QUT study reveals many SMEs unaware of psychosocial hazard obligations

Rebecca Langdon

A national multidisciplinary study has found that many small and medium-sized enterprise (SME) decision-makers remain unaware of their legal obligations to manage psychosocial hazards, posing serious risks to worker wellbeing and compliance with work health and safety laws.

The research, conducted by ACHLR member Dr Rebecca Langdon (pictured, above), together with Associate Professor Nektarios Karanikas, from the QUT School of Public Health and Social Work and Associate Professor Carol Hon, from the QUT School of Architecture & Built Environment, surveyed 288 SME decision-makers across Australia to understand awareness and practices around psychosocial risk management.

Psychosocial hazards are aspects of work design, management, environment, plant, behaviours or interpersonal interactions that can lead to psychological (and potentially also physical) harm.

Key findings of the report include:

  • A large proportion of SME leaders were unaware of their legal obligations under WHS legislation.
  • Many SMEs lack formal policies or designated personnel for psychosocial risk management.
  • A significant number of decision-makers had never heard of the Code of Practice for Managing Psychosocial Hazards at Work.
  • The smallest enterprises (1–19 employees) appear least engaged, often relying on informal arrangements and rarely identifying hazards.
  • Many enterprises assign responsibility to HR personnel, despite obligations falling under WHS legislation.

Dr Rebecca Langdon said the findings highlight an urgent need for targeted education and practical tools for SMEs.

“Psychosocial hazards can seriously affect mental and physical health, yet many SMEs are not meeting their legal obligations,” 

“With SMEs employing around 65 per cent of Australia’s workforce, improving awareness and compliance is critical.

“We need scalable solutions and campaigns that make it easier for these businesses to protect worker wellbeing and meet regulatory requirements.”

This report is produced by the Australian Centre for Health Law Research (ACHLR) and the Centre for Decent Work and Industry.

The full report, Psychosocial Hazard Management in Small to Medium-Sized Enterprises in Australia, can be read online.

Article originally published in QUT news.