A leading employment lawyer spoke to HRD about how to navigate challenges
A major change is taking place in the way employers must approach mental health with the management of psychosocial hazards now a core workplace safety obligation — and failing to act proactively could carry serious consequences.
Speaking ahead of her presentation at the Employment Law Masterclass later this year, Persephone Stuckey-Clarke, partner in the employment and safety team at Dentons law firm, told HRD the regulatory landscape is shifting fast.
“We’ve seen quite a shift from businesses being reactive to complaints, to really being required under recent changes to safety laws — particularly in the Fair Work Act — to take a far more proactive approach to managing mental health,” she explained.
“There are further changes on the horizon too, so it’s a complex area to navigate.”
That complexity is compounded by an emotional balancing act many HR leaders now face, including how to manage employee wellbeing while maintaining profitability and operational clarity.
“There are so many features of the employment relationship that are becoming more relationship-like,” Stuckey-Clarke said.
“Some employers say, ‘I’m not a parent, but I have to be responsible for my staff’s emotional development’. That can lead to co-dependency in the workplace, which is not healthy.”
Instead, she urged employers to reframe their role — not as caretakers, but as leaders who prioritise both safety and commercial sustainability.
“It’s still a professional relationship. People are paid to attend work, and while they shouldn’t be subjected to inappropriate behaviour, we shouldn’t confuse that with emotional entanglement. It’s about ensuring a safe environment — physically and mentally.”
The biggest challenge, Stuckey-Clarke outlined, lies in the ambiguity of psychosocial risks. Unlike physical hazards, mental health risks aren’t easily signposted.
“It’s not like a construction site where you’ve got a sign saying, ‘Don’t put your head here’. Everyone knows there’s a person in the office who’s a psychosocial hazard — that one person — and you can’t ignore that,” she said.
“You wouldn’t ignore a gaping hole in the floor, so you shouldn’t ignore risks to emotional wellbeing either.”
So, what does a best-practice approach look like in 2025? For Stuckey-Clarke, it’s making sure employers adopt a “risk-based, assessment-driven and ongoing approach” to ensuring psychosocial safety.
“That’s easy to say at a high level, but much harder in practice — and that’s where the real challenge lies.”
The first step, she explained, is ensuring employers conduct a comprehensive psychosocial hazard risk assessment.
“Whether it’s gaps in documentation or weak processes, that risk assessment will tell you what needs to be fixed,” Stuckey-Clarke outlined.
“You can’t address what you don’t understand.”
As the workplace continues to evolve, HR leaders and directors are being called upon not just to respond to issues but to anticipate them — and that, Stuckey-Clarke concluded, will be the defining shift in employment law and practice over the coming years.
The Employment Law Masterclass Australia is a must-attend event for HR leaders and employers navigating significant changes to workplace law in 2025. With post-election industrial relations reforms, evolving Fair Work priorities, and growing pressure on compliance, this online event delivers timely insights to help organisations manage legal risk with confidence.
Join us online on 27 August 2025 and explore key developments in restructuring, psychosocial hazards, enterprise bargaining, flexible work, and employee litigation. Gain practical strategies for conducting defensible investigations, supporting employee wellbeing, and adapting workplace policies to meet today’s legal and operational demands.
