Insurance over OHS prosecution hits the deterrence effect

In response to proven breaches of occupational health and safety laws, judges usually apply financial penalties to companies and individuals.  These penalties, like all court-ordered punishments are to deter the offenders from re-offending but also to show others the consequences of their actions.  But what if an insurance company would pay for that penalty in return for regular premium payments?  If the offender does not pay the penalty, deterrence is gone.

On 27 June 2013, a company and its director were fined $A200,000 each in relation to workplace incident that resulted in the gruesome death of one man and a near miss for another but the director had taken out a general  insurance policy and the insurance company paid out!!??.  A fine of $A200K awarded but the offender may pay no more than $A10K. Continue reading “Insurance over OHS prosecution hits the deterrence effect”

Safety should not be the red tape bastard of productivity

There is a logic being applied to workplace safety and public policy that does not ring true. The argument seems to be that productivity levels in Australia are low, that part of the reason for this low productivity is excessive business paperwork and that workplace safety regulators are a major contributor.   (SafetyAtWorkBlog has written around this topic previously.)

Businessman with devil or angelThe authority on productivity in Australia is, unsurprisingly, the Productivity Commission (PC).  In mid-June 2013, the commission released its Productivity Update, the first of promised annual reports.  Search in the document for “workplace safety” and there is no mention, even “safety” only pulls up a couple of public safety references.  Nothing for “workplace” either.

In fact, the report states that

“Strong growth in labour productivity in the December quarter of 2012-13 could be a sign that a broader improvement in MFP growth is now underway” (page 2)

and

“modelling shows that a comparatively small increase in the rate of labour productivity growth (primarily due to higher MFP growth) could lead to a comparatively large increase in the level of real GDP per person by 2050.” (page 2)

2050 is a long way off but the forecast is for an increase in productivity and the growth in the December quarter could indicate a trend. So for all the productivity gloom and doom being written about in the business newspapers, the reality may be different.   Continue reading “Safety should not be the red tape bastard of productivity”

Draft bullying code and cultural measurement

cover of 2013 DRAFT-COP-Preventing-Responding-Workplace-BullyingSafe Work Australia has released its latest draft code of practice for preventing and responding to workplace bullying for public comment.  There are many useful and practical strategies in the draft code but workplace bullying is only a small element of the more sustainable strategy of developing a safe and respectful organisational culture.

The definition in the May 2013 draft code is a tidied up version of the September 2011 definition:

“…repeated and unreasonable behaviour directed towards a worker or a group of  workers that creates a risk to health and safety.”

The lack of difference in these definitions is a real positive given the complaints, primarily, from the business community since 2011.  The significance in both definitions is that there must be a direct relationship between the behaviours and health and safety risks.  This could be substantially difficult to prove, particularly if , as in  most cases, it is the recipient of the bullying who needs to prove this.

Harm Prevention

Consider, for a moment, that this code of practice is used for establishing preventative measures and not just used for disproving a court case, these definitions can help establish a benchmark for creating a safe organisational culture. Continue reading “Draft bullying code and cultural measurement”

The practical manifestation of safety leadership

Professor Andrew Hopkins‘ frequent appearances at safety conferences are always fascinating as he does not simply trot out the same presentation each time. He is certainly not a priest with the same 52 sermons each year.

At the Building Safety conference Hopkins spoke briefly about mindfulness but grounded this in how executives and others should inspect a worksite and what questions to ask. He discussed audits also but there will be more on that in another article.

Hopkins insisted that executives should show leadership and begin to satisfy their positive OHS duty and their due diligence obligations by walking their worksites, talking with their workers and, most importantly, listening to the answers. There are no hard and fast rules or guidelines on the frequency of these visits but he said that the executives should NOT be accompanied. Having a phalanx of execs in pristine PPE approaching a work group puts the workers on guard and makes them self-conscious. Continue reading “The practical manifestation of safety leadership”

Is safety leadership the panacea for unsafe workplaces?

National Safety Cover May 2013The May 2013 National Safety magazine has an article on safety leadership by Australia lawyer, Michael Tooma.  It is a terrific article but it also highlights the lack of case studies of the practical reality of safety leadership in Australia and the great distance still required to improve safety. Tooma starts the article with

“It is widely recognised that strong safety leadership is integral to work, health and safety performance in any organisation.” [emphasis added]

Later he writes

“There is little doubt that safety leadership is a prerequisite to a positive safety culture in any organisation.”

These equivocations may indicate authorial caution on the part of Michael Tooma but  they could illustrate that the role of safety leadership still remains open to question. Continue reading “Is safety leadership the panacea for unsafe workplaces?”

Master Builders’ curious response on construction safety

In November 2012, the Australian Capital Territory (ACT) government released “Getting Home Safely“, a damning report written by Lynette Briggs and Mark McCabe, into the safety culture and performance of that territory’s building and construction industry.  But the Master Builders Association of the ACT has rejected several recommendations and questioned many others, yet refuses to release the evidence that it is assumed would support their position.

Cover of http___www.mba.orgIn February 2013, ACT’s Minister for Workplace Safety and Industrial Relations, Simon Corbell, accepted all 27 recommendations of the report, much to the surprise of some of us.  Corbell said in his media release that

“It is no longer acceptable for people in the construction industry to say there are safety issues in construction sites and then do nothing about them. This report compels unions, employers and government to stand up and actively promote a culture where everyone looks out for their mates, and everyone can go home safely every day…”

“As the report highlights, this is not simply an issue for Government. Safety is an issue for every person on a construction site with principal contractors, sub-contractors, workers, unions and the Regulator all working together.

“The Government expects employers and unions to demonstrate leadership on this issue.”

Safety Leadership or Conspiracy Theory

Today the Master Builders Association of the ACT released its response to “Getting Home Safely” (the Gower review).  That response indicates that not all Minister Corbell’s expectations are going to be met with the MBA.  In some ways this confirms many of the concerns in the report. Continue reading “Master Builders’ curious response on construction safety”

Increasing Production Performance Through Safety

Ten years ago, Randy DeVaul wrote several articles for the Safety At Work magazine, a precursor to this blog.  His US perspectives were enlightening and he has agreed to contribute occasionally to the SafetyAtWorkBlog.  Below is an article he originally wrote in 2004.

iStock_000020571826_ExtraSmallAs safety professionals, we have all worked at “selling” safety to upper management through budget and fiscal expenditures, worker compensation costs, and other financial approaches.  Meanwhile, our “sell” to production managers has been based on compliance issues with OSHA/MSHA standards.  We have set ourselves up for an uphill battle between production and safety.

Though we missed the boat earlier to integrate safety and production together, the timing now could not be better.  Helping our managers see the integrated picture between safety and production should be our focus with less emphasis on compliance.  Think about it – getting people to do something “because OSHA (or MSHA) says so” is not very motivating.  Helping to see how safe performance also impacts production numbers, employee morale, absenteeism, and productivity schedules in addition to personal quality of life has a much greater effect. Continue reading “Increasing Production Performance Through Safety”

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