Category: economics

OHS issues from over the horizon

seaOn 18 March 2015, the Melbourne office of Herbert Smith Freehills conducted a breakfast seminar that doubled as a launch for the latest edition of the CCH Wolters Kluwer book Australian Master Work Health and Safety Guide (reviewed recently).  The seminar had three of the book’s authors talking about emerging occupational health and safety (OHS) and work health and safety (WHS) issues for Australia.  These included

  • The growth of WHS/OHS “Assurance Programs”
  • The potential implications for the safety management from the Trans-Pacific Partnership and Free Trade Agreements.
  • The OHS trend in the European Union for “Supply Chain Safety“.

The first two of these topics are discussed below.

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New research on OHS business case

cover of business-case-for-safe-healthy-productive-workSafe Work Australia recently released its second research paper related to developing or communicating a business case for occupational health and safety (OHS).  The paper has been authored by Sharron O’Neill and is called “The Business Case for Safe, Healthy and Productive Work – Implications for resource allocation: Procurement, Contracting and infrastructure decisions“.  O’Neill’s paper clearly challenges the dominant thinking of OHS and costs.

O’Neill states that the quality of previous analyses of OHS business costs have been “fundamentally poor”, partly because

“Rather than strategically examining the cost-benefit to business of work health and safety, the typical ‘silo’-driven analysis produces a narrow focus on a very different concept; the cost-benefit to business of health and safety interventions. This has obscured much of the potential for improving  organisational productivity and operational decision-making.” (page 4, link added)

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Will workers be safer through an expansion of Comcare?

At a recent breakfast seminar, Steve Bell of Herbert Smith Freehills mentioned that a Bill is with the Australian Senate that will open up the Comcare scheme to Australian businesses through the removal of the national competition test.  This move has been flagged for some time with several lawyers expressing reservations.  Bell mentioned this to the audience of OHS professionals as the law changes could present a substantial change to their operational knowledge base. The Bill is part of a larger debate on OHS.

In a July 2014 article, the Australian Lawyers Alliance (ALA) warned that:

“The proposed changes to Comcare will not only throw state and territory-based workers’ compensation schemes into fiscal chaos, but will also see injured workers left out in the cold,” ALA National President Geraldine Collins said.

“If this legislation is passed, employers may move their workers into the Comcare scheme, thus leaving huge holes of unfunded liability in state schemes which is likely to result in state-based premiums soaring.”

“Opening up the Comcare scheme will be disastrous for workers. Comcare has no meaningful access to common law damages for injuries caused by the negligence of an employer. The scheme is burdensome, paternalistic, and bureaucratic for workers and employers.  Its design means premiums have to go up unless benefits are slashed ,” Ms Collins said.

“Comcare also has no meaningful workplace health and safety regime.  Work environments will develop where lives are lost and permanently damaged with little oversight and enforcement of workplace health and safety.  It is a fundamentally flawed minimalist scheme.  Migration en masse will strike at the heart of the financial stability of state schemes, which are mostly running fairly,” Ms Collins said.”

Continue reading “Will workers be safer through an expansion of Comcare?”

The SIA identifies four big issues for it in 2015

The Safety Institute of Australia‘s (SIA) CEO David Clarke revealed his four big issues for the SIA at a recent breakfast function in Melbourne.

Policy Agenda

Clarke stated that he had instigated the creation of a National Policy Agenda for the SIA – a first for the over 60-year-old registered charity.  Clarke emphasised that the SIA needed to understand the language of government, employers and unions as it relates to safety.  The significance of the agenda was reinforced by Clarke who said that without such a strategy, the SIA would struggle for relevance.

Certification

Another priority was the certification of the occupational health and safety (OHS) profession in Australia.  Clarke admitted that this was a controversial move but sees the establishment of a “licence to operate” as vital to increasing the status of the profession. Continue reading “The SIA identifies four big issues for it in 2015”

Productivity Commission looks at workplace bullying – not really

The Australian Government has announced an inquiry into workplace relations through the Productivity Commission (PC). The most obvious occupational health and safety (OHS) element of this inquiry relates to workplace bullying which is discussed in the fourth of five issues papers released in January 2015. However the purposeful separation of workplace bullying actions through the Fair Work Commission (FWC) from actions in other sectors, such as OHS regulators, limits the potential impact of the inquiry on this issue.

The PC issues paper acknowledges the lack of the anticipated avalanche of anti-bullying applications and accepts that the structure of the FWC process may be partially responsible.  This lack of applications, an issue discussed

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New book challenges current OHS trends

Quinlan coverProfessor Michael Quinlan has a new book that focuses on lessons from recent mining disasters but, as with the best of occupational health and safety (OHS) books, it challenges orthodoxies.  Some OHS consultants and experts have built careers on these orthodoxies, trends and fads, and will feel uncomfortable with the evidence put forward by Quinlan in “Ten Pathways to Death and Disaster – Learning from Fatal Incidents in Mines and Other High Hazard Workplaces“. The honesty and humanity in this book makes it an essential part of any OHS professional’s library.

Quinlan establishes an important tenet from the very start:

“… knowledge is not created in a social vacuum.” (page xi)

This simple dictum is vital to an understanding of the true causal factors on OHS decision-making.  People die from OHS failures.  Politicians create laws and situations that can encourage failures, increase risk and can provide a veneer of respect for heartlessness and exploitation.  Business owners may feel pressured to place production before safety.  Some OHS writers and advocates stop, often unconsciously, at the point where their theory or market research would fail scrutiny.  Some apply critical thought only “as far as is reasonably practicable” to continue a business activity that is short-term or to sell their consultancy package to gullible or naive corporate executives.

Quinlan writes of the “political economy of safety”:

“The political economy perspective argues that safety, including workplace disasters, can only be understood in the context of the distribution of wealth and power within societies, and dominant social policy paradigms that privilege markets and profit, production or economic growth over safety.” (page 24, emphasis added)

To many readers this may sound like socialism in its mention of wealth distribution and power but such a perspective is valid even though it may be unfashionable.  Such a broad perspective allows for a critical assessment of other OHS research approaches such as, for instance, the culture advocates. 

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