Steople > News & Articles > #PsychologicalSafety

The pressure is rising and so are the claims

Australian workplaces are under strain.
The AHRI Psychosocial Risks Report 2025 found a significant increase in the number of psychosocial hazard complaints and claims in the 12 months to October 2024. The top two causes?

  • High job demands

  • Conflict or poor workplace relationships and interactions

Behind these statistics are real people — overwhelmed employees, stretched managers, and teams losing connection amid constant change.

Research shows that chronic job demands (like excessive workload or role ambiguity) are among the strongest predictors of burnout and disengagement (Bakker & Demerouti, 2017). When these demands are left unmanaged, organisations see higher absenteeism, turnover, and even compensation claims — costing Australian businesses billions annually.

At Steople, we believe these issues aren’t just HR challenges; they’re leadership and data challenges. When leaders are equipped with the right insight — through assessment, feedback, and coaching — they can spot the warning signs early and create healthier, higher-performing teams.

Leadership capability: The missing piece in psychosocial health

Despite clear evidence that leadership capability is critical to wellbeing, only 28% of employers invest in building leadership and management capability to reduce psychosocial risks.

That gap matters. Studies in organisational psychology have consistently found that leader behaviours — empathy, fairness, communication, and clarity — are among the strongest protective factors for mental health at work (Kelloway & Barling, 2010). Leaders shape not only performance but also the emotional climate of the workplace.

This aligns with our experience at Steople.
When we work with organisations through our Leadership Development Programs, Psychological Safety Assessments, and Coaching for Behaviour Change, we see measurable improvements in team wellbeing, trust, and engagement. Leaders learn to recognise early signs of distress, manage workloads constructively, and foster environments where people feel safe to speak up.

Because leadership isn’t just about delivering outcomes, it’s about creating the conditions where people can thrive.

Data and dialogue: The foundation for sustainable culture

The AHRI report reinforces that psychosocial risks are no longer peripheral concerns; they sit at the heart of sustainable organisational performance.
This finding echoes decades of research linking wellbeing and productivity. Studies by Gallup (2023) and Harter et al. (2002) found that teams with high engagement and psychological safety outperform others across every major metric — from retention to profitability.

But psychological health isn’t built through one-off wellness initiatives. It requires data-driven insight and consistent dialogue.

That’s why Steople partners with organisations using our Assessment and Survey Tools, such as:

  • Steople High-Performance Teams Survey™ — helps identify where collaboration and civility are breaking down.

  • Steople Leading for Performance and Wellbeing 360 Assessment — gives leaders the self-awareness to manage psychosocial risks through behaviour change.

  • Steople Engagement & Wellbeing Survey™ — measures employee perceptions of workload, support, culture, and purpose.

When leaders and teams have clear, objective insight into what’s working and what’s not, they can take targeted action that strengthens culture and wellbeing long-term.

From compliance to capability

Psychosocial risk management is now embedded in Australian workplace legislation — but focusing solely on compliance misses the opportunity for transformation.

Effective organisations treat psychosocial health as a strategic capability. They invest in building psychologically safe cultures, where people can raise concerns, seek support, and experiment without fear of blame. Research by Edmondson (2019) shows that teams high in psychological safety are more innovative, collaborative, and resilient in the face of change.

At Steople, we help clients move beyond minimum standards by:

  • Developing leaders who can respond constructively to stress and conflict.

  • Designing roles and structures that balance job demands with autonomy.

  • Embedding wellbeing practices into daily rhythms — from coaching to team reflection sessions.

Our approach blends psychological science with pragmatic leadership development, helping organisations reduce risk while unlocking the human potential that drives performance.

Building workplaces where people flourish

As workplaces evolve through technology, hybrid models, and shifting expectations, psychosocial health is emerging as one of the defining challenges of modern leadership.
But it’s also one of the greatest opportunities to redesign work in a way that’s both productive and humane.

The evidence is clear:
✅ Strong leadership capability reduces psychosocial risks.
✅ Data and assessment turn intuition into insight.
✅ Wellbeing and performance aren’t opposites — they’re interdependent.

When organisations invest in their leaders and measure what matters, they don’t just comply with regulation — they create workplaces where people feel valued, connected, and motivated to perform at their best.

At Steople, we call that sustainable success through people.

If your organisation is ready to strengthen its psychosocial health and leadership capability, we can help.
Contact us to learn more

Recovering from Burnout and Leading with Purpose: Insights from Lieutenant General John Frewen
In Episodes 13 and 14 of the Leadership and Wellbeing podcast, Lieutenant General John Frewen shares his extraordinary journey through high-stakes leadership, recovery from burnout, and the power of self-awareness. With more than 40 years of service in the Australian Defence Force (ADF), Lieutenant General Frewen brings a wealth of insight into what it takes to lead under pressure while maintaining physical and psychological health.
The Weight of Command
From leading multinational operations in Rwanda, the Solomon Islands, and Afghanistan to heading Australia’s COVID-19 vaccine rollout, Lieutenant General Frewen has carried immense responsibility. But such roles came at a cost. In Episode 13, he reflects on the personal toll that leadership can take, sharing how burnout affected his wellbeing and decision-making capacity.
Burnout, as defined by the World Health Organization, results from chronic workplace stress that has not been successfully managed. It manifests as exhaustion, cynicism, and a sense of reduced effectiveness – and John felt them all.
The Role of Self-Awareness in Leadership
In Episode 14, we explore how John used self-awareness to rebuild his leadership approach. He reflects on moments when his team had to intervene and tell him to slow down, prompting a deeper understanding of his limits and needs. This humility and openness to feedback became the foundation for lasting change.
John now regularly assesses his capacity and encourages his team to do the same. His commitment to creating a culture where people feel safe to speak up has enhanced not only his effectiveness but also his team’s cohesion and trust.
Trauma and Psychological Support
Throughout his career, John has championed the importance of mental health in high-stress environments. Drawing on the ADF’s model of mandatory psychological check-ins, he likens psychological support to having a personal trainer for your mind. By normalising mental health conversations, leaders can encourage early intervention and build a culture of resilience.
Rest, Recovery, and Performance
We also discuss the Effort-Recovery Model by Meijman and Mulder (1998), which emphasises the importance of rest after periods of high effort. John now prioritises daily and weekly recovery rituals—whether it’s physical exercise, sleep, or time with family – to recharge his energy and sustain high performance.
These strategies aren’t just for the military. Leaders in any sector can benefit from pausing to reflect, setting boundaries, and supporting the wellbeing of their teams.
Key Takeaways for Leaders
  1. Recognise Burnout Early: Learn the signs of stress and create space for recovery before it escalates.
  2. Foster a Culture of Support: Normalise psychological check-ins and encourage open dialogue about wellbeing.
  3. Lead with Humility: Seek feedback and remain open to adjusting your leadership approach.
  4. Build Team Resilience: Use group discussions and collective reflection to navigate challenging experiences.
  5. Prioritise Recovery: Balance periods of intense work with regular rituals for rest and renewal.
Why This Matters
Lieutenant General Frewen’s story is a compelling reminder that even the most experienced leaders are vulnerable to burnout. For people like Andrew aiming for board-level performance or Alex focusing on psychological safety, these insights highlight the necessity of wellbeing as a foundation for sustained leadership.
Take the Next Step
For more, tune in to Episodes 13 and 14 of the Leadership and Wellbeing podcast. Discover how to recover from burnout and lead with renewed clarity and purpose.
https://haydenfricke.com/leadership-and-wellbeing-podcast/
Connect with Hayden:
Building Resilience and Self-Awareness: Lessons from Paul Lacy
In Episodes 11 and 12 of the Leadership and Wellbeing podcast, we explore the deeply personal and professional journey of Paul Lacy, co-founder of Kikki.K and now CEO of Dream Life. These episodes uncover the essence of resilient leadership – how to bounce back from adversity while nurturing a high-performing, psychologically safe workplace.
Rising From Setback: The Kikki.K Story
Paul’s story begins with the rise and fall of global stationery brand Kikki.K. From starting with a dream to growing an international company employing over 1,500 people, Paul and his business partner Kristina Karlsson built something extraordinary. But the challenges brought on by the COVID-19 pandemic saw the company fall into administration not once, but twice.
Despite immense personal and professional loss, Paul shares how he began the process of rebuilding not just a business, but himself. From grief emerged a renewed focus: Dream Life, a venture focused on inspiring people to chase their goals through coaching, mentoring, and beautifully designed wellbeing tools.
The Power of Vulnerability and Coaching
Paul speaks openly about the mental and emotional toll of losing Kikki.K and stepping in and out of the CEO role during those turbulent years. Working with a coach (Hayden) allowed him to develop clarity, emotional regulation, and a renewed leadership mindset. He reframed vulnerability not as weakness, but as strength – a message that resonates with today’s most impactful leaders.
In Episode 12, Hayden reflects on Paul’s courageous decision to seek feedback through a 360-degree assessment. While some insights were hard to hear, Paul used them as a growth tool proving that resilient leaders are also curious learners.
Psychological Safety: A Foundation for High Performance
A key pillar of Paul’s leadership evolution is the creation of psychological safety. Inspired by Amy Edmondson’s research, Paul actively worked to foster a culture where team members could speak up without fear of judgement or reprisal.
Psychological safety doesn’t just support wellbeing, it fuels innovation, collaboration, and high performance. Paul’s leadership demonstrates that when people feel safe, they also feel seen, and that drives extraordinary results.
From Chaos to Clarity: Making Space for What Matters
In our reflections, we also discuss Paul’s shift toward more mindful time management. By reducing back-to-back meetings and scheduling time to reflect, he increased both his wellbeing and his effectiveness as a leader. This echoes insights from Stephen Covey’s important vs. urgent framework and Cyril Peupion’s Work Smarter, Live Better approach.
Key Takeaways for Leaders
  1. Resilience Comes From Within – Even in crisis, you can rebuild your confidence, purpose, and leadership impact.
  2. Feedback Is a Growth Tool – When received with curiosity, even confronting feedback can spark transformation.
  3. Psychological Safety Drives Success – Cultures of trust allow for better collaboration, risk-taking, and innovation.
  4. Create Space for Wellbeing – Leaders need time to pause, reflect, and protect their energy.
  5. Lead With Vulnerability – Authenticity builds trust—and opens the door to deeper team engagement.
Whether you’re building a business from the ground up like Paul, or leading in complex corporate environments these episodes offer powerful, real-world strategies to lead with courage, clarity, and compassion.
Listen now to Episodes 11 & 12 of the Leadership & Wellbeing podcast – https://haydenfricke.com/leadership-and-wellbeing-podcast/
Connect with Hayden: