Occupational Health and Safety Act Update – Psychosocial Health

Effective December 1 2025, the Victorian Government has updated The Occupational Health and Safety Act 2004 (called the OH&S Act for short) to apply new requirements for employers to manage Psychsocial Hazards. The duties of an employer in the OH&S Act are to protect their employee/s from harm in the workplace by, so far as reasonably practicable, providing and maintaining a working environment that is safe and without risks to health. Currently this legislative change only impacts Victoria and Victorian Businesses.

The aim of these changes is to foster safer, inclusive, and productive workplaces by embedding psychological health in regulations.

Psychosocial Hazards are defined as and factor or factors in any of the following:

  • Work design
  • Systems of work
  • Management of work
  • Carrying out of the work
  • Personal or work-related interactions

That may:

  • Arise in the working environment, and
  • Cause an employee to experience one or more negative psychological responses that create a risk to their health or safety

Unlike other regulations, the OH&S Act does not have any minimum requirements attached for number of employees. Essentially, it states that: If you have one or more employees, you are an employer.

An employer can be a:

  • person
  • company
  • partnership, unincorporated association, franchising operation or not-for-profit organisation

Key Provisions in the Psychosocial update to the OH&S Act are:

Mandatory Risk ManagementEmployers must identify, assess, and manage psychosocial risks (e.g. stress, aggression, poor culture)
Hierarchy of ControlsPriority given to eliminating risks, if not practicable, risks must be reduced through work design, systems, or environment changes
Consultation RequirementsEmployers must consult employees, Health and Safety Representatives (HSR’s), and contractors on psychosocial hazards

Worksafe Victoria has developed a code of compliance to provide practical guidance for the Psychosocial Health update, prompting employers on how to comply with their duties under the OHS Act and OHS Regulations in relation to psychological health. The Code gives examples of psychosocial hazards and what these can look like in the workplace. For example:

  • high job demands can look like tasks or jobs with unpredictable shift patterns or work hours, high workloads or emotionally or cognitively demanding work tasks
  • low job control can look like excessive monitoring of work tasks, or little control over how work is done
  • sexual harassment or gendered violence can look like offensive language being used and offensive imagery being displayed at work.

The Code includes example risk control measures, including for situations where risks may not be able to be eliminated entirely and therefore must instead be reduced. The Code also gives practical examples of ways for employers to report and respond to incidents of psychosocial hazards as well as ways to encourage employee reporting.

With the new psychosocial health obligations now in effect for Victorian employers, it’s critical to understand how these changes apply to your workplace. Taking a proactive approach now can help you meet your legal duties, reduce risk, and foster a safer, more productive environment for your people.

If you’re unsure whether your current policies, risk management processes, or workplace practices align with the updated OH&S Act, now is the time to review them. Speak with our team to assess your obligations, identify potential psychosocial risks, and put practical controls in place to support compliance and protect your workforce.

Useful links:

Worksafe FAQ page abut Psychosocial Legislation Changes: Psychological health regulations – Frequently asked questions | WorkSafe Victoria

Worksafe Psychological Health landing page: Psychological health | WorkSafe Victoria

Disclaimer:

This information is for general advice only. Please consult the Worksafe Victoria website to understand specifically how these and other important safety legislation apply to you and your business.

About the Author
Jackson Wilson, Melbourne
Jackson is the People and Culture Manager at Accru Melbourne, bringing over 10 years of experience in end-to-end Human Resources management across Corporate, Professional Services, and Retail sectors. He combines operational and strategic expertise with a strong focus on business partnering, helping to upskill and coach managers to maximise team performance through enhanced engagement.
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