Category: small business

Political argy-bargy over OHS continues in South Australia

On 10 July 2012, the InDaily online news service ran an article about Jodie Bradbrook of Bradbrook Lawyers, a boutique law firm in South Australia.  The article was very critical of the currently Work Health and Safety Bill that is stalled in that State’s Parliament.  Bradbrook stated that the major points of contention were, amongst others, the issue of control, union right of entry and confusion over the Persons Conducting Business or Undertaking (PCBU).

This alarmist scaremongering has similarities to matters raised by the Housing Industry Australia (HIA), an organisation that, according to South Australia’s Industrial Relations Minister, Russell Wortley has been represented by Jodie Bradbrook, a relevant fact not acknowledged in the article or by InDaily.  Bradbrook’s involvement with the HIA was noted in a December 2011 SafetyAtWorkBlog article. Continue reading “Political argy-bargy over OHS continues in South Australia”

OHS reform is a relatively small regulatory concern for Australian small businesses

Many business groups in Australia have been bemoaning the potential increase in OHS compliance paperwork, often on the basis if the impact on small business, applying the logic that the small business sector has the least capacity to cope. Yet a survey of small business attitudes to “red tape” released this week questions the level of concern over OHS.

The June 2012 Sensis Business Index clearly shows that almost one-quarter of Australian small businesses want taxation regulation to be reformed most of all. Only 2% believed that OHS was the regulation needing most reform.

CEO of the Council of Small Business Organisations of Australia, Peter Strong, stated that

“The findings…. provide a framework for many important areas of regulatory reform that will benefit small business…”

As a tool for lobbying government on taxation reform, the survey results are supportive but in relation to OHS reform, OHS is equal to pay rates and planning regulations at 2%. Continue reading “OHS reform is a relatively small regulatory concern for Australian small businesses”

Robust analysis of Work Health Safety laws shows considerable economic benefits

Recently SafeWorkSA released its “Regulatory Impact Statement: Model Work Health and Safety Regulations in South Australia“.  This report presents radical different economic data compared to the (increasingly discredited) OHS business cost analysis undertaken by PricewaterhouseCooper (PwC) for the Victorian government.

The South Australian report, conducted by Deloitte, found the following economic and social impacts of new work health and safety laws:

“Our analysis indicates that adoption of the work health and safety reforms is the preferred option because it achieves the objectives of work health and safety harmonisation as determined by COAG. Moreover, the safety benefits of harmonisation exceed the compliance costs, and the long-term return to the SA economy significantly exceeds the one-off cost of implementation of the new laws, even without taking into account the expected productivity benefits of the reforms.”

The Executive Summary provides a good level of cost data with far less equivocation than does the PwC report and therefore provides an impression of greater validity. Continue reading “Robust analysis of Work Health Safety laws shows considerable economic benefits”

Latest Productivity Commission data on Australia’s OHS costs

On 15 May 2012, Australia’s Productivity Commission (PC) released its findings into  ” the impacts of the Council of Australian Governments (COAG) Reforms: Business Regulation and Vocational Education and Training (VET)”.  The report includes a chapter on Occupational Health and Safety (OHS). That chapter states:

“Uncertainty exists over the implementation of the agreed [OHS harmonisation]reforms by the remaining three jurisdictions.

If implementation proceeds, and the agreed reforms become operational:

  • all employers are likely to face transition costs in the order of $850 million in aggregate (around $75 per worker);
  • multi-state businesses are likely to see compliance costs fall and safety outcomes improve, generating total possible net cost savings of $480 million per year; and
  • for single-state businesses, despite possible improvements in safety outcomes, additional compliance activities are likely to increase business costs in aggregate for this group by around $110 million per year.”

$A75 per worker seems an acceptable impact although, at first view, single-state businesses, the vast majority of Australian businesses, look to be disadvantaged.  However, the report also states that

“Without full implementation [of OHS harmonisation], there is a risk that businesses will face significant transition costs without realising the possible cost savings from harmonised laws.” (emphasis added)

Here is the political and economic need to play well with each other. Continue reading “Latest Productivity Commission data on Australia’s OHS costs”

Safety leadership and culture require accountability

At the recent Safe Work Australia Awards, the Minister for Workplace Relations had a dig at “safety culture“, according to an article from the National Safety Council of Australia.   Bill Shorten said :

“It is not the systems or the fancy talk about culture that will save people’s lives.”

This has been interpreted by some as Shorten disparaging the advocates of safety culture.  I agree that safety culture can be used as a euphemism for “Act of God” and therefore take no preventative action but safety culture is not designed by Gods, it is designed and implemented by Chief Executive Officers and Boards of Directors, often under the rubric of “leadership”. Continue reading “Safety leadership and culture require accountability”

Victoria bows out of OHS harmonisation

According to an official budget speech by Victoria’s Treasurer, Kim Wells, the State will not be enacting the model Work Health and Safety laws.  Under the subheading “A Stronger Victoria” (page 14), the Treasurer states

“The Government will not sign up to the current proposal for harmonised legislation for occupational health and safety. It offers little benefit for Victoria to offset the $3.4 billion of estimated costs, the majority of which falls on small business. Victoria will continue to work towards best practice legislation.”

Continue reading “Victoria bows out of OHS harmonisation”

Award winner illustrates a potential new approach to small business OHS support

The most interesting winner at the Safe Work Australia was a small greengrocer, The Hub Fruit Bowl.  This family run business improved their occupational health and safety management system (OHSMS) with little more than a free “Small Business Safety Pack” from SafeWorkSA (no longer available on the SafeWorkSA website).  This is a remarkable contrast to the, presumably expensive, Dupont-based achievement of Australian construction company, Grocon.  The win also illustrates the continued importance of the need for free, or cheap, practical plain safety advice. (Why isn’t there a Dummies Guide to Workplace Safety?)

The Hub Fruit Bowl’s achievement could have far-reaching effects as the low-cost approach can be applied to thousands of small businesses in Australia.   The greengrocer has a healthy record of providing young people with their first jobs, jobs that include a solid understanding of workplace health and safety.  The Grocon experience is more corporate and very common where solutions are sought from outside one’s business.

The Hub Fruit Bowl’s win should encourage OHS regulators to reassess their small business OHS strategies.  Instead of funding OHS consultants to provide three or six hours of OHS advice, frequent encouragement and engagement with small business, structured round documented processes may be more effective.  SafeWorkSA does not mention the concept of “case managers” but applying this to harm and injury prevention strategies may have merit.  Providing sustained support and encouragement instead of a quick intense session should be seriously considered by OHS regulators.

It may also be useful to consider providing pro-bono safety services to small businesses, as a civic duty but also to freshen the experiences of safety professionals.

Kevin Jones

© Workplace Safety Services P/L (ABN: 68091088621) and SafetyAtWorkBlog, 2008-2025. Unauthorized use and/or duplication of this material without express and written permission from this blog’s author and/or owner is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Kevin Jones and SafetyAtWorkBlog with appropriate and specific direction to the original content.

Concatenate Web Development
© Designed and developed by Concatenate Aust Pty Ltd