Managing psychosocial risks at work: Legal duties and practical steps

25 Jun
2025
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Insights
Psychosocial risks - such as stress, fatigue, and workplace aggression - are increasingly recognised as major contributors to workplace harm in New Zealand. These risks don’t just impact individual wellbeing; they can lead to higher absenteeism, lower productivity, increased costs, and reputational damage for organisations.

Catalijne Pille, a senior lawyer with extensive expertise in health and safety law, recently spoke at a national conference on psychosocial risk. Drawing on her regulatory background, including her time at WorkSafe, she offered practical insights into how businesses can meet their legal duties and support a safe, mentally healthy workplace.

What the law requires

Under the Health and Safety at Work Act 2015, businesses must manage psychosocial risks with the same rigour as physical risks. This includes proactively identifying and addressing factors in the work environment that could harm mental health. The law is clear: psychosocial harm caused by work is a work-related risk, and employers have a legal duty to manage it.

What the courts are saying

Recent case law reinforces that failure to manage risks like excessive workload, sustained stress, or workplace bullying can result in legal consequences. These cases show that it’s not enough to respond after harm occurs - prevention must be at the heart of an organisation’s approach to psychosocial risk.

What good practice looks like

Employers who are serious about managing psychosocial risks should focus on:

  • Designing safe systems of work – roles should be well-structured, workloads realistic, and expectations clear.
  • Providing training and support – managers and workers need the tools to recognise and respond to risks early.
  • Engaging with workers – regular conversations about psychological safety and wellbeing help surface issues before they escalate.
  • Leading from the front – organisational culture is set at the top. Leaders must model healthy work practices and prioritise psychological safety.

A smart legal and business move

Supporting mental wellbeing at work is more than just the right thing to do - it’s a legal requirement and a sound business strategy. Organisations that invest in psychologically safe workplaces benefit from stronger engagement, lower staff turnover, and better overall performance.

If your business is unsure where to start or how the law applies to your context, Catalijne can help translate legal obligations into practical, workable solutions.

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