Managing mental health in the workplace

We can’t overstate the impact of mental illness on Australian workplaces.

In 2023, a NSW Government survey of Australian workers revealed 70% of workers in small businesses experienced harassment and bullying in the 12 months immediately before the survey.

During the same period, workers from large organisations were found to experience a higher level of burnout associated with their job.¹

The importance of caring for your employees’ mental health

Reducing workers’ exposure to mental health hazards is as critical for employers as lowering the risk of physical injury or illness.

Things like bullying and harassment or exposure to violence can cause work-related psychological injuries. These injuries can be intensified by:

• poor workplace relationships
• working remotely or in isolation
• low/high job demand, and
• role clarity, or a lack thereof.²
  

Workers compensation for mental health

According to a Safe Work Australia report from 2024, mental health conditions were responsible for 9% of all serious workers compensation claims in 2021-2022. The report also mentions that mental health conditions represent 7% of all work-related injuries and illnesses.

This represents a 36.9% increase in claims since 2017-18, compared to an increase of 18.3% for all serious claims over the period.³

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How to care for your employees’ mental health

Employers can use various control strategies to reduce and manage risk and promote safe work environments for their employees.

Some of the recommendations below are based on a code of practice developed in 2019 to help promote and maintain mentally healthy workplaces for fly-in, fly-out (FIFO) workers in the Western Australian resources and construction sectors.⁴

Promotion

• Educate the workforce about what a mentally healthy workplace is and how they may contribute.
• Increase the capacity of both individuals and organisations to recognise and address mental health and wellbeing concerns.

Prevention

• Provide education and training to organisational leaders on how they can influence the development and maintenance of a mentally healthy workplace.
• Develop and implement policies and procedures that appropriately address psychosocial hazards and risk factors.

Intervention

• Educate organisational leaders on intervention strategies and how to implement them.
• Teach your workforce how to identify the early signs of distress and what to do once they’re identified.

Recovery and return to work

• Develop emergency response and crisis management plans that address mental health scenarios, including suicidal behaviour.
• Maintain at-work and return-to-work programs.

In July 2022, Safe Work Australia released a Code of Practice for managing psychosocial hazards at work. The code provides practical guidance and effective ways to identify and manage psychosocial risks.

Ask a workmate if they’re ok

If you’re concerned about someone’s mental health or wellbeing, talk to them. When you start the conversation, reassure them they’re not alone and offer the support they may need to seek professional help.

Consider Workers Compensation with GIO.

GIO’s Workers Compensation Insurance is available for businesses in WA, NT, ACT, and TAS. You’ll also receive support services for your business, including risk management and training courses. For more information, please get in touch.

Learn more about Workers Compensation Insurance

Read more:

• Why do I need Workers Compensation Insurance?
• Employee or contractor? Understanding the difference
• Is insurance tax deductible?

¹ WHS survey reveals increasing psychosocial harm at work | SafeWork NSW

² Safework Australia (2019), Work-related psychological health and safety – A systematic approach to meeting your duties.

³ Safe work Australia (2024), Snapshot: Psychological health and safety in the workplace (safeworkaustralia.gov.au).

⁴ WA Department of Mines, Industry Regulation & Safety (2019), Code of practice: Mentally healthy workplaces for fly-in fly our (FIFO) workers in the resources and construction sectors (PDF, 1.2MB).

⁵ SafeWork NSW (2021) Code of Practice, Managing Psychosocial Hazards at Work (PDF, 1040KB)

Insurance issued by AAI Limited ABN 48 005 297 807 trading as GIO. In NSW, GIO manages claims as agent for the Workers Compensation Nominal Insurer ABN 83 564 379 108, also known as icare workers insurance.