Safety costs of harmonised laws revealed

The Regulatory Impact Statement (RIS) on Australia’s Work Health and Safety laws has been released and will be available through the Safe Work Australia website shortly (probably today given the media attention).  Much attention will be given to the cost estimates of the laws’ introduction but the 336-page RIS seen by SafetyAtWorkBlog  emphasises in the Executive Summary that

“While monetary values of impacts are estimated and an appropriate sensitivity analysis is undertaken, these results should be treated with some caution given the uncertainties associated with estimating changes in work health and safety benefits. Greater weight should be given to the general direction that the estimates suggest is the likely outcome from these reforms.”

This important point is likely to be lost in some of the expected argy-bargy over economic impacts and cost v benefit.

The core figures provided in the RIS are:

“While there will be one‐off implementation costs, the quantitative analysis undertaken at the national level for adopting the model WHS Regulations indicates net benefits (i.e. after implementation costs) of around $250 million per annum to the Australian economy over each of the next 10 years. This estimate does not include expected productivity benefits. While noting the difficulties Continue reading “Safety costs of harmonised laws revealed”

Regulatory Impact Statement to be released on 14 September 2011

According to a media release from Senator Chris Evans, the Australian Minister for Workplace Relations,  the Regulatory Impact Statement for the new OHS regulations will be released today, 14 September 2011.  The release is not yet publicly available on-line so the full text is included below:

New health and safety regulations to boost national productivity

“Historic health and safety reforms will deliver up to $2 billion a year in productivity gains Minister for Workplace Relations, Senator Chris Evans said today.

The Regulatory Impact Statement (RIS) for the harmonisation of health and safety regulations released today confirms the economic benefit of a national OHS system and demonstrates that the reforms are on track to be implemented by 1 January 2012.

“The Statement vindicates COAG’s decision in 2008, and the Gillard Government’s determination to pursue OHS harmonisation as a key economic reform,” Senator Evans said. Continue reading “Regulatory Impact Statement to be released on 14 September 2011”

Alarmism and confusion over Australia’s OHS harmonisation process

The Australian Financial Review (AFR) on 13 September 2011 is muddying the waters on objections to Australian harmonised OHS laws.  The Victorian Government would support a delay to the introduction of the laws until, according to previous media reports, the release of the Regulatory Impact Statement (RIS) on the new laws.  The AFR is reporting (not available online without a subscription) that the government

“…will not endorse the regulations until the federal government releases a cost-benefit analysis.”

It is understood that an RIS is not the same as a cost-benefit analysis even though costs and benefits are part of an RIS.

Australia’s Office of Best Practice Regulation (OPBR) states that an RIS has seven (7) key elements:

Individual accountability – the Great Leap Backward (and into a legislative maze)

Col Finnie, formerly WorkSafe Victoria’s Principal Legislation Officer, looks at what the notion of individual accountability might look like if it was incorporated in the Work Health and Safety Bill, all done with his tongue firmly jammed in his cheek

It’s a good thing new perspectives about getting Occupational Health and Safety (OHS) right are tossed around.  We love that sort of thing in OHS-World.  But this sort of stuff, that used to be called “blue sky thinking”, needs the next step: head out of the clouds, feet on the ground and working out whether that ostensibly good idea will actually work, how it will work, and what will be the consequences.  That reality-check can have that ostensibly interesting notion turn into no more than a puff of an idea; I think individual accountability is like that.

It seems that individual accountability is being touted as a contemporary “issue” for OHS.  The context of the tout would appear to be that OHS will be better if everyone takes more direct responsibility for OHS in the workplace, i.e. everyone was more accountable for “how things are done” around a workplace.  And yep, accountability and responsibility are different things, but not by much; clearly ya can’t be held accountable for stuff in the absence of any responsibility for that stuff at all. Continue reading “Individual accountability – the Great Leap Backward (and into a legislative maze)”

Victorian Government may be a hurdle in OHS harmonisation

SafetyAtWorkBlog has been receiving several requests for information about the introduction of the model Work Health and Safety Bill into the Victorian Parliament.  As the new laws have been “modelled” on the recent Victorian Act, some thought the introduction of the Bill could be undertaken early.  Others, for the same “modelling” reason, argued for delay.  On 12 September 2011, Victoria’s Assistant Treasurer, Gordon Rich-Phillips, has spoken in favour of delaying the date for enacting the laws past 1 January 2012.

Rich-Phillips is basing his position of the continuing lack of a regulatory impact statement (RIS) for the laws, a delay that has also caused concerns on various OHS discussion forums over recent months.  His demand to know the “costs and benefits” of the laws is not unreasonable however the RIS is only about the impact of the regulations and not the harmonisation process as a whole. Continue reading “Victorian Government may be a hurdle in OHS harmonisation”

Employer association criticises Australia’s new Work Health and Safety laws

On 9 September 2011 The Australian newspaper reported  that the executive director of the Independent Contractors of Australia, Ken Phillips, had serious concerns over the new Work Heath and Safety laws to be introduced in Australia in 2012.

Phillips has received legal advice that identifies serious shortcomings in the new laws compared to the existing Victorian OHS laws. These include eliminating the right to silence and protection against self-incrimination during incident investigations by OHS regulators.  The article says that the ICA’s analysis

“…shows that the new system would also empower workplace inspectors to seize entire businesses without the oversight of a court, something that is currently not permitted in Victoria.”

It also reports that Phillips fears

“…the scheme would lead to a recurrence of what happened under the former workplace safety system in NSW where “ordinary people were prosecuted even if they had no control over the business”. Continue reading “Employer association criticises Australia’s new Work Health and Safety laws”

Santos slapped with stale celery over near-miss

More often than not people are disappointed by the sentences handed out by Courts on OHS breaches.  Even with sentencing guidelines, the ultimate decision rests with the judgement of the Court.  Today’s $A84,000 fine against Santos Ltd appears low considering that the incident had the potential to be catastrophic and the company has just  reported “half-year profit up 155% to $504 million”. (ABC News provides a good pocket description of the incident with The Age discusses the corporate impact at the time)

The 2004 incident involved a near miss but a near miss that was just a second away from a catastrophe.  The fact that no one was directly injured has been mentioned in many media reports but not being injured is not the same as not being affected.  Industrial Magistrate Ardlie’s decision records that some employees had to run through the gas cloud to reach the muster point.  Some had difficulty breathing.  One worker was knocked off his feet by the blast and had the fireball travel over him burning the exposed parts of his body.

Dr John Edwards of Flinders University is quoted in Industrial Magistrate Ardlie’s decision that, without prompt evacuation, “the exposure dose [to hydrocarbons] could have been considerable and life-threatening”. Continue reading “Santos slapped with stale celery over near-miss”

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