The impact of AI on psychosocial hazards

There’s an increasing global focus on the impact of artificial intelligence (AI) and digitalisation on the health and safety of employees. As AI and digital technologies reshape the workplace, the risks are growing, and without strong action, the dangers to workers’ health and safety will only intensify.

Experts warn that introducing AI in the workplace without a clear strategy may worsen the mental health of employees who are already exhausted from newly introduced workplace tech. Others have warned that AI poses emerging psychosocial hazards by accelerating workloads and reducing employee autonomy.

At Qantas, the Australian Services Union (ASU) is using the enterprise bargaining framework to demand real protections against the harmful impacts of AI and automation.

Nurse awarded $346,000 in discrimination case

A former nurse at St Basil’s in Sydney was awarded over $346,000 in compensation after the Federal Court found that the aged care provider unlawfully dismissed her based on her race.

The nurse worked at the facility for nine years and reported feeling unsafe and unsupported at work in the lead up to her termination. She sent two formal complaints to managers regarding the issue, which were not investigated but instead used by management to scrutinise her own professional conduct. She was dismissed by the company for purportedly failing to provide appropriate clinical care to a resident at the facility.

However, the court determined that these allegations were based on ‘flimsy foundations’ and that the dismissal was racially motivated.

St Basil’s has since responded to the judgement, reporting that it has undergone ‘a major transformation’ and taken ‘considerable steps’ to guard against the risk of similar contraventions.

Employers ignoring the right to disconnect

The Rippling’s Workforce Dynamic Report 2025 has found that nearly three quarters of Australian companies are yet to have a formal policy in place around the Right to Disconnect. Only 26% of respondents in a survey of 1,000 Australian workers said their workplace had a formal policy around it.

The Right to Disconnect aims to prevent workers from being punished for not responding to “unreasonable” contact outside of their paid work hours and came into effect in August 2024 for companies with more than 15 employees.

The regulation is yet to be tested in the Fair Work Commission, but the report argues there may soon be formal disputes relating to the Right to Disconnect as it is a ‘ticking time bomb for employers that fail to implement clear boundaries’.

Poor work-life balance and burnout may constitute psychosocial hazards. It is therefore important that employers implement policies around the Right to Disconnect to ensure a psychosocially safe workplace.

NDAs may breach positive duty to eliminate sexual harassment

The use of non-disclosure agreements (NDAs) in workplace sexual harassment cases may mean employers are at risk of failing to meet their positive duty under the Sex Discrimination Act to take reasonable and proportionate measures to eliminate sexual harassment as far as possible.

The use of NDAs may conceal offenders’ behaviour and allow them to continue offending. It also fosters a culture of silence amongst employees and contributes to underreporting of sexual harassment.

Additionally, the newly released Work Health and Safety (Sexual and Gender-based Harassment) Code of Practice 2024 recommends avoiding confidentiality clauses in settlement agreements except for the purpose of protecting the victim.

Employers should consider whether their use of NDAs is aligned with their positive duty, particularly considering the Australian Human Rights Commission’s new powers to investigate cases of non-compliance. When resolving sexual harassment complaints, employers are advised to:

  • Consider the need for an NDA on a case-by-case basis.
  • Draft NDAs with varied terms.
  • Promote a culture of transparency.
  • Review existing policies.
  • Provide access to independent advice for the complainant.

Employers should continue to monitor this space due to the possibility of reform. Victoria has already indicated an intention to introduce legislation restricting the use of NDAs in workplace sexual harassment cases.

Inclusive hiring benefits organisations

When it comes to hiring people with disabilities, stigma is the main barrier. People with disabilities have a much lower rate of participation (54%) in the labour force when compared to people who do not (84%). Additionally, 45.2% of employees with disabilities reported unfair treatment or discrimination from their employer due to their disability.

Accordingly, employers should implement inclusive practices at work, including during the hiring stage. This may include providing different methods to apply for jobs (such as by video rather than letter) or implementing a buddy system.

Inclusive hiring ensures that employers do not miss out on talent and negates the risk of pushing away customers who have inclusive values.

Women receiving half the number of promotions as men

Recent research reveals that just 25% of women say they received a promotion in 2024, compared to 41% of men. This raises questions about systemic barriers to women’s career advancement. To address this issue, employers should:

  • Empower their workforce through diverse representation at senior levels.
  • Be aware of any unconscious bias.
  • Leverage insights about equality.

Large employers are now legally obliged to report on their gender equality targets. They should start actioning these steps to meet the 2028 deadline set by the Workplace Gender Equality Agency.

Use of AI in hiring systems may reinforce discrimination

A new study has found that the implementation of artificial intelligence in hiring systems (AHS) in Australia may reinforce and create new forms of discrimination among job applicants.

The study found that discrimination is the result of how the AI system is customised by recruiters. It may embed present-day and historical discrimination and may not be representative of the diversity of the population. The study stressed the need for increased levels of understanding by employers of the AHS implemented within their organisations and their potential to cause harm.

Researcher Natalie Sheard said, “It is essential that employers provide comprehensive training to those responsible for customising, operating, and overseeing these systems.”

Employers should be aware of the risk of discrimination posed by AI to avoid non-compliance with their positive duty to prevent sex discrimination and avoid unnecessary exposure under other anti-discrimination legislation.

Victorian barristers reprimanded for homophobic notice

Two Victorian barristers have admitted to posting a homophobic notice in the lifts at Owen Dixon Chambers East in early August 2022.

The notice claimed members of the “LGBTQMS” were concerned that briefs from government and private litigators ‘have not been disproportionately directed to them’ and sought to ‘investigate’ this. The letter also noted that ‘white, male heterosexuals’ would not be eligible to join a sub-committee.

The barristers were reprimanded in the Victorian Civil and Administrative Tribunal, ordered to donate $5,000 each to charities, complete five additional CPD units and pay the cost of the proceedings.

Sexism, bullying and harassment at Tasmania Fire Service and SES

An independent cultural review of the Tasmania Fire Service (TFS) and State Emergency Service (SES) has found workplace bullying to be a pervasive and deeply ingrained issue and sexual harassment described as prevalent, underreported and often minimised.

Participants highlighted a ‘boys’ club’ mentality that contributed to exclusionary practices and a culture of division. Exclusion largely affected culturally and linguistically diverse individuals, Aboriginal and Torres Strait Islander peoples, LGBTQIA+ individuals, people with disabilities and people who are neurodivergent.

Almost a quarter of participants in the review reported experiencing bullying in the past five years and one in six had experienced sexual harassment in the past five years. Women participants reported being undermined, overlooked for opportunities, or subjected to inappropriate behaviour.

The review made 26 recommendations to enact cultural change, with leaders of the TFS and SES pledging to act on the findings of the report and build on their progress.

Law firm fined for exploiting junior lawyer

Law firm Erudite Legal has been fined over $50,000 for forcing a junior lawyer to work up to 24 hours a day, share a bed with her manager and watch an ice hockey movie at 1am.

Melbourne’s Magistrate ruled that the firm breached Fair Work Act laws prohibiting unreasonable hours in the legal industry, with the lawyer required to work days ranging from 12 to 24 hours. She was underpaid $8,000 in the course of her employment at the firm, a mere three weeks. The excessive hours were described as ‘egregious’ and worsened the woman’s medical condition, made it difficult for her to arrange for her mother to return home from hospital after a serious illness and forced the lawyer to work on the day of her ex-partner’s funeral.

In addition, the working environment was described as so ‘repugnant’ that it constituted a repudiatory breach of the employment contract. The court heard that the junior lawyer was forced to stay in a hotel room with her manager one night and ordered by the firm’s director to watch a movie at 1am, with him texting her throughout the night to ensure she was watching.

Australian Services Union national secretary Emeline Gaske said that the decision should serve as a wake-up call to firms that exploit junior staff.

Netball Australia accused of mishandling bullying complaint

The Australian Netball Players’ Association (ANPA) has accused the sport’s governing body of ignoring pleas for transparency into the investigation of the culture of the Queensland Firebirds.

A former player lodged an official complaint before her departure in 2024, accusing the club of bullying, gaslighting and an ‘unsafe environment’.

After a seven-month independent review, Netball Australia (NA) announced that the player’s allegations ‘were not substantiated’ and no further action would be taken. It refused to hand over the report or any details of its findings, citing the confidentiality of those who took part.

The player and ANPA released separate statements on Wednesday, voicing concerns about the potential mishandling of the investigation. ANPA has now requested an independent review of the investigation to assess whether the process met the required standards of fairness and rigour.

 

EEO Specialists works with organisations to enable safe and respectful workplaces. We offer a range of in-person workshops as well as online courses. If you would like to have a confidential discussion about workplace behaviour and compliance, please call Franca Sala Tenna on 0405 134 187 or email franca@equalopportunitytraining.com.au