structural inequity already inherent in most employment relationships. This includes workers insecure work (casual, labour hire, gig contractor), those entering the workforce, migrants and particularly those on temporary visas and those industries which are undervalued.", observes Dominic Melling.
Young workers may also be disproportionately affected when they lack experience, mentoring or clarity about their role. Meanwhile, workers in precarious jobs, such as casuals or short-term contractors, may hesitate to speak up about unsafe conditions, increasing their vulnerability.
The new regulations explicitly require employers to consider and control hazards affecting these particular groups, acknowledging the unequal distribution of risk in many workplaces.
The long-term impact of psychological injuries
Psychological injuries often lead to longer periods away from work than physical injuries. Last financial year, only 42% of workers with a mental injury returned to work within six months, compared with 75% of workers with a physical injury, according to the Premier's cabinet.
These injuries can affect confidence, ability to work, financial stability, and long-term wellbeing. The new regulations aim to reduce the likelihood of such long-term harm by requiring earlier, proactive intervention.
"The new regulations are a direct result of sustained union campaigning. Unions exist to advance workers’ pay and conditions, and fundamental to this is the right to return home from work each day, safe and healthy.", adds Dominic Melling.
What must employers do?Under the new Psychological Health Regulations 2025 and the Compliance Code, employers must: • identify psychosocial hazards through consultation, reporting channels and risk assessment • assess the level of risk, including the likelihood and potential severity of harm • eliminate risks, or if elimination is not reasonably practicable, reduce them using higher order controls • review control measures regularly to ensure they are effective • consult HSRs and workers throughout the process This means workers should see clearer processes for raising concerns, stronger responses to incidents, better workload management, trauma-informed approaches, and safer workplace cultures.
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