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‘Moment of historic consequence’ – Managing mental health and AI

‘Moment of historic consequence’ – Managing mental health and AI

Artificial intelligence “will change everything” according to the Deputy PM and many others

With artificial intelligence dominating the national conversation, AREEA’s Policy and Programs Manager, Dr Stephanie Black, writes this piece examining the implications for mental wellbeing. 

Artificial intelligence (AI) is transforming Australia’s workforce at a scale and pace prompting Deputy Prime Minister Richard Marles to declare this a “moment of historic consequence” and that “AI will change everything”.

For employers in the resources and energy industry, this transformation presents vast operational opportunity, but it also introduces new and complex challenges for workforce mental health and wellbeing.

The Pace of Change Is Accelerating

As outlined in the ACS Australia’s Digital Pulse 2025 report, 60% of business leaders say their organisations will be using or trialling generative or agentic AI within the next two years. The global market for agentic AI alone is forecast to grow from $130 million in 2024 to $317 billion by 2034.

In the Australian resources and energy sector, AI is already playing a growing role in automation, predictive analytics, process efficiency, and environmental monitoring. But with each advancement, there are also human impacts to consider—particularly on the mental health of workers navigating an uncertain and rapidly evolving future.

The Skills Gap Is Driving Uncertainty

The Digital Pulse 2025 report reveals a widespread readiness gap. More than 60% of the workforce feel under-skilled in using AI tools, and even among tech workers, 41% say they lack the necessary AI capabilities. Alarmingly, just 1% of employers consider recent graduates job-ready for AI-centric roles.

For workers in regional and site-based roles, where digital upskilling may be less accessible, this gap risks deepening. The result can be heightened anxiety, job insecurity, and disengagement—all of which are known contributors to poor mental health outcomes.

In a sector where safety is paramount and performance is mission-critical, these issues cannot be ignored.

AI Readiness Must Include Wellbeing Readiness

While national discussions rightly emphasise the need for sovereign AI strategy, infrastructure and workforce capability, mental health must be embedded in any AI-readiness roadmap. Adopting powerful new technologies without preparing people culturally and emotionally risks increasing psychological strain—particularly for those who feel left behind.

The resources and energy sector is already a high-demand environment. Adding rapid digital disruption without sufficient support could erode trust, morale, and psychological safety.

How AREEA Is Supporting Members

AREEA recognises that AI presents both promise and pressure. We are working with our members to meet this moment by embedding mental health and workforce wellbeing into digital transformation strategies, including:

  • Workplace mental health training tailored for remote and high-intensity settings.
  • Change management and people strategy support to help employers lead through uncertainty with care.
  • Facilitation of peer learning regarding future-skilling and AI-readiness resources.
  • Research and benchmarking to share workforce insights and proactive practices across the sector.

Our goal is to ensure members can innovate with confidence—knowing their people are equipped, supported, and valued through every phase of change.

Moving Forward

AI will change everything. But whether that change leads to workforce empowerment or anxiety depends on the steps we take now. As this moment of historic consequence unfolds, the Australian resources and energy industry has an opportunity—and a responsibility—to ensure that transformation includes not just smarter systems, but healthier, safer, and more supported people.

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