Industrial manslaughter offence introduced in New South Wales
On 20 June 2024, the New South Wales Parliament passed legislation to include a new criminal offence of industrial manslaughter under work health and safety legislation.
Read more...A workplace incident involving a worker struck by a forklift has demonstrated the importance of having documented systems of work and induction processes in place that are accessible for all workers.
The worker was employed as a stock picker by Phong Warehouse & Distributor Pty Ltd (Phong). Phong was contracted by Williams Pressing and Packing Service Pty Limited (Williams) to provide stock picking services out of its warehouse.
On the worker’s second day of employment, a forklift exiting from an aisle of the warehouse drove over her feet, causing her to suffer injury to her toes.
Both Phong and Williams were charged with and pleaded guilty to breaches of the Work Health and Safety Act 2011 (NSW) (see SafeWork NSW v Phong Warehouse & Distributor Pty Ltd [2018] NSWDC 253 and SafeWork NSW v Williams Pressing and Packaging Services Pty Limited [2018] NSWDC 409).
In both cases, the NSW District Court heard that Williams had an undocumented forklift procedure in place which was verbally advised to employees. This procedure required workers to give way to forklifts, keep a three-metre exclusion zone from the forklift, exit the aisle before the forklift entered the aisle, and not enter the aisle until the forklift had exited the aisle.
Other deficient systems of work identified included:
Following the incident, Williams and Phong made a number of changes, including implementing a traffic management plan and inducting workers in the traffic management plan and workplace again. Phong also developed a new separate induction program where workers complete an induction by Phong and then Williams, with Williams collecting induction records.
As a result of their failures to comply with a work health and safety duty, the NSW District Court convicted both Phong and Williams. In relation to Williams, the NSW District Court found that Williams was more culpable than Phong as it had control over the warehouse and the forklift and engaged Phong to supply labour. It held that Williams was obliged to ensure that all workers, including Phong workers, were safe from the risk of collisions between the forklifts and pedestrians.
Phong was ordered to pay a fine of $30,000 and costs of $18,000. Williams was separately ordered to pay $60,000 and $20,000 in costs.
Lessons for employers
The incident and the separate prosecution of both Phong and Williams by the regulator highlights the operation of work health and safety laws, which provide that persons conducting a business or undertaking have a primary duty of care to ensure the health and safety of workers, including contractors, at work, so far as is reasonably practicable.
The cases also demonstrate the importance of having safety systems documented and of having regard to the minimum standards set out in Codes of Practices and Guidance material released by regulators.
To ensure that they are meeting their health and safety duties, at a minimum, businesses should consider:
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