Double your money, invest in OHS

The corporate wellness advocates have been able to estimate the return-on-investment (ROI) for their programs but there has been little research on the return-on-prevention, until recently. In 2012 the International Social Security Association (ISSA) determined that, in microeconomic terms,

“…there are benefits resulting from investment in occupational safety and health… with the results offering a Return on Prevention [ROP] ratio of 2.2.”

This means that for every one dollar spent per employee per year the potential return is 2.2 dollars.

The report also found that OHS provides, amongst other benefits:

  • Better corporate image
  • Increased employee motivation and satisfaction, and
  • Prevention of disruptions.

But why bother costing harm prevention when there is already a legislative requirement to provide safe and healthy workplaces? Such a question usually comes from those whose understanding of OHS is principally compliance and who believe compliance equals safety.

The calculation of ROP, in the ISSA report at least, counters the belief that safety is always a cost with no economic benefit to the company. A positive ROP provides an opportunity to actively participate in the economic debate over productivity and, in some countries, austerity.

Kevin Jones

Australian Government shifts workplace bullying into the industrial relations system

Politicians are sufficiently media-savvy to release policies and information to gain the maximum exposure in the media cycle.  For some reason, Australia’s Workplace Relations Minister, Bill Shorten, missed the opportunity to have his changes on workplace bullying in the newspapers for 12 February 2013.  The news cycle is also being dominated by the resignation of Pope Benedict.  However Shorten’s response to the Parliamentary Inquiry into Workplace Bullying deserves detailed analysis.

??????????????????????????????????Shorten is bringing the investigation of workplace bullying cases under the Fair Work Commission.  There are likely to be complex consequences of this decision, a decision that is clearly the Minister’s as the Parliamentary Inquiry made no clear recommendation on the location of the “new national service”.

“The Committee did not receive evidence on where such a service [“a single, national service to provide advice to employers and workers alike on how to prevent, and respond to workplace bullying” 5.51, page 136] should be located.  It might be best situated within an existing government agency or department such as Safe Work Australia, the Fair Work Ombudsman or the Department of Education, Employment and Workplace Relations.  It may also be considered appropriate for the service to be an independent body that is funded by the Commonwealth. Consequently, the Committee does not have a clear recommendation as to where the new national service may sit.” (Section 5.58, page 138)

Clearly Shorten’s announcement could easily have been “Minister rejects independent body on workplace bullying”.  The Minister should be asked about his reasons for not establishing an independent body into this important issue. Continue reading “Australian Government shifts workplace bullying into the industrial relations system”

How can one learn from OHS mistakes if those mistakes are hidden?

Occupational health and safety (OHS) regulatory agencies have existed for decades, originally with an enforcement role but increasingly aimed to prevention and education.  It is fair to say the “2nd generation” of OHS regulators in Australia appeared in the 1980s.  It is also fair to expect to be able to readily access the corporate memory and prosecutorial activity of the regulators, particularly since the growth in the Internet. Very recently WorkSafe Victoria reviewed its online database of OHS prosecutions excising prosecution summaries prior to 2012.  This decision is a major weakening of the “state of knowledge” about workplace safety in this State, a decision that some have described as outrageous.  How can one learn from mistakes if those mistakes are not made available?

Continue reading “How can one learn from OHS mistakes if those mistakes are hidden?”

OHS statistics sound good but do not reflect reality

SafetyAtWorkBlog has questioned the veracity of occupational health and safety statements by Victoria’s Assistant Treasurer, Gordon Rich-Phillips, previously.  Early in January 2013, Minister Rich-Phillips stated that:

“Victoria’s workplaces had the safest year on record in 2012…”

Victorian businesses, workers and policy-makers would benefit enormously if the government were to focus on achieving independent accurate data of workplace injury, illness and business costs instead of cherry picking statistics for political gain. Continue reading “OHS statistics sound good but do not reflect reality”

Victorian Government refuses to release full costings of OHS laws

FOI PwCThe Victorian Government has repeatedly claimed that new Work Health and Safety laws would cost billions of dollars to introduce. It has justified this political decision with a summary of a report produced by PricewaterhouseCoopers (PwC) in April 2012.  SafetyAtWorkBlog applied for the full report under Freedom of Information (FOI)  and was rejected.

The Department of Premier and Cabinet’s FOI Officer indicated that the full report existed but that it was not being released as the FOI Act

“…exempts from disclosure a document that has been prepared by a Minister or on his or her behalf or by an agency for the purpose of submission for consideration by the Cabinet.”

The rejection is difficult to understand as the government had already released a 34 page summary.

SafetyAtWorkBlog has been very critical of the summary report due to the amount of disclaimers, equivocations and selected data sources in the PwC report.  The estimated costs have appeared in discussions about the Work Health and Safety laws in other States so the full analysis of the laws by PwC would be enlightening. It was hoped that the full report would provide additional background and context to discussing the “costs of safety” but that is not to be.

Kevin Jones

Australia’s psychosocial barometer provides strong evidence for policy and corporate change

OnlineMBA.com recently uploaded a video about “The True Cost of a Bad Boss“.  It is a good summary of the spread of negative organisational and employee effects that can result from poor management  poor understanding and poor communication.  It is well worth remembering this spread when determining the best way to manage workplace safety and increase productivity.

Cover of The-Australian-Workplace-Barometer-reportAlthough the video is from the US, there is research evidence to support many of the points raised. In December 2012, Safe Work Australia released  The Australian Workplace Barometer Report On Psychosocial Safety Climate and Worker Health in Australia, a report that has been largely missed by the Australian media. The report says that:

“A standout finding here is that depression costs Australian employers approximately AUD$8 billion per annum as a result of sickness absence and presenteeism and AUD$693 million per annum of this is due to job strain and bullying.” (page 6)

This is a significant impact on Australian business costs and, if one takes the OnlineMBA information concerning bad bosses, Australian bosses may need to undertake a considerable amount of self-analysis when lobbying for red-tape reductions and calling for productivity increases. Continue reading “Australia’s psychosocial barometer provides strong evidence for policy and corporate change”

Risks of taking bullying or harassment directly to the Courts

Seeking justice through the court system is everyone’s right but sometimes court action is more newsworthy than normal and sometimes the media is used in conjunction with legal actions.  Either way, any court action, particularly on personal matters such as sexual harassment or workplace bullying will be a stressful activity. The workplace safety context of a recent political scandal in Australia involving the Speaker of the House of Representatives  Peter Slipper, and an employee, James Ashby, have not been discussed.  A summary of, or commentary on, the Ashby/Slipper scandal can be found HERE.

The judgement by Justice Steven Rares in the December 2012 legal proceedings of Ashby v Commonwealth of Australia (No 4) [2012] FCA 1411, provides a salient lesson for those considering taking legal action over a work-related issue, such as sexual harassment, workplace bullying or other psychosocial matter.

Ashby-Slipper and OHS

The Ashby-Slipper sexual harassment proceedings have a legitimate OHS context, reminiscent of the 2009 political scandal involving Godwin Grech. Although occupational health and safety was not overtly stated by Justice Rares it is briefly discussed in the judgement. It is useful to consider these matters in a similar context to recent issues on workplace bullying. Continue reading “Risks of taking bullying or harassment directly to the Courts”

Concatenate Web Development
© Designed and developed by Concatenate Aust Pty Ltd