Diagnosis must come from physician, nurse practitioner, psychologist or psychiatrist
Occupational health and safety (OHS) professionals in Newfoundland and Labrador should review their harassment-prevention programs and investigation practices, as WorkplaceNL has amended its psychological injuries policy.
The organisation is now compensating workers diagnosed with a psychological injury caused by workplace harassment, effective June 1, 2026.
Affected workers may be eligible for wage-loss benefits, health-care benefits and return-to-work services through the provincial workers' compensation system.
"A psychologically safe workplace is important to the well-being of workers and workplaces," said Elizabeth Lane, CEO of WorkplaceNL. She said the change strengthens support for workers experiencing psychological injury due to harassment and raises awareness of respectful, healthy work environments.
For workers to qualify, their diagnosis must come from a physician, nurse practitioner, psychologist or psychiatrist. In complex cases — such as where a non-work-related event may have contributed — WorkplaceNL may require a further assessment by a psychiatrist or psychologist.
Work-related psychological injuries are increasing in both number and cost compared to physical injuries, and Canadian jurisdictions remain far less coordinated in how they prevent and manage these conditions than their Australian counterparts, according to new research from the Institute for Work & Health (IWH).
How harassment is defined
WorkplaceNL will consider claims involving "aggressive, intimidating or discriminatory conduct by a person against a worker" that harms the worker's health and safety and results in a diagnosed injury.
A single incident may qualify. The policy states harassment "may involve repeated conduct or comments, or a single serious occurrence."
The agency must verify the conduct occurred and may rely on the findings of an investigation conducted by an organization external to WorkplaceNL — placing added weight on the rigour of employers' third-party investigations.
What remains outside coverage
Burn out from usual duties, workplace change or performance demands is not compensable, nor are claims tied to reasonable management actions such as termination, demotion, discipline or transfer.
Claims related to interpersonal relationships or conflicts are not compensable unless they constitute harassment. Injuries that develop gradually due to general workplace conditions are also excluded.
Every claim still requires a diagnosis described in the latest Diagnostic and Statistical Manual of Mental Disorders, such as acute stress disorder, PTSD, adjustment disorder, or an anxiety or depressive disorder.
Existing coverage and timeline
The amendment builds on coverage for psychological injuries caused by traumatic events, which can include the cumulative effect of multiple events even where the most recent is not the most traumatic.
Presumptive PTSD coverage also remains in place, applying to injuries occurring on or after July 1, 2019, under Section 112 of the Workplace Health, Safety and Compensation Act, 2022.
WorkplaceNL approved the revised Policy EN-18 on May 21, 2026, with an effective date of June 1, 2026. The next scheduled review is May 21, 2029.
Here’s how harassment can impact workers’ mental health, according to think tanks:
|
# |
Mechanism |
Canadian Data |
Source (Type) |
|
1 |
Chronic stress → strain & burnout |
Psychological strain is prolonged distress from chronic exposure to stressors, and about one in three working-age Canadians experience burnout |
Canadian Psychological Association, “Psychology Works” fact sheet, 2024 (mental-health expert body) |
|
2 |
Experienced as workplace trauma |
Coworkers (29%) and direct managers (27%) are among the most frequent sources of workplace trauma, and about 38% of affected workers are still impacted by it |
Mental Health Research Canada (with Canada Life / Workplace Strategies), 2023 (mental-health research body) |
|
3 |
Erosion of psychological safety |
Violent or aggressive behaviour creates a psychologically unsafe work environment filled with fear and anxiety |
Canadian Mental Health Association (Ontario), Workplace Mental Health Promotion (mental-health expert body) |
|
4 |
Progression to illness & disability |
Roughly 70% of workplace disability costs are attributed to mental illness; about 500,000 Canadians miss work each week due to a psychological health issue |
Mental Health Commission of Canada, 2023 (national mental-health body) |
|
5 |
Economy-wide productivity loss |
Depression costs approximately $32.3 billion and anxiety approximately $17.3 billion a year in lost productivity (older estimate — verify current figure) |
The Conference Board of Canada (think tank) |
