Is Your Business Ready? Victoria’s New Psychosocial Hazards Start 1st December

Here we go again… another law you can’t ignore

We know you’re probably thinking about winding down for the year, maybe even eyeing off the Christmas party menu. But hold up. Before you mentally check out, there’s a big change landing on 1 December 2025 that every Victorian employer needs to have on their radar.

We’re talking about the Occupational Health and Safety Amendment (Psychological Health) Regulations 2025. It’s a mouthful, but here’s the simple version:

From 1 December, you’ll need to manage risks to mental health at work the same way you manage physical ones.

Stress, burnout, job pressure, isolation, dodgy management, unresolved beef between team members—if it can mess with someone’s head at work, it’s now legally your problem.

And yep, that means real action, not just a fridge magnet with the EAP number.

Let’s break down what’s changing, what counts as a psychosocial hazard, and what you need to do to get your business sorted before the deadline.

What are psychosocial hazards? (The legal kind, not just office drama)

Psychosocial hazards are work-related factors that can cause psychological harm. Think of them like the silent productivity killers you can’t see, but definitely feel.

Here’s what we’re talking about:

• Bullying, harassment, exclusion
• Unrealistic workloads or deadlines
• Exposure to trauma or disturbing content
• Job insecurity or zero clarity on expectations
• Crappy management
• Lone work or remote isolation
• Lack of support or supervision

If something at work is likely to send someone into a spiral, it counts.

The regulations define it as anything in the design, organisation or management of work that causes a negative psychological response and creates a health and safety risk.

That includes things like burnout, anxiety, and emotional distress—and you’re now legally required to do something about it.

Why now?

Because mental injury claims are exploding. In Victoria, nearly 1 in 5 WorkCover claims is for psychological injury and that stat’s heading north.

In response, the Victorian Government is turning the dial up on psychological safety, making it just as important as physical safety. No more treating mental health like a nice-to-have.

This isn’t a wellbeing initiative. It’s law.

So if you’ve been ignoring the warning signs or hoping “resilience training” will cut it sorry but you’re going to need to do more.

What the new regulations require (in plain English)

From 1 December 2025, all Victorian employers must:

✅ Identify psychosocial hazards in the workplace
✅ Eliminate them if you can
✅ If not, control the risk properly (no half-baked fixes)
✅ Consult employees and HSRs throughout
✅ Regularly review and update your controls

Basically, you’re expected to take the same approach to mental risks as you would to a faulty ladder or toxic spill.

So what actually is a psychosocial hazard?

Here’s a breakdown:

Category	Examples
Work Design	Excessive workload, tight deadlines, low control, shift work
Management Style	Micromanagement, unclear expectations, zero support
Environment	Isolated work, constant noise, no chill-out space
Relationships	Bullying, exclusion, unresolved conflict, passive-aggressive Slack messages
Exposure	Dealing with trauma, abuse, or emotionally disturbing stuff

Each one of these has the potential to mess with someone’s mental health—so you’re now expected to identify them, manage them, and fix what you can.

What’s changing? (A quick before-and-after)

Old Way	New Law
Mental health = HR issue	Now it’s a health and safety duty
Reacting to complaints	Now you need to prevent them happening
Training and EAP = done	Nope. You need proper risk controls
Fuzzy legal obligations	Crystal clear duties and definitions

What your business needs to do now

Here’s your 8-step reality check:

1. Know your obligations

This applies to all employers, regardless of size. No loopholes. No excuses.

2. Do a psychosocial risk assessment

Start with the usual hotspots:

• Team conflict
• Burnout zones
• Roles with high turnover
• Customer-facing trauma
• Isolation or lone work

3. Update your policies

You’ll need a Psychosocial Hazards Policy or a serious update to your OHS or wellbeing policy. It has to reflect your legal duties, not just your good intentions.

4. Control the risks (properly)

Use the hierarchy of controls. Redesign roles, improve systems, fix culture issues, manage workload. Don’t just offer yoga or cupcakes.

5. Train your leaders

Teach your managers to spot the risks and actually manage people properly. This is where most businesses fall down.

6. Consult your team

You must engage your employees and health & safety reps when identifying hazards, creating plans, or reviewing controls. Keep records, WorkSafe loves a paper trail.

7. Start a hazard register

Track all identified psychosocial hazards, the controls you’ve put in place, who’s responsible, and when you’ll review them.

8. Review, review, review

Whenever there’s a change such as a new role, restructure, complaint, incident—you need to review and update your controls.

What happens if you don’t?

Well, you could be in the firing line for:

• Enforcement from WorkSafe
• OHS Act breaches
• Civil claims from employees
• Higher WorkCover premiums
• A rep hit to your culture, retention and brand

So yeah, don’t let this one slip.

FAQs (Because yes, this applies to you)

Does this apply to small businesses?
Yes. If you’ve got people, you’ve got psychosocial risks and legal obligations.

Is training enough?
Nope. You need proper risk controls. Training and EAP are support tools, not fixes.

Are contractors and casuals included?
Yes. These laws cover everyone in your workplace even your contractors and labour hire staff.

How do I prove I’m compliant?
With evidence. Think:

• Risk assessments
• Policies
• Consultation notes
• Training records
• Hazard registers
• Action plans

Will WorkSafe do spot checks?
You bet. If there’s a complaint or an incident, they’ll want to see that you’ve done the work.

The bottom line

This is your chance to get ahead. Victoria’s new psychosocial hazards regulations are a big deal and they’re coming in fast.

From 1 December 2025, psychological risk is a health and safety issue, not just an HR one.

Get your ducks in a row now:

• Do the risk assessment
• Build or update your policies
• Fix the actual problems (not just the symptoms)
• Train your leaders
• Keep records

Need help making sense of it all? We’ve got you.
This is what we do cut through the noise, simplify the scary stuff, and make compliance feel doable.

Let’s make your workplace mentally safe and legally sorted.

Further resources

WorkSafe Victoria – Psychosocial hazards

Safe Work Australia – Model Code of Practice

Vic Gov – Mentally Healthy Workplaces