You may be one of MANY that are awakening to the news of new legislation and laws around Psychosocial Safety in the workplace under the new Worksafe regulations. 

The difference between Victoria’s long history with physical workplace safety laws and the current rollout of psychosocial safety regulations is stark. The Occupational Health and Safety Act was first introduced in 1985, laying the groundwork for employer duties to provide safe working environments. This was strengthened by the Occupational Health and Safety Act 2004, which gave WorkSafe inspectors the power to conduct unannounced workplace checks, issue improvement or prohibition notices, and prosecute breaches. 

From the mid-2000s, these laws were backed by hard‑hitting advertising campaigns. Graphic TV ads showing accidents, radio spots, posters, and slogans like “Any injury, every workplace” made workplace safety unavoidable in the public consciousness. Penalties escalated in step with this visibility, culminating in 2020 with the introduction of workplace manslaughter laws carrying multi‑million‑dollar fines and jail terms for officers.

By contrast, the new psychosocial safety regulations coming into effect in December 2025 feel abrupt and under‑promoted.

There has been little in the way of widespread advertising or public education campaigns, and penalties are being introduced from day one. 

Businesses are being told they must now manage risks like stress, bullying, and workload in the same way they manage physical hazards, but without the decades‑long cultural buildup and visible campaigns that underpinned physical safety reform. 

Why this may feel overwhelming

Unlike physical safety risks, psychosocial hazards are less visible. Stress, burnout, bullying, or poor workload management don’t show up on an X-ray. And yet the costs are real: lost productivity, higher turnover, compensation claims, and in some cases, litigation. Australia is catching up late compared to Europe and Canada, and that’s partly why the pace feels rushed.

Regulators are pushing to close the gap quickly, and penalties are already written into law.

What the government has provided so far

Even though the public advertising has been minimal, there are already a number of resources available online:

• Occupational Health & Safety (Psychological Health) Regulations (Vic) – the legislative requirements coming into effect.
• Victorian Mentally Healthy Workplaces Framework – a practical guide to promoting, protecting, and responding to mental health at work.
• WorkSafe Psychological Health Portal – a hub for psychosocial hazards, industry-specific guidance, and updates.
• Tools and Templates – including a small business self-assessment tool, action plan templates, and fact sheets.

Later in 2025, a detailed Compliance Code and industry-specific guidelines will be provided, which will provide more prescriptive instructions. It’s important to note that using these resources doesn’t automatically make you compliant, but they are the best starting point.

Common questions from businesses

A lot of employers describe this as a minefield, especially because mental health can feel like something personal, something you can’t control. Below are the questions we hear most often:

Are we now responsible for every employee’s mental health?

No. You are not expected to manage or treat individual mental health conditions. What you are responsible for is ensuring that your workplace is not unsafe from a psychological point of view, and that your practices do not cause or worsen psychological injury. Think of it in the same way as physical safety: you don’t need to cure someone’s bad back, but you do need to make sure your staff aren’t lifting heavy boxes without training or equipment.

Do these rules apply to small businesses?

Yes. The regulations apply to all businesses in Victoria, no matter the size or whether you have HR staff.

Do I need to hire a psychologist to comply?

No. Compliance is not about having in-house clinicians. It’s about having clear roles, fair workloads, respectful communication, and safe processes to manage issues when they arise.

Is this going to be expensive?

Not necessarily. Many of the changes are cultural and procedural, such as running team check-ins, training managers in mental health literacy, or making reporting processes transparent. These are low-cost actions that can have a significant impact.

What’s the simplest step to start with?

Draft a psychosocial risk policy, train your managers, and use the self-assessment tool to identify gaps. Small, consistent actions build momentum and reduce risk.

Practical first steps

1. Do a gap check using the self-assessment tool.
2. Assign leadership accountability so it doesn’t get lost in the day-to-day.
3. Consult with staff on workload, role clarity, and culture.
4. Refresh policies on bullying, complaints, and flexible work.
5. Train managers to have safe, wellbeing conversations.

 Early intervention is key. Employee Assistance Programs (EAP counselling), mental health first aiders, and structured return-to-work supports can reduce the risk of claims and help staff recover faster.

How The Team Approach can help

At the Team Approach, we have been publishing articles, speaking at events and via our social media channels, trying to get the word out constantly about these upcoming changes.

Our goal has always been to help create mentally healthy and wellbeing focused organisations, because we know the facts. It is not only a proactive people-focused agenda- statistics show that profits rise, retention goes up, sick days go down, teams succeed, the list goes on. 

We know the rollout has left many employers feeling on edge. That’s one of the reasons we built The Team Approach App this year. The app was designed specifically to support the new legislation and provide an ongoing wellbeing solution. It includes psychosocial safety audits, resources, and tools for employees, making compliance and culture-building part of everyday operations. Best of all, it is free of charge for organisations we work with. 

Recent case study: A local business experienced an incident that highlighted the need for immediate support and triggered our involvement. While the HR team was aware of the upcoming psychosocial safety changes, they felt overwhelmed and underprepared. We conducted a workplace audit, provided tailored recommendations, and have since become their preferred EAP provider. This partnership includes regular workplace check-ins, optional workshops, and access to our support App for all staff.

Employees who want counselling or assistance are connected with our team of qualified counsellors and coaches. Importantly, our services are tailored to align with each business’s budget and specific requirements.

Final word

While the changes might feel abrupt, they are ultimately about creating healthier, safer workplaces. If you start now, pace your changes, and use the frameworks already available, you’ll not only reduce your compliance risk but also create a workplace where staff feel valued and supported.

And if you need a hand navigating it all, reach out to The Team Approach. We can help you implement changes and provide tools that keep your workplace safe, both physically and psychologically.

You can also check out our extensive articles and helpful information here.