The Enactment of the Workplace Protections Bill in NSW

This blog will provide an outline of the legislative changes and practical actions required following the enactment of the Workplace Protections Bill in NSW as of 3 July 2025. The below blog will detail a summary of the Industrial Relations and Other Legislation Amendment (Workplace Protections Bill) 2025 (NSW), which was assented to on 3 July 2025:

Key Objectives

• Modernise workplace protections
• Strengthen the powers of the Industrial Relations Commission (IRC)
• Address bullying, sexual harassment, and psychosocial risks
• Expand union powers and dispute resolution mechanisms.

Changes to the Industrial Relations Act 1996 (NSW)

• Bullying & Sexual Harassment Jurisdiction:
  • IRC can issue stop orders and award up to $100,000 in compensation
  • Employers may face civil penalties for non-compliance (up to $93,900 for corporations).
• Expanded Victimisation Protections:
  • Covers complaints, union activity, and protected characteristics
  • Introduces a rebuttable presumption of detriment unless employers can prove otherwise.
• IRC Powers in Disputes:
  • Can issue binding arbitration orders and directions
  • Non-compliance may attract $25,000 civil penalties.

Changes to the Work Health and Safety Act 2011 (NSW)

• Union Powers:
  • Can collect evidence and initiate prosecutions if SafeWork NSW declines
  • May receive a portion of fines from successful prosecutions.
• Codes of Practice:
  • Now, it is legally binding unless employers can prove equal or better safety outcomes.
• Direct Access to IRC:
  • Workers and unions can bypass SafeWork inspectors for WHS disputes.
• Psychosocial Risk Oversight:
  • SafeWork must report biannually on complaints, notices, and recommendations.
• Limitation Periods:
  • Courts can allow prosecutions beyond the 2-year limit if it’s in the “interests of justice”.

Moving forward for Employers

Implications for Employers

• Must ensure they have robust anti-bullying and harassment policies
• Review compliance with WHS codes of practice
• Prepare for increased scrutiny and potential claims
• Strengthen internal complaint handling and dispute resolution processes under the Workplace Protections Bill.

Employer Responsibilities

Workplace Conduct

• Implement or update anti-bullying and harassment policies.
• Train staff and managers on respectful behaviours and complaint resolution.

Dispute Resolution

• Prepare for IRC interventions, including arbitration and binding orders.
• Review internal procedures for handling disputes involving unions and WHS concerns.

WHS Compliance

• Align current practices with legally binding codes of practice.
• Document risk controls, especially where deviating from standard codes.

Psychosocial Risk Management

• Develop a risk register for psychosocial hazards (e.g., stress, aggression).
• Introduce monitoring and reporting protocols in line with SafeWork NSW expectations.

Union Engagement

• Under the Workplace Protections Bill, unions may:
  • Conduct workplace investigations
  • Initiate WHS prosecutions
  • Refer disputes directly to the IRC.

Strategic Considerations

• Review insurance coverage for compensation liabilities and legal expenses.
• Engage legal or compliance advisors to conduct a policy and risk gap analysis.
• Foster a psychologically safe culture to reduce exposure and enhance resilience.

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