Are Employee Assistance Programs (EAP) Mandatory in Australia? | Workplace Wellbeing & Compliance
Last Updated 16/1/26 By Vanessa Cortez
EAP Programs @ Mindway EAP
For companies based in Australia, the question "Are Employee Assistance Programs (EAPs) required?" comes up often. For the short answer, no, EAPs are not required by law in Australia. Employers must comply with state rules, Fair Work Australia, and the Work Health and Safety (WHS) Act to guarantee a safe workplace for their employees. Among these, you can find mental health help and programs for managing psychosocial dangers.

People generally believe that EAPs are the best way to meet these responsibilities, even if they aren't required by law. It is clear that employers are taking all necessary steps to guarantee psychological safety, minimize risks, and fulfill their duty of care when they offer employee assistance programs (EAPs). In practice, many public agencies and private companies see EAPs as powerful proof of compliance and a defense against any legal and reputational problems.

What You’ll Learn in This Article
  • Whether EAPs are legally mandatory in Australia
  • The difference between “mandatory” and “best practice” obligations
  • How EAPs support compliance with WHS and Fair Work standards
  • Why industries adopt EAPs even without a legal requirement
  • Real-world examples of EAP use in compliance strategies
  • The risks of not offering EAP support in modern workplaces

Are EAPs Legally Mandatory?

According to Australian law, you are not required to use an EAP. A company won't be in trouble just because it doesn't have one, to put it another way. However, the Work Health and Safety Act of 2011 says that companies must make sure their workplaces are safe and don't pose any health risks, even ones that could affect mental health. Dangers like anxiety, harassment, and trauma are seen as risks by officials in the field of mental health and need to be managed. The lack of an employee assistance program (EAP) could be seen as a breach of compliance if there is an investigation at work and the supervisor can't show that they took acceptable steps to deal with the problems. There is no law that says all companies have to have employee assistance programs (EAPs), but many do in order to show that they are following the law.

Best Practice vs. Minimum Compliance

The question "If it's not required, why bother?" is being asked by more and more businesses. There is a small difference between doing the bare minimum and doing things the right way. This is where the answer lies. At the very least, following the rules will keep you from getting fined, but the best practices will build trust, persistence, and speed. Employers show that they care about their workers beyond just following the rules by offering an Employee Assistance Program (EAP). They are taking steps to deal with the psychological risks that workers face and make it easy for workers to get help. This might be very important during exams, court cases, or time spent at work discussing personal matters. Much more importantly, best practices make an organization's culture better and can be a reason why people stay with that organization or not.

Employee:
Do we have an EAP here? I’ve heard other companies offer it, and it really helps staff with stress.
You:
It’s not legally required, but we’ve decided to provide one. It helps us meet our duty of care, and more importantly, it gives you access to confidential support whenever you need it.

How EAPs Support WHS Compliance

When it comes to threats at work, WHS law says that companies have to deal with them. This could mean using safety gear or gadgets to keep your body safe. When it comes to workers' mental health, this means giving them access to support systems that can help them deal with things like stress, conflict, or trauma. Employment assistance programs (EAPs) help workers find a solution by giving them individualized guidance, early intervention tools, and access to professional resources. Besides that, they help managers deal with tough situations like accidents on the job, angry customers, or depression after the death of a friend. All of these situations put employees' mental health at risk, and if a company doesn't have an employee assistance program (EAP), it might be hard to show that they did everything they could to help their workers. As a result, an employee assistance program (EAP) is both a safety net for workers and a way for companies to make sure their workers are following the rules.

Fair Work Australia and Employer Obligations

In Australia, Fair Work Australia says that companies must make sure their workers are safe from discrimination, abuse, and bad working conditions. To meet these needs, employee assistance programs (EAPs) are a good way to go, even though they aren't directly mentioned in Fair Work. If an employee complains, a company with an employee assistance program (EAP) can show that they did what they could to improve the person's health and keep any harm from happening. One more benefit is that it gives employees who might not feel safe talking to HR or supervisors directly a chance to do so in private. As proof of preventative care, this can greatly lower the legal and reputational risks that come with running a business in the event of a disagreement or claim.

"While EAPs are not legally mandated in Australia, they are one of the strongest indicators that an employer is serious about managing psychosocial safety." – Safe Work Australia Guidance

Industry Adoption of EAPs

A lot of businesses in Australia think that EAPs are important, even though they are not required by law. Employee assistance programs (EAPs) are often a big part of managing risks in fields with a lot of stress, like healthcare, emergency services, mines, transportation, and education. People who work in these areas often have to deal with stressful situations, like having to work long hours or doing tasks that are hard to understand. Without organized help, there is a good chance that employees will leave and salary requests will go through the roof. Even though EAPs aren't required by law, authorities and groups that work in these areas often expect them to exist. Employee assistance programs (EAP) have become standard in the business world over the years, so companies that don't offer them may be seen as falling behind their rivals.

Risks of Not Offering an EAP

Companies that don't offer employee assistance programs (EAP) may be putting themselves in a dangerous situation, even though it's not needed by law. Companies that don't have an employee assistance program (EAP) may see a rise in the number of employees who don't show up for work, employees who are there but aren't doing any work, and workplace fights. Workers' compensation claims or WorkSafe reviews can happen if people don't get enough help. Both of these costs a lot more than the cost of an employee assistance program (EAP). These days, people who have jobs are also more aware of their rights and expect their bosses to look out for their mental health. If a company doesn't have an employee assistance program (EAP), it might be hard to hire or keep good employees in job markets that are very competitive. At the very least, this is dangerous for people, and it could also stop the company from growing in the long run.

Another reason a moderately sized shipping business gave for not having EAP was that it was just a "nice to have" and not required by law. Because of a claim of bullying at work that turned into a Fair Work case, this was different when the company got the report. However, the study showed that the company did offer simple ways for workers to file complaints, but it did not offer any official mental health support. All of the participants were made aware that the lack of an EAP was a sign of inadequate care.

In order to fix the problem and protect its reputation, the business started an Employee Assistance Program (EAP). This program gave workers access to confidential counseling and stress-reduction tools. Over the course of six months, workers' comments got better, they felt more supported, and the number of complaints went down by a large amount. What started out as a quick fix quickly turned into an important part of their office wellness plan. Even though EAP wasn't needed by law, this showed how important it really was.

Key Takeaways
  • EAPs Are Not Legally Mandatory
    No law requires EAPs, but employers must still manage psychosocial risks under WHS.
  • Best Practice vs. Compliance
    EAPs are considered best practice for showing reasonable steps toward duty of care.
  • Risk Reduction
    Offering an EAP helps prevent claims, disputes, and compliance investigations.
  • Competitive Advantage
    Beyond compliance, EAPs support employee retention, morale, and trust.
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