HIP Royal Commission – Leadership and Culture

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)

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