Across Australia, psychological safety is increasingly promoted through policies, wellbeing initiatives and inclusive language, yet many workplaces remain psychologically unsafe in practice. This article argues that the gap between rhetoric and reality is not a cultural flaw but a governance failure. Psychological safety is not about comfort, happiness or resilience—it is a work health and safety obligation tied to the management of psychosocial hazards such as bullying, poor leadership, role ambiguity and unsafe power dynamics. Drawing on Australian regulatory guidance, compensation data and real-world examples, the article reframes psychological safety as a system of risk controls rather than a morale initiative. Posters, cupcakes and resilience training are exposed as performative substitutes for effective hazard management. True psychological safety is created through job design, onboarding, clear expectations, fair processes, capable leadership and consistent accountability. Without these controls, silence replaces learning, harm escalates into claims, and organisations incur significant human, legal and financial cost. Psychological safety, ultimately, is a governance and risk discipline—not a branding exercise.
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