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)
Australia’s Prime Minister Tony Abbott provided his interim response to the Royal Commission into the Home Insulation Program (HIP) in Parliament on 30 September, 2014. One should not expect much sustainable or cultural change from an interim response but Abbott’s responses hold some promise.
The commitments include:
“…[asking] Minister Hunt [Environment] to assume responsibility to oversee the Commonwealth response and to coordinate actions across departments and ministers.”
“…[asking] the Minister for Employment to examine these [OHS] findings, particularly as they relate to the reliance of the Commonwealth on state and territory laws, and his work will inform the government’s final response.”
“Minister Hunt and the Minister for Finance have been asked to recommend options to compensate their next of kin [of the deceased workers]“
The annual Safe Work Australia month starts today. The promotion of this month has fluctuated wildly over the last decade. Sometimes there are physical launches with interesting speakers, sometimes balloons and merchandise, other times the national OHS authority has left most of the activity to the States. In 2014, Safe Work Australia has jumped into internet videos, online presentations and webinars each day of the month of October (the full schedule is available HERE). This initiative is to be supported but it has not been tried before in Australia and its success is not guaranteed.
As expected the first couple of videos are polite launches of the strategy with statements from Ministers and CEOs. The potential for valuable content is after the initial launch but this value is debatable. It is unclear who the target audience is. If the seminar series is for OHS newbies, a restatement of legislative OHS obligations is of little interest to experienced safety managers and professionals. More…
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)
Macquarie University researcher Sharron O’Neill is traveling around Australia refining, through consultation and seminars, her research into Work Health and Safety (WHS) Due Diligence. In a Melbourne seminar this week O’Neill, and her colleague, Karen Wolfe, provided thought-provoking discussions on three principal areas:
- Due Diligence,
- Performance Indicators, and
Below are some of my thoughts that they provoked.
WHS Due Diligence
WHS Due Diligence is still a poorly understood concept. Part of the reason is that the major explainers of due diligence seem to be, predominantly, labour lawyers who, not surprisingly, emphasis the legal requirements and origins rather than the safety elements and application. There are few safety professionals who are explaining due diligence; rather they are discussing OHS/WHS in the context of due diligence.
One colleague explained how an established organisation employed her as their first dedicated OHS professional around the same time as due diligence was being discussed as part of the national OHS harmonisation process. By looking through the company’s existing system of work, More…
It is very common to hear people say that the core motivation for introducing or improving workplace safety management is to cover one’s arse (to protect oneself from various legislative and reputational exposures), be that the collective arse of management, the board and executives or the arse of the individual worker. This is a fundamental misunderstanding of the intention occupational health and safety (OHS) laws and principles yet the fear of reputational damage is a strong motivator of change with which safety professionals should learn to work and, perhaps, exploit, particularly as the traditional methods for corporate embarrassment, the media, are declining.
The most pertinent research on reputation risk as a motivator for OHS change seems to come from the UK’s Health and Safety Executive in 2005. In a summary report on research into compliance, HSE looked at the motivations of employers for change. It found that reputational damage was one of many motivators and that each was given around the same weight in deliberations but that
“Respondents cite newspaper reports covering serious incidents and requirement to advise customers of incidents as the best way of increasing risk of reputational damage, followed by a requirement to report health and safety in company reports. ” ( page 10)
This change catalyst relies on two increasingly fragile criteria – the media and annual reports. The media has rarely reported on OHS issues unless the incident
- has caused major disruption
- involves a high profile individual or company
- involves children
- can be given a party political context.
In 2013 the Safety Science journal allowed open access to an article that discusses “The case for research into the zero accident vision” (ZAV). The terminology is slightly different but seems compatible with the “zero harm” trend occurring in Australia. The authors acknowledge that
“…. many companies with a good safety reputation have adopted a zero accident vision, yet there is very little scientific research in this field.” (link added)
Although the discussion revolves around experience in Finland and Finland has a unique culture, the concepts discussed are indicative of the ZAV:
- “accounting for complex contexts;
- setting up norms, rules and performance indicators;
- identifying the role of safety climate and safety culture;
- studying human behavior.”
The authors’ short discussion of context is important as it acknowledges the state of knowledge of hazards and advocates systemic analysis. It also mentions dealing with ‘normal accidents” in complex settings that leads to either looking for safer substitutes or ‘high reliability theory’ and ‘resilience engineering’. Context is vital but there is also the trap of paying too much attention to context and not enough to the hazard, a situation that can often happen with wellbeing programs. More…
How can an OHS regulator get the management of its own staff so wrong?
In June 2014, a NSW Parliamentary inquiry released its final report into Allegations of bullying in WorkCover NSW, that State’s occupational health and safety (OHS) regulator. The report found that
“…Workcover has a significant organisational problem with bullying. This problem is a longstanding one and operates at a cultural level.” (page x)
The Committee Chairman Hon Fred Nile MLC, wrote that
“more effective leadership and governance is essential.” (page x)
Longstanding bullying problems? Problems with leadership and governance? Many companies and public sector organisations have had similar issues ambulances, police, fire services, research organisations, to name a few, and are working them through. What happened in New South Wales?
When people mention safety, they are often really talking about risk. In a similar way, people talk about the absurdity of ‘elf ‘n’ safety when they actually mean public liability or food safety or HACCP. And when some professionals talk about risk management they mean minimising the cost to the employer or controlling reputational damage.
Recently two books were released that illustrate the limitations of the current Western/patriarchal society’s approach to workplace safety. Dr Dean Laplonge has written about gender and its role in making decisions and Dr Rob Long has written his third book on risk “Real Risk – Human Discerning and Risk“. Both deserve close reading and that reading should be used to analyse how safety professionals conduct their work, the organisational environment in which they work and the cultural restrictions imposed in their technical education.
Laplonge has written a book out of the extensive research and training on gender issues in the mining industry. “So you think you’re tough? – Getting serious about gender in mining” provokes thoughts and self-analysis about gender in the workplace and safety management systems. This perspective may be part of the reason that attempts at changing safety cultures, particularly in industries where there is a strong gender imbalance – construction, mining, emergency services, nursing, teaching, struggle. (For those who cannot purchase the book, check out this free publication on the topic from the WA Department of Mines and Petroleum) More…