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Assessing the Risk of Psychosocial Hazards in the Workplace

Psychosocial hazards in the workplace refer to factors that impact an employee’s psychological health and well-being. Psychosocial hazards can lead to reduced productivity, increased absenteeism, and a negative work environment.  This article will outline how assessing these hazards is crucial for your employees’ well-being and your business’s organisational success. 

Understanding and managing psychosocial hazards in your workplace is essential due to the unique challenges many modern workplaces face. Prioritising the psychological health of employees not only enhances individual resilience but also contributes to a more productive and sustainable work environment.

What Are Psychosocial Hazards?

The SafeWork Australia model WHS Regulations define a psychosocial hazard as a hazard that may cause psychological harm (whether or not it may also cause physical damage). They arise from or relate to:

  • the design or management of work;
  • a work environment;
  • plant at a workplace; or
  • workplace interactions or behaviours.

Psychosocial hazards in the workplace encompass various factors that affect employees’ psychological well-being and social interactions within their work environment. These hazards are defined by the interaction between work’s social and psychological aspects, potentially leading to adverse effects on employees’ mental health. Common examples include but are not limited to:

  • stress, which can arise from excessive workload;
  • lack of role clarity;
  • inadequate support systems;
  • inadequate reward and recognition;
  • remote or isolated work;
  • bullying and harassment;
  • poor Physical environment; and
  • poor workplace relationships.

The impact of psychosocial hazards extends beyond mental health, affecting physical well-being as well. Prolonged exposure to stress may contribute to conditions such as:

  • anxiety; 
  • depression; and
  • post-traumatic stress disorder. 

These conditions can lead to a range of health issues, including an increased risk of cardiovascular problems. Additionally, these hazards can result in decreased productivity, absenteeism, and strained workplace relationships.

What Are Your Duties?

Under the model WHS Regulations, an employer or persons conducting a business or undertaking (“PCBUs”) must: 

  • identify reasonable hazards; 
  • eliminate psychosocial risks as reasonably practicable; or
  • if unable to eliminate these risks, minimise these risks as far as reasonably practicable. 

Your organisation should recognise and address psychosocial hazards to foster a healthy work environment, promoting employee well-being and overall success. Implementing the preventive measures listed below can help foster a positive work environment:

  • clear policies; 
  • support systems; and 
  • training programs.
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How to Best Identify the Risks in Your Workplace

In order for your business and people within your business to determine what is reasonably practicable to control, you must first be able to identify and assess risk in your workplace. 

To identify psychosocial risks in your workplace, you may like to consider unique aspects of your industry, work processes, and company culture. Engaging employees through:

  • surveys; 
  • focus groups; and 
  • feedback sessions.

These methods can provide valuable insights into their experiences and perceptions, helping identify potential hazards.  In addition, analysing the following trends in your workplace can help indicate psychosocial issues:  

  • monitoring absenteeism rates;
  • turnover; and 
  • performance indicators

Analysing these trends can highlight areas of concern and guide intervention strategies. Regular communication channels, such as employee assistance programs and confidential reporting mechanisms, can encourage individuals to disclose concerns about psychosocial hazards.

Best Methods for Assessing Psychosocial Hazards in the Workplace

For you to best assess any psychosocial risk in your workplace, you should consider the following: 

  • the possible workers affected by these risks;
  • how long will your workers be exposed to the hazards or risks;
  • how often will your workers be exposed to the relevant hazards or risks; and
  • what is the severity of these hazards or risks?

For example, if your workplace permits remote work, you should consider how long your employee works remotely or in isolation. There may be a higher risk of a psychosocial hazard relating to workplace isolation or remote work from an employee who works almost entirely remotely to one who works remotely sporadically.

Rather than considering psychosocial risks individually, it is beneficial to consider them collectively. Your workers may encounter one or more psychosocial hazards at any time, which may interact or combine. Examples of this may include the following: 

  • a worker being exposed to aggressive behaviour from a client will be more likely to be harmed due to the psychosocial hazard if there is no support system or they do not have the control to de-escalate the situation; and
  • a worker being subject to a high level of stress and demand for a longer period will likely be at a higher risk than that of an employee subject to the same stress level for a shorter period of time. 

Key Takeaways 

As an employer, you should remember some key things moving forward.  Firstly, psychosocial hazards in the workplace that affect employees’ psychological well-being can result in reduced productivity, increased absenteeism, and a negative work environment.  Secondly, examples of psychosocial hazards include stress, lack of role clarity, inadequate support systems, bullying, and harassment.  And thirdly, prolonged exposure to psychosocial hazards can affect physical well-being, leading to conditions such as anxiety, depression, and post-traumatic stress disorder.

If you need assistance, LegalVision’s experienced employment lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 1300 544 755 or visit our membership page.

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Matthew McKeon

Matthew McKeon

Lawyer | View profile

Matt works in LegalVision’s Employment team, graduating from the Australian National University in 2021. Matt has experience as a workplace relations advisor and in recruitment. This experience prompted Matt’s interest in workplace law and ensuring clients take pragmatic approaches to their employment needs.

Qualifications:  Bachelor of Laws (Hons), Graduate Diploma of Legal Practice, Australian National University.

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