Category: human resources

A consistent approach to developing public policy is required

Australia is a Federation of States.  This does not just mean that each State is a different colour of the schoolroom map.  Each State has its own duties to its citizens from within the overall scheme of running a country.

There has always been a tension between the two levels of government and currently the management of health care facilities is the cause of friction, as reported, for instance, in The Age newspaper on 23 October 2009.   The current tension in this sector illustrates a trend that extends beyond health and into workplace safety legislation, human resources and social policy.

The Victorian Health Minister, Daniel Andrews,  is reported to have said that Canberra’s “health bureaucrats [are] remote and incapable of understanding the day-to-day needs of patients.”

“”You can never take it as a given that decision makers and policy makers at the bureaucratic level in Canberra understand how you deliver care in a bed, in a ward or in a country town, because they don’t do that: it’s not their world.”

This argument echoes some of the concerns being raised over the national harmonisation of OHS laws. In such a large country as Australia there are going to be cultural, demographic and geographical variations that a centralised system cannot service.  The Federal Government is hoping to harmonise workplace safety but it has already taken over industrial relations and is strongly threatening a takeover of health.  Why the inconsistency?

On 22 October 2009 at the HR Leadership Awards ceremony in Melbourne, the CEO of Carnival, Ann Sherry, said that centralised policy makers in Canberra are making important decisions from within a rarified world.  Sherry is a member of a review panel into the Australian Public Service (APS) and she identified several features of the APS, and shortcomings, as the service aims to become “world’s best practice in public administration”.  Amongst them:

  • 42% of public servants are younger than 45 years;
  • a highly educated workforce;
  • senior public service positions are centered in Canberra.

The last characteristic Sherry said has led to a disconnection between service design and delivery, echoing, to some extent, the concerns of Daniel Andrews on health policy.

It seems that there are many reviews and investigations occurring into how various industries and sectors in Australian business and government should be structured for the future, a future that is likely to be very different, climatically, economically and demographically.  But there is not a consistency in approaches, or at least one that is readily understood, even though the Australian Prime Minister, Kevin Rudd, talks repeatedly about “nation building“.

The Australian Government has the best chance in a long time to set the country on a path of sustainable growth.  The United States, under President Barack Obama, has a similar opportunity.  Governments have an obligation to plan for the long-term benefit of their countries ands citizens, not the short-term gains of their political donors, political parties and lobbyists.  This obligation  is as relevant in occupational health and safety as it is anywhere.

Kevin Jones

Singapore’s Prime Minister speaks about business leadership

At last week’s Comcare conference there was considerable discussion about leadership and social capital.  Coincidentally, Singapore’s Ministry of Manpower is running a Human Capital Summit this week.

The summit program indicates how these two concepts are dominating human resources and, through osmosis, other management streams such as OHS.

Mr Lee Hsien Loong, Singapore’s Prime Minister provided the opening address on 29 September 2009.  In the speech he state four principles:

  • “we believe that human capital and talent can be nurtured….
  • we take a broad view of human capital and talent. We recognise that domain expertise is important, and organisations need specialists in fields relevant to their business. But organisations will also benefit from talent who come from unrelated fields, with diverse experiences, who can inject fresh perspectives…
  • we believe that the way to bring out the best in people is by creating a conducive environment. Talented people cannot be motivated by pressure, nor even by financial incentives alone…
  • talented individuals must feel a sense of responsibility to the community. Within their own fields, they have to help nurture the next generation of outstanding achievers.”

One could dismiss as “conference rhetoric” but similar commitments are being made by government officials and politicians throughout the world and the weight of numbers is turning into a movement.

If OHS professionals want to gain the ear of important decision makers, it will be necessary to “talk the talk”, even if that talk is jargon from an unfamiliar discipline, such as human resources.  The challenge is to bring commitment and knowledge to underpin the “talk” because “hollow vessels make the most noise”.

Kevin Jones

Comcare’s RTW performance has some worrying trends

RTWMatters, an Australian return-to-work website, has analysed some of the data that has been released through the annual data – Aust & NZ RTW Monitor.  The statistics show that the Australian Government’s workers’ compensation insurer, Comcare, has performed well on some performance indicators but others are raising concerns, particularly

  • “The cost of claims has risen from $15 000 in 2005-06 to almost $20 000 in 2008-09. This is substantially higher than the national average.
  • Around 1/3 of Comcare workers can identify a person who made it harder to RTW, which is higher than the national rate. Over the last three years there has been a significant increase in Comcare employees reporting their employer has hindered return to work.
  • Over the last two years, Comcare workers have found it increasingly difficult to find the information they need to make a claim.
  • Comcare workers rated their insurer customer service lower than the national average, with communication, advice about the claim and understanding the situation rated lowest.”

Paul O’Connor, at last week’s Comcare Conference in Canberra was very upbeat but was well aware of the challenges ahead particularly for the next five years during a period when the Australian government will attempt to harmonise the OHS laws in each jurisdiction.  It should be noted that Paul has been Comcare’s CEO since 1 September 2009.  He was formerly with the Transport Accident Commission in Victoria.

O’Connor quoted the Australian Finance Minister, Lindsay Tanner, during his conference presentation.  (The Tanner quotes are from August 2009)

“It is unlikely that we will see any major reform in this area in the near future, as Australia’s various governments are grappling with the challenging task of building uniform national industrial relations and occupational health and safety systems.

“Nevertheless, the current campaign for a national catastrophic injury compensations scheme should trigger a wider debate about injury compensation in our society generally. The present system is fragmented, inequitable, inefficient and arbitrary. Reform could be some time coming but it’s certainly long overdue.”

RTWMatters has identified that more groundwork is going to be needed in the lead-up to the reform process if any measurable improvements are to be achieved.  In their media statement, they say

“Real collaboration requires that all stakeholders be able to access information to assess the impact of legislative and systems changes on workers compensation and return to work outcomes.”

The road to reform that Geoff Fary described as very difficult will be an important one to watch.

Kevin Jones

[Kevin Jones is a feature writer with RTWMatters]

23rd suicide at France Telecome in 18 months

Adam Sage has been following the suicides that have occurred in France Telecome for some time.  On 23 September 2009 in the TimesOnline (a week later in The Australian newspaper??), Sage provides a useful summary and cogitation on the “cluster”.

But although this number of suicides in one company should be alarming, it is not really a cluster as the suicide rate for Telecome’s employees was only slightly above the national average of 14.7 per 100,000 people.  Sage reports that France is a country with a high comparative suicide rate.  The relevance to SafetyAtWorkBlog is that Sage goes on to identify work-related factors that contribute to suicides.

He quotes a sociology professor who says the French “define themselves by their professions”.  The risk with this basis for identity is always when the demand for the profession declines, one needs to redefine and this is not easy.

Sage finds a psychoanalyst who says that his patients feel isolated at work and have no support mechanisms.

A suicide prevention expert says that often a problem at home is the suicide trigger with someone who is feeling stressed at work.

Sage provides a potted history of the privatisation of France Telecome and speaks to a current employee bemoans the loss of camaraderie.

What is surprising about this article is that it seems France, and particularly France Telecome, are way behind other Western nations in having control measures in place for employee support programs and change management.

It is not as if France is ignorant of workplace stress issues or that workplace suicides have only occurred at France Telecome.  A major reason for its experiment with the 35-hour week was to

“…to take advantage of improvements in productivity of modern society to give workers some more personal time to enhance quality of life.”

In January 2008 (well before the current financial crises), the Institute for Economic and Social Research published “Workplace suicides highlight issue of rising stress levels at work “.  After some suicides at Renault and Peugeot it assessed the issues, acknowledged the trade union assertion that

“…excessive isolation of workers due to high workloads and fierce competition leads to a malaise in companies and thus call for a reflection on choices of work organisation.”

The article also reported

“The French Democratic Confederation of Labour (Confédération française démocratique du travail, CFDT) welcomed the ‘recognition of psychological factors being the cause of an occupational accident’ as it ‘opens the way to taking into account a form of suffering and malaise that, until now, has been minimised by companies’.”

A longer-lasting improvement will only come if this recognition is built on by all social structures in France.  Perhaps it should look across the channel at how the Health & Safety Executive and the corporate sector have responded to the report by Dame Carol Black – “Working for Health” – calling for an integrated approach to health management involving work, public health, health promotion and other elements of social capital.

France Telecome held an extraordinary Board meeting on 15 September concerning its suicide rate.  It made the following commitments:

  • “The national health, safety and working conditions committee (CNSHSCT) will be meeting on Thursday next week in the presence of Jean-Denis Combrexelle, the Ministry’s Director General for Employment.
  • To stop the phenomenon from spreading, it has been decided to immediately put in place a freephone number to promote dialogue. Psychologists from outside the company will be available to listen to and talk with any employees who may be having difficulties.
  • The first meeting for the negotiations on stress will be taking place on Friday September 18. On this occasion, the employee representatives will appoint an external consultancy to conduct an audit of the situation within France Telecom.
  • These negotiations will focus on the prevention of stress and psychosocial risks in the event of geographical or professional mobility among staff. To address this issue, a forward-looking employment and skills management (GPEC) system will be set-up with a view to offering employees and their direct managers visibility over their professional development and support.”

Didier Lombard, France Telecom’s Chairman and Chief Executive Officer, has set a tight timeframe for improvement.  On 15 September 2009 Lombard said

“December’s France Telecom will not be the France Telecom of today.”

Kevin Jones

UPDATE 30 SEPTEMBER 2009

Agence France Presse has reported a 24th suicide associated with France Telecom.  According to the report the 51-year-old male jumped to his death from an overpass onto a busy highway.  His suicide note to his wife expressly referred to the work environment as a reason for his action.

 

Return-To-Work and OHS

Many OHS professionals do not understand the return-to-work (RTW) process.  Many OHS professionals choose to avoid RTW like the swine flu.  In Australia, rehabilitation and compensation come under different legislation to OHS so it is easy to delude one’s self that they are different beasts.

On September 15 2009 at the WorkCover SA Conference, it was possible to argue the same ideological isolation as above but from the RTW stance.  RTW can be as isolationist as OHS.  Admittedly, the conference was about workers’ rehabilitation and injury management but it was surprising how many speakers talked about integrated management without mentioning OHS.

Is this demarcation widening?  Was it formalised by the different Acts of Parliament? By different training backgrounds and criteria?  By the different work-related government departments (they often inhabit the same office, share the same board members, but report to government separately?!)?   Is the demarcation between the human resource specialists and the safety engineers?

In most workplaces such a demarcation would be unmanageable.  Most workplaces, certainly the smaller ones, have the official RTW Coordinator role as part of the duties of an existing staff member, whoever is already juggling the personnel duties and often payroll as well.  It is often a luxury to have a full-time RTW Coordinator.

It is noted that the Australian conferences of the OHS professionals rarely include RTW, and vice versa.  Isn’t is just possible that some bright spark may offer a safety management conference that unites the complementary disciplines, professionals and government departments so that business managers can receive a combination of information that matches the reality?

Kevin Jones

Kevin Jones attended the conference with the support of www.rtwmatters.org an (increasing prominent) online RTW website, and WorkCoverSA.

HR management needs to engage with safety management

Businesses, more often than not, place OHS as a subset of the Human Resources Department.  This gives the HR manager considerable organisational clout but often keeps the importance of OHS constrained.

This structure may be functional but also reinforces that the belief that safety can be addressed in HR terms and that is not necessarily the case.

HR Leader cover 001The limitations can be illustrated through the cover story of the latest edition of Human Resources Leader, a weekly publication from LexisNexis.  “People profit…and how to measure it” * is a very good article for the magazine’s intended readership of HR practitioners and recruiters.  It discusses the need for more research into the links between corporate financial performance and employment engagement, “soft measures” and other “metrics” and several other personnel management concepts.  It even provides a “formula for measuring Employee Lifetime Value (ELTV)”.

One serious safety incident could blow all these metrics out of the water.  The risk of injury or illness doesn’t seem to be calculated anywhere in the article.  The costs associated with not managing safety seem to be well-established and tangible through medical costs + repair costs + rehabilitation costs + business disruption + workers compensation.   Dr Ian Woods of AMP Capital Investors estimates injury costs equal an average 6% of profit.

If safety is an element of human resources management, there should be at least some (passing) mention of it, or its costs, in articles that try to measure people management costs.  Omitting this business cost, or wellbeing threat, or continuity threat, or whatever phrase is fashionable at the time, does both safety management and personnel management a great disservice.

Safety is far more than just “health & wellbeing” – a truism that some in the HR sector, particularly the white-collar professions, tend to forget.

Kevin Jones

* a free login is required to access the magazine online

Why OHS performance targets don’t equal safe workplaces

On 19 August 2009, the Australian Financial Review (AFR) published an article (not available online) about the lack of success of OHS regulators meeting their agreed performance target.  The article is based on the information provided by Safe Work Australia in its 2006-07 progress report.

Below is a chart that WorkSafe’s John Merritt showed at a recent OHS seminar which clearly shows how far the State of Victoria has to go to reach the 2012 target, and it is one of the better performing States.

vic_ohs_johnmerritt_leadership_080804 graph

The Australian Council of Trade Unions (ACTU) has placed its hope for improvement in the upcoming harmonised OHS laws.  Jeff Lawrence is quoted in the small AFR article from the ACTU media release:

“Australia has a long way to go before success can be claimed on achieving national targets for workplace death, injury and disease,” Mr Lawrence said.  “With proposed uniform national occupational health and safety laws, we have a once-in-a-generation opportunity to lift protections for workers by achieving the world’s best safety standards for the entire country.”

Jeff Lawrence and the ACTU need to remember that harmonised OHS model laws have never been about improving workplace safety.  They are about setting the legal framework within which employers and employees improve safety in their workplaces.  Safety improvement comes from the management of risk and hazards, not whether it is easier for a union to get onsite or for a company to be more easily prosecuted or for fines to be set at record amounts.

(In fact until recently, Australian lawyers and some OHS lawyers acknowledge that fines do not work for anything other than punishment.  Other legal penalty options have been promoted for some time but these seem to have been ejected from the proposed National OHS law.)

The ACTU, and the employer groups, need to start assisting companies to reduce hazards,  not only the sites or industry sectors of their own members.  Unions are often keen on pushing corporate social responsibility but do not promote safety outside their member organisations.  So where is their own corporate social responsibility?

The principal motivator of the union movement in Australia has always been industrial relations, of which OHS is of occasional relevance.  Though it is acknowledged that in some specific union sectors, particularly the emergency services and construction, safety has a higher priority than elsewhere.

If the union movement was genuine about improving the lot of Australian workers and of the importance of safety, assisting in the education of business operators, outside their own union sector, to improve safety may show to some workers that being a member of a union may be a good thing.

As has been discussed elsewhere the OHS performance targets of the regulators are purely academic.  Former Prime Minister John Howard introduced the concept of “aspirational targets” to the Australian political lingo and the current OHS targets were set during his government.  Aspirational targets are those that you sort-of try to reach but if you don’t, it doesn’t matter, as there is no penalty.

If the regulators were genuine about reaching this target, the enforcement of OHS would be substantially different and harsher.  The technical assistance for business to improve safety would not rely on the regulators alone or some token business consulting funding.  But the targets have no big “stick”,  the legislation is in a state of uncertainty, the unions have limited influence, and the community’s awareness of workplace safety is up but still only a trickle on their decision-making radar.

The targets also have no “carrot” other than a media opportunity to say that one State OHS regulator performed better than another, and that will surely create harmony.

No enforcement + no penalty = no effort.

Kevin Jones

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