Complying with Victoria’s New Psychological Health Regulations

Flint’s Quick Reference

Will this impact my business?  – if you employ anyone who primarily works from Victoria, or use contractors in Victoria regularly – YES

Do I need to do anything? YES – you need to develop, document, and carry out a systematic risk assessment and management process.

When do I need to do it by?  – You need to act now – the new regulations commence on 1 December 2025

What happens if I don’t? Increased risk of WorkSafe Victoria investigations, provisional improvement notices (PINs), and, in cases of serious or ongoing failure, prosecution and regulatory penalties.

Exploring the new regulations

Occupational Health and Safety (OHS) compliance in Victoria is undergoing a significant shift with the commencement of the Occupational Health and Safety (Psychological Health) Regulations 2025 on 1 December 2025.

The goal of the regulations is to strengthen OHS laws to better protect employees from work-related mental injuries. As reported by the Victorian Premier, psychosocial hazards such as bullying, sexual harassment, aggression or violence, and exposure to traumatic events or content continue to cause significant harm in Victorian workplaces. Workers are being encouraged to report injuries early and ensure they receive immediate treatment, which means that WorkCover claims for mental injury in Victoria are high.

The new regulations aim to reduce the incidence of workplace mental injury by formalising and strengthening an employer’s existing duty of care to protect the mental well-being of their employees. The fundamental duty of employers remains to provide and maintain a safe working environment without health risks; however, this duty now expressly includes the identification, management and control of ‘psychosocial hazards’.

The regulations apply to all employers of workers who primarily work in Victoria.

Understanding Psychosocial Hazards

A psychosocial hazard is any factor arising from the way work is designed, managed, or carried out that may cause an employee to experience a negative psychological response and create a risk to their health or safety.

Examples of psychosocial hazards provided by WorkSafe Victoria include:

  • Bullying, aggression, or sexual harassment
  • High or low job demands
  • Low job control or clarity
  • Poor support or poor workplace relationships
  • Poor environmental conditions
  • Poor organisational change management
  • Remote or isolated work.

Compliance Code: Psychological Health

WorkSafe Victoria has provided the Psychological Health Compliance Code to assist employers in complying with their new obligations. It sets out a systematic approach to risk management across four stages, with employees or a health and safety representative being consulted at each stage. Flint has provided an easy reference guide to the Code below.

An employer who complies with the Psychological Health Compliance Code will, to the extent it deals with their duties or obligations under the OHS Act or Psychological Health Regulations, be taken to have complied with those duties or obligations.

Employers need to take steps now

Compliance with the new regulations requires employers to take a dedicated and proactive move to integrate the cycle of hazard identification, risk assessment, risk control and review into their workplaces. This is more than just a form-filling exercise and may fundamentally change the way some organisations carry out their work and operate, if psychosocial risks are identified.

Employers must develop processes using the Compliance Code to guide each stage. All steps taken by employers should be fully recorded and documented, and, most importantly, employee consultation must take place at each stage.

Properly documenting your process and the actions you have taken is vital in case you have a WorkSafe Victoria Investigation.

Bearing in mind the start date of 1 December, there is a steep learning curve for employers and a lot to do. Flint can help you to develop a system that complies with the regulations and works for your business and employees – just reach out.

Flint’s easy reference guide

This is a reference guide only and not legal advice. We recommend that you read the Compliance Code in full and get legal advice if you need further information.

Compliance Stage Legislative Requirement Matters you need to consider How employers should approach this stage
Identify Hazards Employers must proactively identify psychosocial hazards in the working environment.

Link to the Code (Part 3 Step 1).

  • Think broadly about potential hazards.
  •  Consider your type of organisation, size and location
  •  Take into account environmental conditions, the products or services offered, or organisational activities.
  •  Assess your employees’ skills and attributes against the job requirements.
  •  What sort of workplace relationships and culture are in place?
  •  What is the workload like for your employees?
  • Are there any external factors, such as market changes or legislative changes, that may impact employee mental health?
  • How do hazards combine and interact?
Use Appendix B of the Compliance Code to help you work through hazard identification.

Employees or the HSR must be consulted.

  • Review operational and organisational records, for example, work systems, productivity, leadership capability, and employee surveys.
  • Review HR information, for example, hours worked, absenteeism, turnover and exit interviews.
  • Review OHS information, for example, hazard and incident reports, employee complaints, safety committee meeting records, and workers’ compensation claims.
  • Observe the workplace and assess job-specific requirements.
  • Keep written records of information you have reviewed.
  • Validated psychosocial hazard identification tools (eg surveys) can help, but do not replace the need for employee consultation.
Assess Risks An employer must, so far as is reasonably practicable, eliminate any risk associated with a psychosocial hazard.

Link to the Code (Part 3 Step 2)

Employers need to determine the seriousness of the risk by considering both the:

  • likelihood of harm occurring
  • consequences for affected employees and others.

Employees or the HSR must be consulted.

Focus on psychosocial hazards that are likely to cause the most harm:

  • Where employees are exposed to the hazard for extended or prolonged periods.
  • Where employees experience intense exposure to the hazard.
  • Where employees are frequently exposed to the hazard.
  •  Where the risk is less likely to eventuate, but if it did, the consequences would be very serious or catastrophic.
  • Consider interacting hazards together, rather than in isolation.

Take into account additional risk factors such as new employees or young workers.

Control Risks An employer must, so far as is reasonably practicable, eliminate any risk associated with a psychosocial hazard.

Link to the Code –Part 3 Step 3

  • Eliminate the risk so far as is reasonably practicable; if elimination is not possible, the risk must be reduced so far as is reasonably practicable.
  • Reduction steps could include altering the management, systems of work, plant environment, workplace environment or work design.
  • Information, instruction or training may only be used as a risk control measure where practical control measures are not reasonable in the circumstances.
Employers must do what a reasonable person who is committed to the highest level of protection against risks to health and safety would do in the circumstances. 

  • Reducing or eliminating a risk may involve a number of different control measures.
  • Prioritise practical, systems-based controls.
  • Consult with employees about implementing risk controls
  • Consider short-term measures to quickly reduce risks (eg use temporary contracted workers to reduce workload whilst recruiting other employees).
  • Once implemented, a procedure must be put in place to monitor and maintain the risk control measure.

Employees or the HSR must be consulted.

Review and Revise An employer must review and, if necessary, revise any measures implemented to control risks associated with any psychosocial hazard.

Link to the Code – Part 3 Step 4

Risks must be reviewed when certain circumstances occur, for example:

  • Before changes are made to a process that will likely change the psychosocial hazards
  • If a psychosocial injury is reported
  • After an incident occurs
  • After receiving a request from an HSR.
The people reviewing risk control measures need to:

  • have the authority and resources to conduct the review thoroughly
  • be empowered to recommend changes where necessary.

How a review is conducted will vary depending on the situation. For example, in some cases, a brief analysis may be sufficient. At other times, a documented, in-depth review may be required.

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