PsychosocialGuard

9 September 2026

NSW is reviewing the Psychiatric Impairment Rating Scale, with submissions opening in October

The Psychiatric Impairment Rating Scale, known as PIRS, is the instrument used in New South Wales to assess the degree of permanent impairment from a psychological injury in a workers compensation claim. The impairment percentage it produces determines access to lump sum compensation and, above certain thresholds, to further entitlements. It has been in use for more than two decades and has long drawn criticism for how it rates psychological impairment compared with physical injury. According to the Psychosocial Safety and Leadership Institute's 8 September briefing, a formal review of PIRS is now active. An independent reviewer has been appointed, reference groups have been established, and public submissions are expected to open in October 2026. Anyone relying on this should confirm the current status and timing with the NSW regulator directly. For employers this sits slightly downstream of the psychosocial hazard duty, but it connects to it. PIRS is the back end of the system. It is what a psychological injury is measured against once prevention has failed and a claim is being assessed. A change to how impairment is rated changes the cost and the exposure attached to psychological injury claims, which in turn changes the business case for spending on prevention. If your organisation carries psychological injury claims, or self insures, this is worth assigning to someone to follow. Watch for the submission window opening, read the terms of reference when they are published, and decide whether your organisation or your industry body has a view worth putting on the record. The broader point holds regardless of where the review lands. The most reliable way to manage claims exposure is still to reduce the number and severity of psychological injuries in the first place, and the evidence that you are doing that is a current psychosocial hazard register with controls, named owners and review dates that were actually met.

General information only, not legal advice. Correct as at 9 September 2026. Seek independent advice for your specific circumstances.