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Lead Believe Create with Susan Dunlop

Part 5: How did the Code of Practice for Psychosocial Hazard Risk Management Come About?

The Code of Practice for Psychosocial Hazard Risk Management in Australia came about as a response to increasing recognition of the significant impact psychosocial risks can have on workers’ mental health and overall wellbeing. The code aims to provide practical guidance for managing psychosocial hazards in the workplace, ensuring that employers and employees are aware of the risks and can take appropriate measures to prevent harm.

Defining Psychological Injury (Safe Work Australia 2024)

“Psychological injury or mental injury includes a range of cognitive, emotional, and behavioural symptoms that interfere with a worker’s life and can significantly affect how they feel, think, behave, and interact with others.” (Safe Work Australia, 2024)

Here’s a summary of how the Code of Practice came to be:

1. Recognition of the Impact of Psychosocial Risks

Over the years, the mental and emotional wellbeing of workers has gained increasing attention. Psychosocial hazards—such as workplace stress, bullying, harassment, and poor work-life balance—were being identified as major factors contributing to mental health issues in the workplace. These issues were often overlooked or not adequately addressed, leading to high rates of workplace injury, absenteeism, and disengagement.

Gallup’s State of the Global Workforce shares that Psychological injury is one of the fastest-growing concerns for businesses worldwide, and in Australia, it is particularly prevalent. Here’s a snapshot of the current situation:

  • 1 in 3 people experienced some form of bullying, harassment, or discrimination in 2023.
  • 52.2% of mental stress claims in 2021-2022 were related to work-related harassment, bullying, and work pressure.
  • Psychosocial injuries typically require 3x longer to return to work than physical injuries.

Research and data showed that:

  • Workers exposed to psychosocial hazards may experience lower morale, reduced productivity, and higher turnover, leading to negative impacts on overall workplace performance.
  • The manager or team leader plays the most significant role in driving employee engagement. In fact, Gallup’s findings indicate that the manager accounts for 70% of the variance in team engagement.

2. The Introduction of Work Health and Safety (WHS) Laws

In 2011, the Work Health and Safety (WHS) Act was introduced in Australia. This set out a duty for employers to protect the health, safety, and welfare of their workers, including managing risks related to psychosocial hazards. The WHS Act created a broader framework within which the risks of mental health, stress, and other psychosocial factors had to be considered.

Following the introduction of the WHS Act, the need for specific guidance on how to address psychosocial hazards in the workplace became evident.

3. Development of the Code of Practice

The Safe Work Australia (SWA) organisation, which is responsible for developing national standards and codes of practice for workplace safety, identified the need for a comprehensive guide on managing psychosocial risks. This led to the development of the Code of Practice for Managing Psychosocial Hazards.

  • The code was developed with input from various stakeholders, including industry representatives, unions, government bodies, and mental health experts. This collaborative approach helped ensure that the code addressed the real-world challenges faced by employers and workers.
  • It aimed to provide clear, practical guidance on how employers could identify, assess, and manage psychosocial hazards to prevent harm and promote a healthy work environment.

4. Implementation of the Code of Practice

The Code of Practice was finalised and published by Safe Work Australia to give employers and workers a clear framework for managing psychosocial risks. The document outlines how psychosocial hazards should be managed in the workplace, including:

  • Identifying and assessing psychosocial risks.
  • Implementing control measures to reduce or eliminate risks.
  • Providing support to workers who may be affected by psychosocial hazards.
  • Monitoring and reviewing the effectiveness of these measures.

The Code of Practice became a key resource for workplaces to meet their obligations under the WHS laws, helping to ensure that organisations foster environments that protect both the physical and mental health of workers.

5. Beyond Compliance: Creating a Positive Culture

While the Code of Practice sets a baseline for managing psychosocial risks, it is also recognised that moving beyond mere compliance to actively creating a supportive, engaging, and psychologically safe workplace is crucial. This is where frameworks like TED*®  and 3VQ® (The Empowerment Dynamic and The 3 Vital Questions) can help.

  • The TED*® framework helps shift the focus from drama and conflict to creativity, empowerment, and collaboration.
  • Our teaching goes beyond telling people what’s wrong and what to do; instead, we show our clients what’s going on beneath the surface within each of us, which is the root of why drama is our default way of operating in times of stress.
  • This shift not only addresses the core issues of psychosocial risk but also helps build a positive, high-performance culture.
  • 3VQ® empowers workers to take proactive control of their responses and actions, leading to healthier interactions, improved team dynamics, and a greater sense of wellbeing.

Conclusion:

The Code of Practice for Psychosocial Hazard Risk Management was developed to address the growing recognition that mental health and wellbeing are just as critical to workplace safety as physical health. It provides guidelines for employers to manage risks and ensure a safer work environment. By integrating this with frameworks like TED*® and 3VQ, organisations can move beyond compliance, fostering cultures that truly engage and empower employees, reducing risk and improving overall performance.

Are You Ready To Make A Shift In How Your Team Operates?

Begin with baby steps:

  • Purchase copies of the best-selling book, The Power of TED*® by author, David Emerald, co-founder of The Center for the Empowerment Dynamic. I say copies because this is about co-creating change. Offer a copy or audiobook to every member of your leadership team or your entire staff!
  • Next, engage in a 5-Step Action Planning Consult with me, encourage open dialogue, and embrace the empowering roles of Creator, Coach, and Challenger in your daily work. Lead the way for your team by becoming a role model for change.
  • To dive deeper into these concepts and start integrating TED*® and 3VQ® into your organisation, contact me for personalised coaching, workshops, and resources that will help you create the thriving culture your team deserves.

Ready to get started? Contact me today, and let’s discuss how we can build a better, more empowered organisation together!

Next: Part 6 – Did Covid Times Have Any Part in Why This Code of Practice Was Introduced?

Yes, the COVID-19 pandemic played a significant role in highlighting the need for better management of psychosocial risks in the workplace. This contributed to the increased urgency for developing the Code of Practice for Psychosocial Hazard Risk Management.

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