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Failure to address psychosocial risks isn’t just an employee wellbeing issue; it’s a legal one that could carry significant penalties, writes Renee Thornton.
Law firms are renowned for their intense environments – high stakes, long hours, and relentless workloads are often seen as the cost of success.
But, as new workplace legislation shines a spotlight on mental health, firms must take proactive steps to ensure compliance. Failure to address psychosocial risks isn’t just an employee wellbeing issue; it’s a legal one that could carry significant penalties.
Recent changes to workplace health and safety laws – such as the Work Health and Safety (Managing Psychosocial Hazards at Work) Code of Practice 2024 – require employers to actively manage risks to mental health, treating them with the same urgency as physical safety. For law firms, this means that practices like excessive billable hour targets, unreasonable client demands, and workplace bullying are no longer simply cultural challenges – they are compliance issues that could land firms in hot water.
While many firms already offer employee assistance programs (EAPs), these alone will not meet the new standards. The legislation mandates a preventive, systematic approach to managing risks – identifying potential hazards before they become problems. For a profession where stress and burnout are often accepted as inevitable, this shift requires a cultural transformation.
For law firms, addressing psychosocial hazards isn’t just about avoiding penalties. It’s about retaining talent in an industry grappling with high turnover and supporting lawyers to perform at their best. Firms that embrace these changes will be seen as leaders, able to attract top-tier talent and build stronger client relationships through sustainable practices.
Many legal professionals may be unaware of the full implications of these legislative changes. Compliance isn’t achieved by reacting to crises or offering ad-hoc support – it requires integrating mental health into the fabric of organisational operations. Specialised services can help law firms not only meet these obligations but also foster resilience and long-term success.
The challenges facing the legal profession aren’t going anywhere. However, by prioritising mental health, law firms can create workplaces that support both excellence and sustainability. The time for action is now.
Renee Thornton is the chief executive of Rehab Management, an Australian provider of occupational rehabilitation and corporate health services.