A busy week in Victoria – politics, reviews and common law

Victorian Workcover Authority (VWA),was in the pages of the Australian Financial Review in July 2013 over several issues –

  • CEO Denise Cosgrove told staff of her wonderful holiday in  Daylesford in the same email in which she advised of a review of operating budgets “including people costs” and of job losses,
  • Former Minister for Workcover, Roger Hallam, has been appointed to undertake a review of the Victorian Workcover Authority ,
  • Hallam is said to have been on the panel that appointed Cosgrove recently to the CEO post,
  • Cosgrove has pushed for a change in common law (Common law was controversially dropped during Roger Hallam’s time as Minister).

There seems to be many issues bubbling away at VWA – common law, declining profitability, “dividends” and a secret review. Continue reading “A busy week in Victoria – politics, reviews and common law”

How good intentions can lead to workplace deaths

The recent coronial finding into three workplace deaths related to an Australian government economic stimulus package in 2009 has muddled the safety profession over the political context and the OHS context of these deaths.  But the finding and resulting discussions could be the catalyst for a much-needed analysis of how decisions made with good intentions in Canberra can lead to the tragic personal and shopfloor decisions in the suburbs.

Nanny State

The Home Insulation Program (HIP) could have been interpreted as government “interference” in the market and been badged as “nanny state” economics.  However it may be possible to argue that Prime Minister Rudd could have been an economic hero if the Home Insulation Program had continued without any deaths. Continue reading “How good intentions can lead to workplace deaths”

Coronial report into insulation deaths slams government actions

This week a Queensland Coroner brought down the findings into the deaths of three men, Matthew Fuller (25), Rueben Barnes (16) and Mitchell Sweeney (22). Each of these men were electrocuted whilst installing foil insulation in the roofs of Queensland houses as part of a Federally funded economic stimulus project during 2009 and 2012.

Since the Coroner’s findings were published on 4 July 2013, the Australian media has focussed its attention, principally, on Kevin Rudd.  Rudd was the Prime Minister and a major motivator at the time for the stimulus package, named the Home Insulation  Program or HIP by the Coroner.  Rudd recently regained the Prime Ministership providing a fresh political newsworthiness to the HIP issues.  But in this attention, the Coroner’s broad findings are often being overlooked. Continue reading “Coronial report into insulation deaths slams government actions”

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”

Nitpicking or forensic analysis?

It is common for regulators, major clients and accreditation bodies to require copies of a detailed health and safety management plan so that they can be assured the contractor is complying with OHS laws and contract safety obligations. Over the years, part of my job has been to assess these plans to determine their quality, validity and applicability. Some have accused me of nitpicking, others have appreciated the pedantry but my perspective is that such plans are a crucial method of establishing and communicating OHS practices and providing a base from which a positive safety culture can be constructed.

I would argue that any company that has a carelessly written OHS management plan is unlikely to fully understand its own OHS commitments.  That company would also be providing conflicting and confusing safety information to its own workforce and its subcontractors.

Inaccuracies and inconsistencies

One example that comes to mind was a large company who submitted an OHS management plan which detailed many safety commitments, what I consider “promises”. However, there were inconsistencies such as the person who was responsible and accountable for safety at the start of the plan, let’s say a “safety manager”, and who was not mentioned any further. Continue reading “Nitpicking or forensic analysis?”

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”

Legal changes on workplace bullying are forgetting the workers

The lower house (thanks, Rex) of the Australian Parliament has passed amendments to its industrial relations laws, the Fair Work Act, to allow for matters concerning workplace bullying to be heard in its Commission, once the laws pass the Senate.. But recent media and parliamentary discussion on this action seems to forgotten the welfare of the bullied workers.

Professor Andrew Stewart of the University of Adelaide is reported to have said that there is a risk that the Fair Work Commission will be “swamped” with bullying complaints and that a system of filtering should be applied. Such a mechanism is supported by Professor Ron McCallum who said in The Australian on 14 June 2013:

“I would agree with the Coalition that there should be some filtering mechanism because we don’t know how many complaints there are going to be,” he said. “There’s been wildly varying suggestions.

Continue reading “Legal changes on workplace bullying are forgetting the workers”

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