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What We’ve Learned from Supporting Psychological Injury Claims Beyond 26 Weeks
Psychological injury claims are becoming an increasingly significant challenge for Australian workplaces, frequently associated with longer periods away from work, greater complexity, and more barriers to achieving a sustainable return to work.
Recent NSW workers’ compensation data highlights the growing impact of psychological injury claims. The NSW Government has reported that psychological injury claims have doubled over the past six years, while other claim types increased by only 16% over the same period1. At Interact, our experience reflects these broader trends. From a recent pilot study, we’re seeing an average claim duration of approximately 39-40 weeks for psychological injury referrals, with a growing proportion of workers remaining at no capacity for work beyond six months.
While every situation is unique, supporting hundreds of complex psychological injury claims has taught us some important lessons about what helps people successfully reconnect with work.
The longer someone is away, the bigger the challenge can become.
Contrary to popular belief, the psychological injury itself is not always the primary barrier preventing a worker from returning to work. As time away from work increases, uncertainty often becomes the dominant challenge.
Workers begin asking themselves:
Can I still do my job?
What will my colleagues think?
Have things changed while I’ve been away?
Will I be judged because I’ve been absent for so long?
What if I return and can’t cope?
These questions can create a cycle of avoidance that becomes increasingly difficult to break. The workplace can begin to feel unfamiliar. Confidence declines. Assumptions and fears replace facts. Over time, the prospect of returning to work can become more intimidating than the work itself.
One of the most consistent patterns we see in long-duration claims is that both employees and employers are often navigating uncertainty at the same time.
Employees worry about how they will be received.
Employers worry about saying the wrong thing, overstepping boundaries, or inadvertently creating additional stress. As a result, both sides can become hesitant to act, and unfortunately, when communication stops the gap between employee and workplace often grows wider.
“The longer a worker remains disconnected from their workplace, the easier it becomes for concerns and assumptions to fill the information gap. Meaningful, appropriate workplace connection can help reduce uncertainty and support an individual’s confidence to re-engage when the time is right.”
Helen Jandrlic, Psychologist, Interact
Interact Insight: Our role is to help everyone face the challenge together.
At Interact, we don’t see our role as simply managing a claim. We see ourselves as return to work strategists.
Every workplace has a different culture, structure, leadership style and set of operational demands. Every worker has a unique set of circumstances, concerns and recovery needs. Our job is to understand both.
We work alongside the employee, employer, treating team and insurer to create a pathway that is practical, achievable and tailored to the individual situation.
This often involves:
Understanding the workplace dynamics and specific barriers to return.
Identifying sources of uncertainty and addressing them through education.
Building confidence through gradual exposure and meaningful engagement.
Coaching employers and employees through difficult conversations.
Developing return-to-work strategies that are realistic and sustainable.
Most importantly, we help people face challenges directly rather than avoiding them. As Sean, Interact’s General Manager, explains:
“We commonly talk about the fear of the monster under the bed. Our job is to teach all parties how to face the monster in order to overcome it.”
Sean Betland, General Manager, Interact
Why employer connection matters
Employers are often in a difficult position, wanting to stay connected with their employee and demonstrate support, but unsure how to show interest without unintentionally appearing intrusive, harassing the worker, or breaching their obligations.
We frequently see employers take what feels like the safest option: reducing contact altogether.
While well-intentioned, this approach can sometimes contribute to further disconnection, which can then impact the reality fostering any connection and puts successful return to work in jeopardy. Meaning, the challenge is not whether to stay connected. It’s understanding how to do so appropriately.
Finding the right way to stay connected
There is no universal approach and what works for one worker or organisation may not work for another. This is a key area where working with an experienced rehabilitation provider like Interact Injury Management Partners can help – supporting employers with is establishing an engagement strategy that suits both the individual and the workplace.
This may involve:
Choosing the right workplace representative to speak on the organisation’s behalf. The most appropriate person to maintain contact may not always be the direct manager, and depending on the circumstance, connection with a HR representative, trusted colleague, or rehab consultant may provide a far better pathway to facilitating connection.
Define the right communication method and frequency from the outset. Although simple, collectively defining if outreach via email, calls, text or informal meetings might be the best method of communication, and defining how often communication will take place will ensure expectations are clear for all parties.
Document the pathway forward. Documenting these arrangements from the outset can help build trust, reduce misunderstandings and create certainty throughout the recovery journey.
Key takeaway for employers
If there is one lesson we have learned from supporting psychological injury claims beyond 26 weeks, it is this: Stay connected.
Psychological injury claims are rarely straightforward, don’t follow a template and require expertise on navigating different dynamics, personal circumstances, barriers and opportunities.
That’s why having an experienced consultant to help navigate the claims process, coordinate stakeholders and build a tailored strategy can make a meaningful difference to both recovery outcomes and return-to-work success.
At Interact, we know that every situation and claim we receive contains nuance. We take the time to listen, understand and tailor our approach to the individual, the workplace and the specific challenges involved, because sustainable outcomes don’t come from applying a standard process.
They come from creating the right strategy for the people involved.
