WHS Considerations for 2014 and Beyond Christian Frost John Makris Head of Workplace Health and Safety Partner – K&L Gates Agenda 1. The Safety Problem 2. Red pill or blue pill thinking? 3. Legislative Landscape 4. The Changing Safety Paradigm 5. The Red Pill Prescription Transport and manufacturing are two of the The Problem top three industries that seriously injure 150,000 1,100 Inspectors who issued 45,000 people 220 improvement notices and 4,500 prohibition Incident rates increase with age notices In fact, driving is$60 thebillion #1 cause of workplace 320 prosecution cases are finalised each fatalitiesfrom work Four weeks absence year with about $22 million in fines issued What Do You Answer? The Anatomy of an Incident HR systems don’t recognise WHS Accountability framework doesn’t include WHS Lack of supervision Procedure not followed Cost cutting Worker was doing overtime Production Worker was fatigued Skills shortage Aging workforce This isn't the first time this has happened Procurement systems don’t recognise WHS Lack of governance over maintenance program Purchasing strategy included cost cutting Maintenance and inspection did not occur as planned Operator put hand in machine Guard broken and not repaired Guard was removed Legislative Landscape Who Has Obligations? Primary duty lies with Persons Conducting A Business or Undertaking (PCBU) to ensure, so far as is reasonably practicable: 1. the health and safety of workers engaged by the person, and 2. workers whose activities in carrying out work are influenced or directed by the person 3. “other persons” not be put at risk from the work carried out by the business Your businesses are a PCBU. Your “workers” include employees and contractors. Other persons include visitors, members of the public, contractors, contributors and work experience people. Legislative Landscape What is Reasonably Practicable? That which is or was reasonably able to be done weighing up factors such as: likelihood of hazard/risk occurring degree of harm from hazard/risk what a person knows or ought to know of hazard/risk availability and suitability of way to eliminate or minimise the risk after assessing the risk and controls, the costs of eliminating or minimising the risk Legislative Landscape Officers of a company must exercise due diligence (at all times) to ensure that the business complies with its WHS responsibilities Are you an Officer? The definition of an Officer includes: • a director or secretary of a corporation? or • a person: ‒ who makes, or participates in making decisions that affect a substantial part of the organisation? ‒ who has the capacity to affect significantly the corporation’s financial standing? Legislative Landscape Due diligence includes: • To acquire and keep up-to-date knowledge of WHS • To gain an understanding of the nature of the operations and associated risks • Provide resources and processes to eliminate or minimise risks • To ensure processes are in place for complying with any duty or obligation • To ensure appropriate processes are established for receiving and considering information regarding incidents, hazards and risks and responding to this information in a timely manner • Verify the resources and processes referred to above are in place and working Penalties Maximum Penalty – corporation Maximum Penalty – individual The most serious offences – causing death, or serious injury or high risk of death or serious injury involving recklessness. $3 million • Category 2 Offences involving a high risk of death or serious injury without recklessness $1.5 million • • $300,000 for officers $150,000 for workers or other persons Category 3 Less serious offences placing persons at risk of injury or illness $500,000 • • $100,000 for officers $50,000 for workers or other persons Nature of Offences Category 1 • $600,000 and/or 5 years imprisonment for officers $300,000 and/or 5 years imprisonment for workers or other persons The Changing Safety Paradigm Risk Management Consultation Cooperation Coordination Monitor, Audit & Review Safety Management System Training Instruction Information Supervision The Roleforofthe the HRPillProfessional YourExciting Prescription Red Recruitment Systems and reporting Accountability WHS Professional Performance Management Analysis Embedding practices in various systems Training Thank you