OHS is not all about covering one’s arse

iStock_000005779267_SmallIt is very common to hear people say that the core motivation for introducing or improving workplace safety management is to cover one’s arse (to protect oneself from various legislative and reputational exposures), be that the collective arse of management, the board and executives or the arse of the individual worker.  This is a fundamental misunderstanding of the intention occupational health and safety (OHS) laws and principles yet the fear of reputational damage is a strong motivator of change with which safety professionals should learn to work and, perhaps, exploit, particularly as the traditional methods for corporate embarrassment, the media, are declining.

The most pertinent research on reputation risk as a motivator for OHS change seems to come from the UK’s Health and Safety Executive in 2005. In a summary report on research into compliance, HSE looked at the motivations of employers for change.  It found that reputational damage was one of many motivators and that each was given around the same weight in deliberations but that

“Respondents cite newspaper reports covering serious incidents and requirement to advise customers of incidents as the best way of increasing risk of reputational damage, followed by a requirement to report health and safety in company reports. ” ( page 10)

This change catalyst relies on two increasingly fragile criteria – the media and annual reports.  The media has rarely reported on OHS issues unless the incident

  • has caused major disruption
  • involves a high profile individual or company
  • involves children
  • can be given a party political context.
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Serious questions raised about the effectiveness of OHS enforcement strategies

Richard Johnstone is always worth reading as he writes perceptively about occupational health and safety (OHS) and its enforcement.  The new book from Baywood PublishingSafety or Profit” provides a chapter by Johnstone that argues:

“…that despite the rhetoric of stronger enforcement and more robust prosecution, the dominant ideology of work health and safety enforcement – ambivalence about whether work health and safety offenses are “really criminal” and viewing prosecution as a “last resort” in the enforcement armory – still dominates the approach of Australian work health and safety regulators.” (page 113)

The importance of Johnstone’s chapter is that he reminds us that much of the current OHS debate is circular and limited and fails to question the soft enforcement strategy that has existed since the

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Red Tape Commissioner starts work on reform including OHS

Cover of RedTapeSOEGuidelines-Jan2013In Australia and the United Kingdom, workplace health and safety compliance has been considered a prominent element of allegations of business “Red Tape“.  On 21 January 2013, Victoria’s Treasurer, Kim Wells, announced new guidelines into red tape in that State’s government authorities and regulators.  Wells’ media release states:

“Stage one of the reform will focus on the Victorian WorkCover Authority (VWA), VicRoads, Environment Protection Authority, Consumer Affairs Victoria and the Victorian Commission for Gambling and Liquor Regulation.” [emphasis added]

Wells also says that the Red Tape Commissioner, John Lloyd, will administer the system which runs like this:

“Ministers will issue statements of expectations to key regulators which will require them to outline by 1 July 2013 how they intend to reduce red tape. Our aim is to see regulators reduce the cost of high-impact or high- Continue reading “Red Tape Commissioner starts work on reform including OHS”

New workplace safety laws set to pass in South Australia in October

South Australian Independent Member of Parliament, John Darley, has been negotiating on that State’s Work Health and Safety laws for many months.  On 17 October 2012, according to a media release from SA’s Premier Jay Weatherill and Workplace Relations Minister Russell Wortley, Darley agreed to support the passing of the laws after achieving some amendments.  Those amendments involve changes to

  • height limits,
  • duty of care,
  • the right to silence, and
  • the right of entry.

Tammy Franks, a Greens MLC, was able to achieve an expansion of the number of days available for OHS representative training.

A spokesperson for John Darley told SafetyAtWorkBlog that another change was for any WHS codes of practice to undergo a small business impact assessment in consultation with the Small Business Commissioner.  Darley’s spokesperson said that the MP had met with Business SA after it changed its position on the WHS laws.  The amendment above is likely to address the small business concerns that BusinessSA raised in its letter to its members earlier this month.  The flip-flopping of BusinessSA on workplace health and safety laws was always curious and it is likely to put the organisation at a negotiating disadvantage once the laws passed.  It may try to claim a mini-victory through the small business change but the change appears to have occurred due to Darley’s efforts and not through any relationship with the South Australian Government. Continue reading “New workplace safety laws set to pass in South Australia in October”

More details of the costs of managing safety required from OHS regulators

In a recent edition of Safety Express, a newsletter from WorkSafe Victoria, Clarke Martin outlined the benefits of WorkSafe’s Owner Visit program to one regional company.  This good news story needed more depth and detail so Clark Martin provided SafetyAt WorkBlog with additional information.

The Safety Express article outlined that a company of over 200 employees gained advice through WorkSafe’s free 6-hour consultancy service and has

“…made significant savings in insurance premiums over a two-year period. The financial and safety benefits are continuing today.”

“The company agreed to make significant changes to the way the business managed its OHS and RTW, and the financial management of premium costs.”

“WorkSafe worked with the company for two years and in this time the EPR dropped to just 34 per cent above average and work is continuing to further improve its performance. The company advised WorkSafe that savings achieved from reduced insurance premiums was equivalent to the profits on producing and selling an additional $16m of product.” Continue reading “More details of the costs of managing safety required from OHS regulators”

OHS inspections save businesses money

A recent article in Science about OHS inspections has gained considerable attention after Michael Blanding wrote about the findings in a Harvard Business School blog. According to the executive summary:

“In a natural field experiment, researchers [ Associate Professor Michael W. Toffel and colleague David I. Levine] found that companies subject to random OSHA inspections showed a 9.4 percent decrease in injury rates compared with uninspected firms.

The researchers found no evidence of any cost to inspected companies complying with regulations. Rather, the decrease in injuries led to a 26 percent reduction in costs from medical expenses and lost wages translating to an average of $350,000 per company.

The findings strongly indicate that OSHA regulations actually save businesses money.”

That research should give enormous heart to OHS regulators around the world and reduce criticism from business groups. The findings have been defined as “definitive” but this is like saying that research into Scandinavian workplaces and society can be relevant to other countries. Research in OHS and workers compensation in the United States is relevant to the United States with mostly curiosity value to other nations. Continue reading “OHS inspections save businesses money”

Fee For Intervention – a necessary economic evil

WorkSafe Victoria’s Executive Director – Health and Safety, Ian Forsyth mentioned one of the necessary economic choices faced by the UK’s Health and Safety Executive (HSE) when speaking at a breakfast seminar in early February 2012.  He said that HSE is

“…under the pump politically [and] I think they’re either just, or about to, press the button on inspectors charging 133 pounds per hour for their workplace visits……If they find an issue they will be charging the employer 133 quid an hour and they hope to make 10 million pounds out of that”

The concept of fee for intervention (FFI) was new to most in the seminar audience and it needed more explanation and context although the seminar imposed tight time constraints.   Given the economic status of the United Kingdom such cost recovery methods are logical, if unpalatable. Continue reading “Fee For Intervention – a necessary economic evil”

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