EAP and Safe Work Australia: Managing Psychosocial Risks in the Workplace
Last Updated 20/2/26 By Vanessa Cortez
EAP Programs @ Mindway EAP
As part of the Work Health and Safety (WHS) rules, Safe Work Australia issued regulations in 2023 for the management of psychological hazards. These regulations include the management of psychological hazards. As a result of this transition, what many leaders have suspected all along was finally put into practice: mental health and safety are inextricably linked. The management and prevention of mental and emotional health issues in the workplace, such as burnout, bullying, job insecurity, and poor management, are now legally considered to be of equal importance to the management and prevention of physical risks. One of the implications of this for enterprises in Australia is that psychological safety is now a legal requirement rather than a voluntary choice. By implementing a well-structured Employee Assistance Program (EAP), businesses have the ability to fulfill these objectives in a manner that is not only measurable but also focused on the people involved. Businesses are able to fulfill their tasks and truly expand with the assistance of this phenomenon.

What You’ll Learn in This Article:
  • What Safe Work Australia’s psychosocial regulations mean for employers
  • How EAPs support compliance with WHS and psychosocial risk management
  • Real-world examples of EAP success stories
  • The link between leadership, wellbeing, and compliance
  • How to use EAP reporting for audits and continuous improvement
  • Employee and employer conversation about EAP support
  • A relatable story of compliance and culture change
  • Four key takeaways for business leaders

Understanding Safe Work Australia’s Psychosocial Risk Laws

An employee's psychological well-being is considered to be a psychosocial threat in the workplace, as stated by Safe Work Australia. There are many different types of psychosocial dangers. A few examples of these characteristics are having an excessive amount of work to complete, spending an excessive amount of time alone at home, having difficulty communicating, being concerned about the security of one's employment, being bullied, and not having sufficient support. Businesses are now required by law to identify these risks, take measures to control them, and prevent them from occurring. In the event that you do not comply, you will be subject to legal consequences, damage to your reputation, and the mistrust of your workforce. Through the utilization of EAPs, organizations are able to tackle these difficulties in a manner that is both reasonable and legal.

EAP: The Cornerstone of Psychosocial Risk Management

A well-run Employee Assistance Program (EAP) goes beyond counseling by providing a complete approach to supporting mental health. EAPs help prevent stress-related risks from escalating through confidential support, wellbeing education, manager coaching, and crisis intervention. For example, Mindway EAP supports compliance and organizational health with 24/7 crisis assistance and counseling, guidance for leaders on managing emotional risks, anonymous wellbeing reports to identify broader issues, and engagement tools that help employees stay connected and resilient. Together, these elements ensure that psychological safety is not just reactive, but embedded in the very culture of the organization.
Employee:
I’ve been hearing about the new psychosocial safety laws. What does it mean for us here?
You:
It means your wellbeing is part of our safety commitment. We’ve partnered with Mindway EAP to make sure support is available anytime you need it.

From Legislation to Implementation: How EAPs Bridge the Gap

In order to maintain compliance with the criteria set forth by Safe Work Australia, constant and recorded action is required. Employers are able to fulfill this obligation with the assistance of EAPs, which incorporate wellness systems that are measurable and auditable. Providing tangible proof that an organization is tackling psychological risks can be accomplished through the use of anonymized EAP usage reports, training attendance logs, and wellness campaigns at the organization. Employee assistance programs (EAPs) integrate legal frameworks into real-world wellbeing support, so employees don't have to struggle with policies and paperwork.

Leadership’s Role in Compliance

The first step toward achieving psychological safety is to demonstrate leadership. Those in management positions are required to be able to recognize employees who are experiencing emotional distress, engage in constructive conversations with them, and refer them to the appropriate resources. Through the Employee Assistance Program (EAP), supervisors receive training on how to manage sensitive matters related to mental health. Problems are prevented from developing into safety or legal hazards as a result of this. They not only demonstrate that they are adhering to the rules, but they also develop trust, retention, and morale among their teams when leaders act fast on recommendations from the Employee Assistance Program (EAP).
“Safety isn’t just about preventing accidents. It’s about building an environment where people feel valued, respected, and supported.”
-Dr. Hannah Cole, Workplace Safety Expert

Culture as the Ultimate Compliance Strategy

The ability of employees to express their concerns in a secure setting increases the likelihood that they will comply with the policies that have been established. The normalization of access to therapy is one of the ways in which EAPs contribute to the propagation of this worldview. You may help remind staff that mental health is a vital facet of safety by doing regular check-ins, providing wellness training, and sending out messaging. A reduction in occurrences, an increase in involvement, and the establishment of compliance as a value for the entire business are all possible outcomes of our taking the initiative.

Reporting and Compliance Evidence

Trends in workplace health can be effectively monitored using EAP data, and compliance reports that include this information show boards and auditors that your organization is proactively managing psychosocial risks. EAP reporting typically includes metrics on anonymous usage, key topics and warning signs, and actionable recommendations to improve organizational wellbeing. This insight not only helps prevent potential legal or HR issues but also strengthens compliance documentation and demonstrates a commitment to employee mental health.
The logistics company, which had more than 300 employees, was experiencing an increase in absenteeism as well as complaints about stress in the workplace. They formed a partnership with Mindway EAP after a safety audit found that there were insufficient psychosocial risk controls in place.

After a period of six months, engagement surveys revealed a forty-five percent improvement in perceived support and a thirty percent reduction in stress-related leave. Additionally, the proactive EAP policy of the organization served to establish them as a leader in the industry with regard to Safe Work Australia compliance.

Future-Proofing Safety and Wellbeing

In the years to come, the level of physical and mental toughness will be the determining factor in job safety. In spite of the fact that regulatory frameworks are always evolving, compliance and performance cannot be achieved without EAPs. A vibrant, human-centered workplace that attracts and retains top talent is the result of investing in employee assistance programs (EAP) today. This is in addition to completing the duties that Safe Work Australia has put in place.

Key Takeaways
  • EAPs Turn Compliance Into Connection
    They help organisations meet legal obligations while improving employee trust and engagement.
  • Proactive Support Prevents Psychosocial Risks
    EAPs identify issues before they become legal or reputational problems.
  • Leadership and Data Drive Compliance Success
    EAP reporting and training ensure ongoing adherence to WHS standards.
  • Culture Is Compliance in Action
    When wellbeing is woven into everyday culture, safety and performance rise together.
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