economics – Page 40 – SafetyAtWorkBlog

Brothels continue to misunderstand the employee/contractor difference

For many years the brothel industry in Victoria has struggled with its occupational health and safety obligations, not because it does not understand them but that it denies OHS laws are relevant as many in the industry continue to believe that sex workers are not employees. Some use a Tax Office ruling on employee status to support their argument against OHS.

A recent investigation by the Fair Work Ombudsman (FWO) seems to further illustrate the industry’s misunderstanding of employees. According to an FWO media release nineteen brothels, over 70% of brothels investigated, underpaid clerical staff around $A65,000 but of more relevance to OHS is that

“Some businesses were found to have misclassified employees as independent contractors.”

This was a position put by many brothel owners and industry lobbyists when I was consulting and writing about the industry almost a decade ago. For a long time OHS laws have extended beyond the employee/employer relationship to include those affected by the work being undertaken on the premises. The more modern Work Health and Safety laws go further by focussing on the work activity rather than the place of work.

As the OHS/WHS focus increases on psychosocial hazards – impairment, fatigue, stress etc – the adult entertainment industry has particular challenges; challenges that could be seen as threats or opportunities but certainly challenges that will not go away. It is very positive that the industry groups have agreed to support a specific website for the sex industry but now they need to start working seriously on complying with their OHS/WHS obligations through collaboration, consultation and innovation, instead of denial.

Kevin Jones

More on this industry and this topic can be found in an earlier SafetyAtWorkBlog article.

Citi Research report provides insight into Australian corporate safety performance

On 29 January 2014 Australia’s Fairfax newspapers published an article called “Safety performances at Australia’s top companies is serious business” written by Adele Ferguson. The article is based on an analysis by Citi Research of the safety performance of companies listed in Australia’s ASX100 share index. Citi Research (Citi) has kindly provided SafetyAtWorkBlog with a copy of this report developed for its fund manager and superfund clients. It is a terrific reference document providing a useful insight to the OHS performance of prominent Australian corporations. It cannot be definitive but we know of nothing else like it in Australia.

In the Fairfax article Ferguson wrote:

“While safety is a complex issue largely due to the fact that safety records are difficult to measure and difficult to compare across companies and industries, it is an important area to explore. For starters, it is a good proxy for the way a company deals with staff and manages risk more generally.”

Safety does not have to be complex but the measurement of safety performance can be as, even though there is a (dreadfully outdated) Australian Standard for measuring OHS performance, companies tweak the existing measures and the principal measurement, the Lost Time Injury Frequency Rate (LTIFR), has been found to be a flawed indicator. LTIFR is tolerated as a measurement simply because a better alternative has not been developed or widely accepted.

The Citi Research report lists LTIFRs for most of the 117 companies but it balances this with almost as many Total Recordable Injury Frequency Rates (TRIFR).

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Interesting new appointment at South Australia’s Master Builders

Modern workers rarely stay in jobs longer than six or seven years because they choose to move on or are working on projects that have a short lifespan. Sometimes opportunities arise that can steer people in unpredictable directions, sometimes to positions of influence. One example of this type of journey could be Ian Markos.

One newspaper recently wrote:

“The recently appointed director of policy for the SA branch of the MBA, Ian Markos, said a “nanny state” approach was stifling job creation. “There’s a raft of laws and regulations. You’ve got employment laws, you’ve got taxation laws, you’ve got environmental laws, you’ve got work health and safety laws, local council regulations. We’re saying enough is enough,” he said.”

Criticism of occupational health and safety (OHS) laws is not surprising from the Master Builders Association but Ian Markos was with South Australia’s OHS regulator, SafeWorkSA, for many years (with a once-only appearance on Gardening Australia) as the Chief Officer, Compliance, Advisory, Legal and Investigations. Continue reading “Interesting new appointment at South Australia’s Master Builders”

New book provides fresh context to OHS

SafetyAtWorkBlog regularly receives excellent review books from the New York publishing company, Baywood Publishing. The latest is entitled Safety or Profit? – International Studies in Governance, Change and the Work Environment. I have yet to get beyond the introduction to the chapters by Australian academics on precarious workers (Quinlan) and the decriminalisation of OHS (Johnstone) but the introduction is fascinating.

The most fascinating is its discussion of Lord Robens’ Report of the Inquiry into Health and Safety at Work from 1973. The editors, Theo Nichols and David Walters, question the “major advance” many claimed for the Robens report by comparing it reviews 40 years earlier. Nichols and Walters quote the conservatism that led to Robens seeing criminal law as being “largely irrelevant”, and legal sanctions being “counter to our philosophy”. However, they do admit that Robens was prophetic on the growth of self-regulation and the duties of care.

Nichols and Walters also remind us that the Robens-inspired Health and Safety At Work Act of 1974 did not recommend the creation of Occupational Health and Safety (OHS) representatives.

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Moral conflicts in store for Australian politicians and bureaucrats

iStock_000016528694XSmall 2014 is going to present tough challenges to Australia’s politicians and corporate leaders. The Royal Commission into the Home Insulation Program, in particular, is going to illustrate and perhaps generate ideological conflict.

The Home Insulation Program (HIP) was established quickly to address a looming economic crisis. Politicians and business leaders wanted Australia to avoid the global recession and they needed creative solutions. Various importance governance and safety elements appear to have been sacrificed to achieve the economic ends. In 2014, the politicians of the time and bureaucrats will be grilled over why they made these decisions. Various inquiries have already identified that these decisions contributed to the deaths of four young workers. In 2014, these decision- and policy-makers will be held to account for the fatal consequences of their economic decisions.

There has long been a conflict between the pursuit of profit and the pursuit of safe working conditions. The Royal Commission, and the surrounding debate, is likely to place this conflict squarely in the highest levels of Australia’s government and public service. Below are some of the issues that the Australian government and business sector are likely to face in 2014. Continue reading “Moral conflicts in store for Australian politicians and bureaucrats”

Safety leadership and the red tape drag

Red Tape scribble During a recent seminar I produced the doodle on the right, which depicts what I think the speaker was talking about. Safety is a goal that can be best achieved through improving a company’s leadership qualities. However all companies seem to be restricted by red tape, however one defines that. Can this journey be improved?

Decrease the baggage

It may be possible to reduce or minimise the red tape baggage. Most Western governments are attempting this through inquiries and reviews but this is assuming that it is government bureaucracy that has created this baggage. In Australia over the last fifty years Governments have allowed business great flexibility in how it achieves OHS compliance and safe workplaces (definitely not the same thing) by reducing the prescriptive basis of OHS laws. It may have been reasonable to expect that the loss of prescriptive safety would decrease paperwork but over the same time there has been increasing calls for less red tape from government. Continue reading “Safety leadership and the red tape drag”

Politics before safety in South Australia

Occupational health and safety (OHS) eyebrows were raised in Australia recently as a State Government suspended the application of three construction-related codes of practice, principally, on the basis that compliance will cost too much. The decision by South Australia’s Minister for Industrial Relations, John Rau, following a report by the Small Business Commissioner, Mike Sinkunas, illustrates several issues:

the SA government is overly influenced by the Housing Industry Association (HIA),
small business is being misinformed on how workplace safety works,
the application of “reasonably practicable” has been ignored, and
the unions and safety profession do not know how to respond.

Continue reading “Politics before safety in South Australia”

Category: economics

Brothels continue to misunderstand the employee/contractor difference

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Citi Research report provides insight into Australian corporate safety performance

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Interesting new appointment at South Australia’s Master Builders

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New book provides fresh context to OHS

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Moral conflicts in store for Australian politicians and bureaucrats

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Safety leadership and the red tape drag

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Politics before safety in South Australia

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