19 March 2026 posted by Recovery Partners

Psychosocial safety in NSW is garnering significant regulatory attention with SafeWork NSW introducing a new team of specialised mental health inspectors as part of their $344 million Workplace Mental Health package. This initiative supports a greater shift towards stronger enforcement of psychosocial risk management and injury prevention in the workplace. For employers, these changes aim to protect workers and prevent workplace psychological injuries from progressing to workers compensation claims. Additionally, it reinforces the expectation that a worker’s psychological health and safety must be managed alongside physical risks.

A New Focus on Psychosocial Safety in NSW

 

The appointment of 51 new inspectors by SafeWork NSW, including 20 focused on psychosocial risks, represents a significant investment in improving psychosocial safety in NSW. This decision has been made not only to increase awareness, but to move towards more proactive inspections and stronger enforcement. Considering this, employers should expect an increase in engagement from regulators, particularly in industries or workplaces where psychosocial risks are more likely to occur.

What Will Psychosocial Safety Inspectors Focus On?

 

The new inspectors will assess how organisations are managing psychosocial risks within their workplace. This includes:

  • Conducting workplace inspections and audits.
  • Responding to complaints and reported incidents.
  • Reviewing risk assessments and control measures.
  • Issuing on the spot fines where required.
  • Providing guidance to help support compliance.
  • Assisting employers in meeting their return-to-work obligations.

During inspections, particular attention is likely to be given to risk areas such as workload pressures, bullying and harassment, poor role clarity, and exposure to traumatic or high-stress work environments.

What This Means for Employers?

 

These changes by SafeWork NSW will mean that there will be an increased focus on psychosocial safety in NSW with several practical implications. There is now a higher likelihood of inspections being carried out, either proactively or in response to concerns raised. Employers will need to demonstrate to inspectors that psychosocial risks in their workplace are being managed in a structured and consistent manner. This means that employers must not only acknowledge the risks but be able to show clear evidence of assessments, controls and ongoing reviews.

How to Strengthen Your Approach to Psychosocial Safety in NSW

 
  1. Identify and assess risks by understanding the psychosocial hazards within your workplace and ensure that assessments are documented.
  2. Implement effective controls by focusing on addressing the root cause of the risk.
  3. Build leadership capability by equipping managers with the skills to identify early signs of risk and respond appropriately.
  4. Review policies and processes to ensure they are clear, practical and consistently applied across the organisation.
  5. Monitor these systems by consulting with workers and regularly reviewing whether control measures are effective.
  6. Seek specialist support by engaging experienced providers to help identify psychosocial hazards, conduct risk assessments and strengthen your organisation’s approach to psychosocial safety.

The increased regulatory focus on psychosocial safety in NSW is an important reminder that psychological health and safety is a core part of workplace safety compliance. Employers who take proactive approaches to managing psychosocial risks will be better positioned to not only meet regulatory expectations and reduce organisational risks but support the wellbeing of workers.

Want to find out more?

 

Our services are available nationwide. Our consultants love to have a chat, so go ahead and give us a call on 1300 OHS RTW (647 789) or email enquiries@rrp.com.au

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Disclaimer – these articles are provided to supply general safety information to people responsible for OHS in their organisation. They are general in nature and do not substitute for legal and/or professional advice. We always suggest that organisations obtain information specific to their needs. Additional information can be found at https://www.safeworkaustralia.gov.au/