The NSW Parliament has passed legislation to establish SafeWork NSW as a standalone statutory regulator, separating it from the Department of Customer Service. The Work Health and Safety Amendment (Standalone Regulator) Act 2025 will commence on 1 July 2025.

The new structure creates a dedicated SafeWork Commissioner to lead the agency, and establishes a SafeWork Advisory Council to advise the Commissioner and the Minister for Work Health and Safety on regulatory priorities and emerging risks.

For organisations managing psychosocial hazards in NSW, this is a structural signal worth paying attention to.

What the legislation does

Under the previous structure, SafeWork NSW sat within the Department of Customer Service. The new Act establishes it as an independent executive agency with its own statutory leadership.

The SafeWork Commissioner will lead the agency with authority to enforce compliance, set strategic direction, and engage directly with workers, unions, and businesses. Recruitment for the inaugural Commissioner is underway.

The SafeWork Advisory Council will comprise representatives from employer organisations, unions, a WHS expert, and a member representing the interests of injured workers and their families. The Council's functions include monitoring emerging risks and trends in work health and safety and advising on the strategic direction and priorities of SafeWork NSW.

Why this matters for psychosocial compliance

A standalone regulator with dedicated leadership signals sustained enforcement focus, not a temporary programme. This restructure follows the Independent Review of SafeWork NSW, conducted by the Hon. Robert McDougall KC and completed in December 2023. The review examined SafeWork NSW's enforcement functions, educational role, organisational structure, and governance. The NSW Government accepted the recommendations and confirmed plans to transform SafeWork into a standalone regulator.

Two of the review's recommendations relate directly to psychosocial hazards. The review recommended that SafeWork NSW train more of its inspectors specifically in dealing with psychosocial hazards, or alternatively employ additional personnel to be trained as inspectors with specific psychosocial hazard expertise. It also recommended that SafeWork NSW work with employer groups, unions, and health and safety representatives in individual industries to create industry forums for identifying psychosocial hazards, educating PCBUs and workers, and developing strategies to minimise them.

These recommendations point in a clear direction. As SafeWork's inspectorate builds capability in psychosocial hazard assessment, organisations should expect more informed, more confident regulatory engagement on these issues. An inspector who has been specifically trained on psychosocial hazards will ask different questions and look for different evidence than one applying general WHS knowledge.

What to expect

The Act commences on 1 July 2025. From that date, SafeWork NSW operates as an independent regulator with a Commissioner, an Advisory Council, and a mandate to build enforcement capability across all WHS obligations, including psychosocial compliance.

For organisations in NSW, the practical question is straightforward: when a regulator with dedicated psychosocial capability walks through the door, can you demonstrate that you have a system in place to identify, assess, and control psychosocial hazards? Not a policy. A system.

Disclaimer: This article provides general information on psychosocial compliance in Australian workplaces. It does not constitute legal advice. Organisations should consult qualified professionals for advice specific to their circumstances. Information cited is sourced from the NSW Government, SafeWork NSW, and the Independent Review of SafeWork NSW as of the date of publication.