One of the most ignored, but important, elements of occupational health and safety (OHS) management is the business case. Work on this issue is being completed in Australia by Safe Work Australia but the European Agency for Safety and Health at Work (EU-OSHA) has beaten it to the punch by releasing “The business case for safety and health at work: Cost-benefit analyses of interventions in small and medium-sized enterprises“. This document includes new case studies that provide detailed analysis of cost and return on investment from interventions as varied as a vacuum lifter for pavers to warm-up exercises and task assessments of domestic builders by qualified physiotherapists.
The report found that:
- “Wide-ranging interventions appear to be more profitable than interventions targeting a particular
issue related to the sector of the enterprise.
- Interventions that mainly concern training and organisational change appear to be more profitable than interventions based on technical changes (such as introducing new equipment).
- Interventions that include direct worker (participatory) involvement appear to be more profitable, regardless of whether or not increased productivity benefits are taken into account in the
- In most cases, the enterprises managed to estimate benefits related to increased productivity. It
should be emphasised that increased productivity does not always come as a result of improved
safety and health, but it is taken into account in the context of a business case.” (page 10)
Later this month, the Victorian WorkCover Authority (VWA) will be releasing a document entitled “Integrated approaches to worker health, safety and well-being” (pictured right, but not yet available online). It is intended to generate discussion on how to improve workplace safety performance by breaking down the walls of various disciplines, production processes, consultative silos and institutional or organisational biases. This document builds on the overseas experience of the National Institute of Occupational Safety and Health (NIOSH – Total Worker Health program), the World Health Organisation (WHO – Healthy Workplace Framework) and others to provide an Australian context.
Those who are experienced in risk management principles may see little new in this approach and the publication’s success is likely to depend on how VWA explains the initiative and how its stakeholders, Victorian businesses of all sizes, accept the concept and believe it can work in their own workplaces.
The release of a publication advocating Integration implies that an unintegrated approach to safety management has been an impediment to change. This may be a surprise to risk managers and those who have been consulting broadly on OHS in their workplaces and those companies who have integrated systems managers with responsibility for Quality, OHS and Environment. More…
The 2014 Annual Report of the Victorian WorkCover Authority (VWA) states a new initiative on workplace mental health:
“…a new direction for the VWA’s WorkHealth program has led to the Victorian Mental Wellbeing Collaboration. The VWA has invested in a tripartite collaboration with peak health promotion agencies VicHealth and SuperFriend to develop a range of evidence based tools and resources that will be tested and refined through industry leaders and made broadly available to Victorian workplaces.” (page 25, links added)
Two significant points in this statement are the development of a range of “evidence-based tools and resources” and the pledge to consult. However what is meant by a tripartite consultation in this context is unclear as traditionally OHS consultation has included employer associations, trade unions and government regulators. If health promotion agencies are included in this latest “tripartite collaboration”. Will the employer groups or trade unions be dropped? Consultation on any new OHS/wellbeing initiative should not be constrained in a tripartite combination.
One of the traps in this initiative is the potential confusion by terminologies. “Mental health” is a well-understood term that is readily applied to the workplace by organisations such as the Western Australian Mental Health Commission who quotes the World Health Organisation
“…. good mental health is not simply the absence of a mental disorder. It is a state of wellbeing whereby an individual can realise their own potential, manage everyday stresses, work productively and contribute to their community.” (page 6)
Corporate maturity, especially in the area of workplace health and safety, is an increasingly important consideration in determining the preparedness of an organisation to change and embrace OHS as a crucial element of its business operations. There are several advocates of determining corporate maturity usually based around Hudson’s five levels of maturity, the most recent seems to be the Australian Constructors’ Association (ACA) in conjunction with RMIT University (see parts 8-7 of the document pictured below), but these tools are often aimed at the upper levels of an organisation.
Recently the Center for Construction Research and Training (CPWR) produced a series of handouts that apply a variation of the maturity matrix to separate components of safety culture.
These levels include:
Next month Australia hosts the G20 but there is always a lot of activity leading to this meeting and labour relations is part of that preparation. In September 2014 the G20 conducted its Labour and Employment Ministerial meeting at which a Declaration was released that includes some occupational health and safety (OHS) information. The Declaration is full of “weasel words” and “soft verbs” but it is worth noting so that the actions of governments on OHS in the future can be referenced, even though tangible results will be few.
On promoting safer workplaces, the Declaration states:
“Improving workplace safety and health is an urgent priority that protects workers and contributes to increased productivity and growth. We agree to take further steps to reduce the substantial human and economic costs associated with unsafe workplaces and work-related illnesses. We endorse the attached G20 Statement on Safer and Healthier Workplaces (Annex C), and we commit, as appropriate, to implement its recommendations in collaboration with governments, international organisations and social partners.”
If we were to deconstruct this statement, accepting that the paragraph is extracted from the labour relations context, the Australian Government, and other parties, does not accept that OHS is an “urgent priority”, only that improving it is. Any government can prove that it is “improving” OHS even when controls are removed due to red tape reduction or by the ideological strategy of increasing employer control through increased flexibility. More…
Australia’s Royal Commission into the Home Insulation Program (HIP) spent a great deal of time looking at the design of what started as an environmental initiative delivered in one way to an economic stimulus package delivered another way. The HIP, and the people working with it, struggled to accommodate these changes. A new book from Baywood Publishing in the United States, coincidentally, looks at the growth in ‘green jobs” and, among many issues, discusses how such jobs can affect worker health.
In “Business, Environment, and Society – Themes and Cases” Vesela R Veleva writes
“Green jobs, however, are not necessarily safe jobs, and, any of the current green technologies pose significant health and safety risks to workers. A life-cycle approach and greater emphasis on worker health and safety is necessary when promoting future policies and practices. (Page 7)
The advantage of looking at the HIP inquiries as green jobs is that it provides a broader, even global, context to the scheme. Veleva writes:
“While there is no universally accepted definition of a green job, several organisations have proposed working definitions. The United Nations Environmental Program defines a green job as “work in agriculture, manufacturing, research and development, administrative and service activities that contribute substantially to preserving and restoring environmental quality”…. The US Bureau of Labor Statistics defines green jobs as jobs involved in producing green products and services and increasing the use of clean energy, energy efficiency and mitigating negative impacts on the environment…” (page 9)
Australian recruiting firm, Sacs Consulting, has released the findings of a survey entitled “Dangerous Personalities making work unsafe“. Such surveys are predominantly marketing exercises and usually, as in this case, there is a limited amount of data available but the results are often broadly distributed and add to the discussion about workplace safety.
The headline itself is a red flag to occupational health and safety (OHS) professionals who are old enough to remember the debate about “blaming the worker” for OHS breaches, injuries and illnesses. Most safety managers and corporate safety programs are applying a “no blame” philosophy to combat the worker focus but the reality is that workers are still being blamed and being dismissed for safety breaches. The Sacs Consulting survey confirms the growing worker focus by looking at the personal rather than the organisational.
The Sacs study found:
“…that some people still ignore OHS rules and act unsafely in the workplace, whereas others value their own safety and that of their colleagues so actively that they try to improve the safety of their workplace. Using personality and values testing, the study was able to predict whether an individual is more or less
likely to be safe at work.” (page 1) More…
Little of the recent commentary on the findings of the Royal Commission into the Home Insulation Program (HIP) have mentioned the opinion of the Royal Commissioner Ian Hanger that the Australian Government acted in a “grossly negligent” manner. Such a comment deserves considerable analysis by a specialist lawyer but it remains a remarkable criticism in terms of obligations under OHS/WHS laws.
Commissioner Hanger wrote:
“To encourage inexperienced young people to work in an environment where there was a risk of defective electrical wiring, and allow them to install conductive material was, in my opinion, grossly negligent. It is no answer for the Australian Government to say that it was the responsibility of those young people’s employers to protect them.” (para 5.2.20, emphasis added)
Gross negligence has been equated to the term “reckless endangerment” included in Australia’s Work Health and Safety laws. One legal website site says that:
“Reckless endangerment is the offense of engaging in activity that has a disregard for risks with foreseeably dangerous consequences.”
Commissioner Hanger’s comments certainly seem to fit reckless endangerment as the risks, not only of electrocution but simply from working in domestic roof spaces, were well known.
The findings of the Royal Commission into the Home Insulation Program (HIP) deserve a great deal of analysis by the safety profession. Amongst the lessons are important ones concerning leadership, culture and consultation.
The final report identifies major deficiencies in the design and administration of a major project regardless of the politics and jurisdictional argy-bargy. Although many are disappointed the report did not identify any big name politicians as the major evildoer, Commissioner Ian Hanger is brutally forthright when necessary.
In the introduction of the report, there are several references to what a “competent administration” would have done, clearly implying that the government of then Prime Minister, Kevin Rudd, was incompetent in the management of HIP. In fact Hanger writes:
“It ought also to have been obvious to any competent administration that the injection of a large amount of money into an industry that was largely ‘unregulated’ would carry with it the risk of rorting and other unscrupulous behaviour.” (para 1.1.19)
“It ought to have been obvious, to any competent administration, that such an exponential increase in work to be undertaken would require a similarly huge increase in the workforce to do it.” (1.1.9)
“The reality is that the Australian Government conceived of, devised, designed and implemented a program that enabled very large numbers of inexperienced workers—often engaged by unscrupulous and avaricious employers or head contractors, who were themselves inexperienced in insulation installation—to undertake potentially dangerous work. It should have done more to protect them.” (1.11.18)
SafetyAtWorkBlog has written previously about the evidence of Margaret Coaldrake to the Royal Commission into the Home Insulation Program (HIP) given at the public hearings and also the occupational health and safety role of risk management and risk registers. The release of the Royal Commission’s final report on 1 September 2014 provides further details on a risk management process that is common to all large projects.
Commissioner Ian Hanger spent considerable time on the issue of the risk register as this was one of the crucial elements in the project’s whole decision-making process up to Ministerial level.
Commissioner Hanger was scathing of the risk management process that not only ignored the risk of worker fatalities but purposely dropped this risk from the register. He was unforgiving in his criticism of Margaret Coaldrake. He criticised her judgement. In working with her Minter Ellison colleague Eric Chalmers:
“it was up to [Coaldrake] to make sure that she and the people working with her were qualified to provide the service that Minter Ellison consultants had been retained to do.” (para 7.11.15)