An employer’s best practice guide to implementing effective controls in psychosocial risk management
Insights.
Eliminating psychosocial risks in the workplace is the ideal course of action. If this isn’t possible, organisations should still take steps to minimise these risks as much as reasonably possible through planning, prevention and implementing effective controls.
By understanding the best ways to implement effective controls, leaders can take a proactive approach to navigating psychosocial risks and create safer workplaces.
To help organisations build effective psychosocial risk management processes, we recently ran a three part webinar series. In the second instalment of the series, we spoke with Mark Oostergo (Chief Executive & Workplace Psychologist at Australian Psychological Services) and Katherine Morris (Health and Safety Specialist and Partner at Norton Rose Fulbright). They discussed:
- Moving beyond task-based thinking: Addressing the entire psychosocial process.
- Incorporating trauma-informed and person-centred approaches in incident investigation.
- The necessity of evidence-based controls: What works and why?
Watch the full recording here, or catch up on the highlights below.
Why implementing effective risk controls matters
Across all states and territories, and even at a national level, regulators are putting measures in place to ensure organisations prioritise employee health, wellbeing and safety.
From the Work Health and Safety (WHS) Act to local codes of practice and even international standards (such as ISO 45003), these regulations offer guidance to ensure companies manage psychosocial risks and implement control measures effectively.
Katherine shared that recent case law reveals that regulators aren’t afraid to take enforcement action against organisations that are failing to comply. This can range from issuing prohibition notices and improvement notices all the way through to the highest level of action, prosecution.
“In the WHS Act case law, the regulator is bringing prosecution to companies breaching this legislation, specifically around the general duty to ensure the health and safety of workers so far as reasonably practicable,” explained Katherine.
One main area of investigation for regulators has been the way HR processes are undertaken and rolled out by organisations. If these processes aren’t handled correctly, psychosocial risks might not be effectively mitigated, and in some cases, these processes can cause negative outcomes for affected employees.
“A recent case that was brought against a Commonwealth department actually alleged that the government department had breached its primary duty of care to minimise or eliminate risks to health and safety by not ensuring regular in-person health and welfare checks were conducted. The specifics of this case included failing to refer the person for a formal mental health assessment and failing to ensure a mental health assessment was conducted in person or via video conference.”
Katherine Morris, Health and Safety Specialist and Partner at Norton Rose Fulbright.
However, by learning how to implement best practice risk controls, organisations can safeguard themselves against enforcement actions and proactively foster a safe, supportive and healthy workforce.
Four best practice tips for implementing effective risk controls
1. Adopt a holistic approach to tackling psychosocial risks in the workplace
These are a wide range of psychosocial risks and hazards that can be present in the workplace, covering everything from a lack of role clarity to poor support from supervisors and even exposure to violent or traumatic events. If left unchecked, these hazards can cause a number of negative consequences for both individuals and organisations, including:
- Mental health disorders, such as anxiety and depression
- Physical health problems, such as chronic fatigue or cardiovascular issues
- Reduced productivity
- Increased absenteeism and turnover
- Counterproductive work behaviours
- Workplace conflict
- Burnout
- Poor organisational reputation
- Workplace accidents
But in order to put effective controls in place, organisations need to ensure these psychosocial risks are approached holistically. That’s because most of these psychosocial hazards have a cumulative impact on employees, meaning approaching them in isolation won’t be an effective way to reduce risks or potential negative outcomes.
“Psychosocial risk is not linear in nature… If we take something like exposure to trauma, we know that the risk of harm is exacerbated by a number of other factors, like co-worker support, organisational justice or supportive leadership. The research is clear: if organisational justice or supportive leadership are low, the risk of developing psychological harm increases. If we just look at exposure to trauma in isolation, we’re missing those other aspects of the process that may increase the risk of harm.”
Mark Oostergo, Chief Executive & Workplace Psychologist at Australian Psychological Services
One of the best ways to take a holistic approach when implementing risk controls is to bring staff on the journey through a consultation process. As Mark explains, “For me, engaging with the workforce to understand what their experience of work is like and how risk is manifesting is critical. This data is so rich and able to inform on what a company can do differently to best support their people.”
2. Follow trauma-informed practices
Unfortunately, it’s increasingly common for employees to experience bullying, discrimination and even harassment in the workplace. A recent survey* of employees in Australia and New Zealand found that 39% have experienced workplace aggression from managers, with nearly 1 in 2 (47%) experiencing workplace aggression from a colleague.
That’s why organisations must ensure their risk controls are designed in a way that minimises the chance of re-traumatisation, too.
“When we think about a trauma-informed approach within a workplace setting, the whole purpose of taking this approach is to minimise the risk of re-traumatisation. I’ve heard from many people who may have been exposed to harmful behaviours in the workplace (like bullying or sexual harassment) that say it wasn’t necessarily the event that caused them distress but the way it was managed afterwards that really impacted them.”
Mark Oostergo, Chief Executive & Workplace Psychologist at Australian Psychological Services
When designing trauma-informed incident investigations, it’s important to take a people-centred approach that:
- Fosters a sense of collaboration, with staff and organisations working together to achieve a positive outcome
- Enhances a sense of choice, giving impacted employees autonomy over the process (from how incidents are reported to choice over who conducts their interviews)
- Prioritises principles of trust, safety and respect throughout all stages of the process
3. Leverage evidence-based controls to address psychosocial risks
There is no shortage of programs or tools in the employee wellbeing spaces. However the challenge is that many of these services, such as traditional employee assistance programs (EAPs), tend not to be fit for purpose when it comes to mitigating the specific risks an organisation is facing.
“A common intervention is mental health first aid. While it’s not a bad approach, the evidence suggests that in a workplace context, it has very little impact in driving positive outcomes.”
Mark Oostergo, Chief Executive & Workplace Psychologist at Australian Psychological Services.
But by implementing evidence-based controls and looking for providers that offer evidence-based interventions, organisations can put effective risk controls in place that address the challenges their staff are facing.
“What’s important is to have an objective approach to assessing where psychosocial risk arises in an organisation from a data perspective rather than assuming where risks arise. From there, organisations need to apply a risk register using a systematic approach to wherever that risk arises, based on the data.”
Katherine Morris, Health and Safety Specialist and Partner at Norton Rose Fulbright.
Katherine also explained why it’s important that companies continually report on the effectiveness of their control measures and are able to provide data to regulators when requested. “An organisation must understand the effectiveness of the controls because it is part of demonstrating, from a legal point of view, a satisfaction of their duties, and it can be and is required for production by regulators.”
4. Continually review psychosocial risk management controls
Finally, it’s crucial for organisations to continually review the effectiveness of any risk controls that have been implemented.
Even once a solution or program has been implemented, organisations should conduct audits and review the data to see whether it’s having a positive impact on employees' health, safety, and wellbeing.
Ideally, the right risk control measures will deliver tangible ROI for organisations, such as decreased absenteeism, a boost in team morale and enhanced productivity and performance.
“It [Assessing the effectiveness of existing programs and tools] can be an uncomfortable conversation as certain staff may have introduced or rolled out technology that is now being questioned for its effectiveness, such as interrogating whether a traditional EAP has delivered a tangible ROI or not.”
Katherine Morris, Health and Safety Specialist and Partner at Norton Rose Fulbright.
How Sonder can support your team in managing psychosocial risks
Promoting a supportive work environment is crucial to managing psychosocial hazards, mitigating psychosocial risks, and improving employee wellbeing. This can range from cultivating a culture of respect and inclusion, to implementing regular team-building activities, and upskilling leaders to recognise the early signs of burnout.
By addressing psychosocial hazards with urgency, employers can mitigate risks and create a more engaged and productive workforce. Ultimately, investing in the mental and emotional wellbeing of employees is an investment in the larger company, ensuring staff are motivated and able to bring their best selves to work.
With Sonder, personalised support is provided 24/7, so employees can access advice whenever needed. With a comprehensive app that offers a holistic suite of tools, employers can manage psychosocial hazards in the workplace and empower employees to make their health, wellbeing, and safety a priority.
*Source: September 2023, McGregor Tan survey of employees in Australia and New Zealand who were working a minimum of 30 hours per week.
About Sonder
Sonder is a technology company that helps organisations improve the wellbeing of their people so they perform at their best. Our mobile app provides immediate, 24/7 support from a team of safety, medical, and mental health professionals - plus onsite help for time-sensitive scenarios. Accredited by the Australian Council on Healthcare Standards (ACHS), our platform gives leaders the insights they need to act on tomorrow's wellbeing challenges today.
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