stress – Page 41 – SafetyAtWorkBlog

If everyone claimed compensation for work-related stress in Australia, the estimated annual cost would be $83 billion

Lucinda Smith of Esteem People Management has made some excellent points about stress and mental health in her article – “The People Risk of Work-Related Stress“. On determining the cost of mental stress she acknowledges authoritative government estimates but, significantly, states of the data:

“Although not fully exploring the issue of workplace stress because it only applies to accepted claims,…”

This is the core of much of the frustration in the OHS profession that injury and illness is always underestimated because data is based on workers’ compensation statistics.

Where Smith progresses the argument, though, is by comparing several important pieces of data. Quoted in a Safe Work Australia report, Medibank Private estimated in 2008 that the direct cost of work-related stress was

“…$14.81 billion to the Australian economy, and $10.11 billion to Australian employers because of stress-related presenteeism and absenteeism.” (page 3 of the Safe Work Australia report)

Beyondblue’s latest research report is too narrow

Beyondblue has just released a report into the cost of mental health in the workplace prepared by PricewaterhouseCoopers (PwC) and called “Creating a mentally healthy workplace – Return on investment analysis“. The report is interesting but of limited use for those looking for ways to make their own workplaces safer and healthier with minimal cost. The Beyondblue media release claims

“… that Australian businesses will receive an average return of $2.30 for every $1 they invest in effective workplace mental health strategies.

The research, which looked at the impact of employees’ mental health conditions on productivity, participation and compensation claims, also found these conditions cost Australian employers at least $10.9 billion a year.”

The first claim looks attractive but achieving such a return is unlikely unless the company includes the following:

“commitment from organisational leaders,
employee participation,
development and implementation of policies,
provision of the necessary resources, and
a sustainable approach.” (page iv)

The best chance for the return on investment (ROI) will likely occur in a company that has an enlightened management, “necessary resources” and a leadership that is already likely to have mental health and a safe organisational culture on its agenda. This is a rare combination which limits the application of the PwC report findings.

Self-employment should not be seen as a work/life solution

Work/life balance is a close cousin to occupational health and safety (OHS), particularly health. It is often the gateway people use to reduce occupational health risks such as stress and other psychosocial issues. Moving to self-employment can be a successful strategy but it is not as easy as simply relocating one’s individual workplace or teleworking, the expected control on work hours may not eventuate and it may be very difficult to maintain a livable wage. In The Saturday Age on April 26 2014 (not locatable on-line), Dr Natalie Skinner of the Australian Centre for Work + Life, provided a useful perspective.

Skinner writes that her annual surveys over the last six years have indicated that:

“self-employment is neither better nor worse for work-life conflict than being an employee.”

Skinner acknowledges that this seems odd because there has been so much debate about the win-win of workplace flexibility.

Lessons from Royal Commission into Home Insulation Program

Australia’s Royal Commission into the Home Insulation Program (HIP) demands the attention of all occupational health and safety (OHS) professionals, primarily, because a job creation and economic stimulus program was so poorly planned at the highest level of government, that it seems to have established a culture that led to workplace deaths. However the Royal Commission is already revealing information that shows how OHS is misunderstood by decision-makers, a situation that still persists in many jurisdictions and will only change by watching the Royal Commission carefully and analysing this information through the perspective of workplace safety.

State of Knowledge

The Royal Commission has been investigating when the workplace deaths in New Zealand from using metal staples with foil insulation were known by the Australian Government. In OHS-speak, it is trying to determine the state of knowledge on this workplace hazard in the decision-making process. The deaths of four young Australian workers prove that the state of knowledge was inadequate however it is well established that Australia and New Zealand operate independently and that, although there are legislative similarities, it is rare for a death in one country to generate regulatory change in another. (One could look to the quad bike safety issues for an additional example.) The recent legislative changes in New Zealand may indicate that they listen to Australia more than vice versa.

Fair Work Commission girds its loins for workplace bullying complaints

Official statistics on workplace bullying in Australia are notoriously unreliable. The Productivity Commission estimated the cost of workplace bullying with a huge margin of variation, between A$6 billion and A$36 billion annually. WorkSafe Victoria has indicated in the past that the number of interventions on workplace bullying is way below the number of workplace bullying complaints. On 29 October 2103, in a long discussion on workplace bullying the Australian Capital Territory’s Chief Minister, Katy Gallagher stated:

“According to reports from the Commissioner for Public Administration, reports of bullying and harassment have totalled 68 cases in 2010-11, 71 in 2011-12, and 118 cases in the financial year that has just passed, 2012-13. Proven cases of bullying have numbered four, eight 11 and 19 respectively. This amounts to complaints being made by 0.5 per cent of staff, and substantiated in relation to 0.08 per cent of staff.” (Hansard, page P3930, emphasis added)

These latest statistics, in conjunction with those previously reported, indicate that the perception of workplace bullying is much higher than the reality in Australia. Continue reading “Fair Work Commission girds its loins for workplace bullying complaints”

Australia’s psychosocial barometer provides strong evidence for policy and corporate change

OnlineMBA.com recently uploaded a video about “The True Cost of a Bad Boss“. It is a good summary of the spread of negative organisational and employee effects that can result from poor management poor understanding and poor communication. It is well worth remembering this spread when determining the best way to manage workplace safety and increase productivity.

Although the video is from the US, there is research evidence to support many of the points raised. In December 2012, Safe Work Australia released The Australian Workplace Barometer Report On Psychosocial Safety Climate and Worker Health in Australia, a report that has been largely missed by the Australian media. The report says that:

“A standout finding here is that depression costs Australian employers approximately AUD$8 billion per annum as a result of sickness absence and presenteeism and AUD$693 million per annum of this is due to job strain and bullying.” (page 6)

This is a significant impact on Australian business costs and, if one takes the OnlineMBA information concerning bad bosses, Australian bosses may need to undertake a considerable amount of self-analysis when lobbying for red-tape reductions and calling for productivity increases. Continue reading “Australia’s psychosocial barometer provides strong evidence for policy and corporate change”

Considering organisational violence may provide a more effective path to controlling psychosocial issues at work

Vaughan Bowie is an Australian academic who has chosen workplace violence as his major area of interest. Bowie came to general prominence earlier this century with several books and his contribution to the WorkcoverNSW guidance on workplace violence.

Cover from Proceedings_3rd_Workplace_Violence_2012 His research has taken him to look at “organisational violence” and in October 2012, he addressed the 3rd International Conference on Violence in Healthcare (the proceedings are available HERE) on the topic in a presentation called “Understanding organizational violence: The missing link in resolving workplace violence?”

Bowie writes, in the conference proceedings (Page 155), that

“Initially much of the workplace violence (WPV) prevention and management responses focused on criminal violence from outside organizations. At the same time there was also a growing concern about service user violence on staff especially in the human services area. A later stage of this development was a growing recognition of relational violence at work. This includes staff-on-staff violence and aggression, bullying, horizontal violence, sexual harassment and domestic violence.

Models based on these areas of WPV have been developed by the International Labor Organisation (ILO), the World Health Organisation (WHO), the Injury Prevention Research Center (IPRC) and the California Occupational Safety and Health Administration (Cal/OSHA) and other regulatory bodies. This presentation will show that the current models and responses based on these types of WPV are inadequate and ineffective because they largely ignore the fact that organizational culture and management style have a direct contributory effect on the types of violence experienced by employees, third parties, and service users. The findings demonstrate that what at first appears to be criminal, service user or relational violence at work may in fact be the outcome of a type of ‘upstream’ organizational violence trickling down in a toxic way triggering further violence.” (emphasis and links added) Continue reading “Considering organisational violence may provide a more effective path to controlling psychosocial issues at work”

Category: stress

If everyone claimed compensation for work-related stress in Australia, the estimated annual cost would be $83 billion

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Beyondblue’s latest research report is too narrow

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Self-employment should not be seen as a work/life solution

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Lessons from Royal Commission into Home Insulation Program

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Fair Work Commission girds its loins for workplace bullying complaints

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Australia’s psychosocial barometer provides strong evidence for policy and corporate change

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Considering organisational violence may provide a more effective path to controlling psychosocial issues at work

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