Lockton Australia urges action on WHS compliance
Lockton Australia urges action on WHS compliance | Insurance Business Australia
Professionals Risks
Lockton Australia urges action on WHS compliance
Advocacy follows landmark case
Professionals Risks
By
Roxanne Libatique
Lockton Australia has drawn attention to the critical importance of work health and safety (WHS) compliance in property ownership and facility management, following a recent legal case in New South Wales.
The case involved significant penalties for breaches of WHS laws, underscoring the legal and financial risks faced by businesses in the property sector.
NSW work health and safety case
The 2020 incident occurred at an industrial complex where a gate, damaged by a van, fell eight days later and killed a worker.
Notably, NSW law prohibits insurance coverage for WHS-related fines, making compliance even more crucial.
Key WHS lessons from the NSW work health and safety case
Shared WHS responsibilities
Lockton Australia said the case demonstrated the shared duty of WHS compliance among property owners and facility managers, even when day-to-day operations are not their direct responsibility.
Defined WHS obligations
The brokerage giant emphasised that clear agreements between property owners and managers about their WHS roles are essential for effective risk management and avoiding liability.
Prompt action on safety hazards
Any safety risks identified should be addressed immediately, according to Lockton Australia.
Temporary solutions, such as restricting access, can be useful until permanent repairs are completed.
Long-term safety solutions
Temporary fixes should not replace comprehensive solutions to resolve safety risks. Property managers must ensure timely and lasting repairs to prevent further incidents, said Lockton Australia.
Implementing WHS assurance programs
The insurance brokerage giant recommended that property owners establish rigorous WHS assurance programs to verify that facility managers, whether internal or external, are meeting their safety obligations.
Regular audits and inspections are vital to maintaining WHS compliance and should be tailored to the size and risk profile of the property.
An effective WHS assurance program should include:
a robust WHS management system
strong hazard and incident reporting mechanisms
a well-maintained site risk register
risk assessments for common hazards, such as plant and equipment or hazardous materials
comprehensive contractor management procedures
proper issuance of work permits for high-risk activities
regular public liability risk inspections
Corrective actions and ongoing improvement
If gaps are identified in WHS compliance, corrective action plans should be developed, according to Lockton Australia.
Additionally, property owners should ensure regular WHS reporting from facility managers to monitor ongoing safety performance and compliance with agreed-upon WHS protocols.
A report from the company suggested that businesses should adopt data-driven strategies tailored to the evolving needs of their workforce, particularly in the post-pandemic environment.
The report recommends that companies use data analytics to design wellbeing initiatives that address the root causes of employee dissatisfaction. Additionally, it encourages closer collaboration between HR and finance teams to secure funding and ensure wellbeing programs align with business objectives.
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