Impediments for OHS enforcement

In  letter published in the October 2011 edition of the American Historical Review (page 1257, and not available without a subscription [I got there through EBSCOHost]), Donald Rogers responded to a review of his book Making Capitalism Safe.  He said that

“Quoting reformers, the book argues that OSHA had truly “radical” potential to raise work safety standards and address previously neglected health hazards, but adds that OSHA’s promise “crumbled in the conservative political reorientation of the 1970s,” largely due to narrow court decisions, weak state cooperation, and drastic funding cuts during the Reagan years (pp. 175, 181)”.

Two out of those disappointments – “conservative political reorientation” and “weak state cooperation” – should sound familiar to those Australian safety professionals involved with OHS harmonisation.

Kevin Jones

South Australia’s politicians prepare to grill the OHS regulator, SafeWorkSA

On 19 May 2012, South Australia’s Parliamentary Committee on Occupational Safety, Rehabilitation and Compensation (OSRC) announced in the Adelaide Advertiser and inquiry into the operations of SafeWorkSA.  SafetyAtWorkBlog has been told that the inquiry was self-initiated by the committee as a result of no one particular reason.  The Minister for Industrial Relations was apparently unaware of the inquiry and nor was SafeWorkSA.

As the passing of Work Health and Safety laws stall in the Parliament, the politics of safety in South Australia is about to get even messier.

The notification from the OSRC committee lists the inquiry’s terms of reference: Continue reading “South Australia’s politicians prepare to grill the OHS regulator, SafeWorkSA”

Workplace bullying hits the national agenda in Australia

On Saturday morning, May 26 2012, the Australian Prime Minister, Julia Gillard, and her Workplace Relations Minister, Bill Shorten, announced an inquiry into workplace bullying to be undertaken by the House Standing Committee on Education and Employment and to report to Parliament in November 2012.

This announcement seems to be another that is buried or overtaken by current political events.   The Australian Broadcasting Corporation mentioned workplace bullying as a “silent epidemic”.  There is a strong risk that the politicians are overstating the workplace bullying case.  WorkSafe Victoria receives thousands of enquiries about workplace bullying but only a portion of them fit the workplace bullying definition and only a handful proceed to a prosecution.  The government needs to be careful that it is not operating to a perception of workplace bullying instead of the reality, even though the community outrage is genuinely felt.

The Age newspaper and AAP, basically printed an edited media release but the most significant statements have not been printed.  These are the comments by the Prime Minister, Minister Shorten and the parents of Brodie Panlock, Damian and Rae.  Below is a selection or statements from the doorstop transcript:

PM : “I’ve have had the opportunity to have a conversation with Damian and with Rae about their family experience and they will talk about that family experience themselves, but it led to the loss of their daughter Brodie. And they fought hard here in Victoria for Brodie’s law, to have a law that deals with serious bullying at work. Continue reading “Workplace bullying hits the national agenda in Australia”

NSW inquiry into workers’ compensation illustrates short-termism

UnionsNSW are campaigning strongly on OHS issues during an inquiry by Joint Select Committee on the NSW Workers’ Compensation Scheme into workers compensation.  They make the point that a focus on the reduction of injury is the most effective way of rendering a workers compensation scheme “profitable”.  By neglecting worker safety, injuries increase and there is a higher demand on compensation and rehabilitation resources.

A major concern in the campaign is that the government is focussing on reducing costs and, in workers’ compensation schemes, that often results in fewer resources for injured workers and their families.

Tim Ayres, Secretary of the Australian Manufacturing Workers Union, was quoted in the Sydney Morning Herald:

“If NSW employers want to save money on workers’ comp premiums, they should focus on reducing their premiums by providing safer workplaces where workers don’t get injured and killed.”

But a draft submission, seen by SafetyAtWorkBlog, by the International Governance and Performance Research Centre (IGPRC) of Macquarie University provides some balance into the rhetoric. Continue reading “NSW inquiry into workers’ compensation illustrates short-termism”

Victoria’s Workcover Minister reveals more of the “secret” inquiry into Workcover and the Transport Accident Commission

The terms of reference of the Victorian Government’s review of the Victoria Workcover Authority and the Transport Accident Commission remain hidden in the inquiry by the Essential Services Commission but some hints about the review are appearing in the press and official records.

The Australian Financial Review of 21 May 2012 reported that the Victorian Minister for WorkCover, Gordon Rich-Phillips would not rule out the option of merging the two organisations.  A reading of the transcript of the budget estimates inquiry conducted by the Public Accounts and Estimates Committee (PAEC) illustrate the reasonableness of Rich-Phillips statement – an inquiry has commenced and he should not pre-empt the inquiry findings.

Rich-Phillips said that the inquiry will be looking at

“how [the functions of both organisations] can be improved and how the two agencies can work together better.”

The concerns, principally raised by the Shadow Finance Minister, Robyn Scott, seem to be over potential changes to the TAC, including the use of private insurance companies to manage injuries from motor vehicle accidents, and not about the VWA or WorkSafe. Continue reading “Victoria’s Workcover Minister reveals more of the “secret” inquiry into Workcover and the Transport Accident Commission”

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”

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