I was reading about sphagnum moss and there was a warning about using
gloves and a particle mask when working with it. Seems the stuff can
cause a nasty infection.

This has been well known for some time. The best way to handle NZ Spagnum is to
use gloves and soak the spagnum to control the dust. The reason for the gloves
is to protect against the stuff coming into contact with a break in the skin
and causing an infection.