HIP Royal Commission – Gross Negligence and Accountability

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.

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HIP Royal Commission – Risk Registers

Cover of ReportoftheRoyalCommissionintotheHomeInsulationProgramSafetyAtWorkBlog 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.

Risk Register

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)

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Fear of exposure rather than pride in their work

Due diligence” is an established business management concept that only recently came to be applied to occupational health and safety (OHS) in Australia through the Work Health and Safety (WHS) harmonisation process.  It’s credibility comes from the Corporations Act, principally, but also Consumer Protection and, partly, Environmental laws.

iStock_000015900242SmallThe attention given by OHS/WHS professionals and senior executives to due diligence is already changing how workplace safety is managed in a positive way but recently the

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OHS is not all about covering one’s arse

iStock_000005779267_SmallIt 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.
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Zero Accident Vision and its OHS potential

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. Continue reading “Zero Accident Vision and its OHS potential”

The voice of OHS is being reduced to a squeak

The decline of trade union influence in Australia, as membership remains low, has the sad effect of also seeing a reduced voice for some core elements of occupational health and safety (OHS) such as the importance and prominence of the “safe system of work”, the myth of the “careless worker” and the insidious hazard of impairment. These OHS issues remain significant and demand attention but who will be the new voice of workplace safety?

Impairment

Impairment is a collective term that many trade unionists use for workplace hazards such as fatigue, drug use, alcohol use and other psychosocial hazards, such as stress.  Impairment is a useful term as it relates to the worker’s fitness for work and the level of attentiveness that the employer expects as part of the employment contract.  It also ties into the issue of labour productivity as an impaired worker, regardless of the cause of the impairment, is unlikely to be working as hard or as effectively, or productively, as the employer expects.

The downside is that using a collective term makes it more difficult to focus on specific interventions.  Drug and alcohol use can be combated by a combination of preventive education and enforcement through testing  but such strategies cannot be applied to fatigue or stress although both these elements may be contributory factors to drug and alcohol use.  Stress and fatigue are more effectively reduced by job redesign and a reassessment of the organisational structure and morality, in other words, the establishment of a “safe system of work” as required by both the OHS and Work Health and Safety (WHS) laws.

Impairment may have some connotations of disability but its attraction is that it is a neutral term for describing something, or someone, that is not working as intended due to an external factor.  It is a good descriptor but a poor term from which to base anything more than general action.

Safe System of Work

The “safe system of work” has been a term whose definition never seemed to have stabilised in Australia’s legislation.  This is partly because it has been treated similar to a workplace culture, something that is thought to exist but never really understood.

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Ministerial responsibility in finance but not in workplace safety

Ministerial responsibility seems to be advantageous in financial policies but irrelevant to workplace safety going by actions by Australia’s political leaders.  This week former senior (Labor) parliamentarians, Mark Arbib, Peter Garrett, Greg Combet and Kevin Rudd, will be fronting the Royal Commission into Home Insulation to explain their lack of due diligence on workplace safety matters.  This is only a week after the Federal (Liberal) Government released a Commission of Audit report that promoted ministerial responsibility.

The popular perspective is that these ministerial decision-makers will be held to account for the deaths of four young workers but this is unlikely to occur because State occupational health and safety (OHS) laws establish a direct OHS relationship between employers and employees and the senior politicians did not employ anyone who was installing home insulation.  The argument at the Royal Commission mirrors the chain of responsibility concept except that in work health and safety (WHS) legislation, government ministers are not covered by the definition of ‘officer’ and therefore have less OHS/WHS responsibility that anyone heading up a company or organisation.

Labour lawyer

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