A Division of Redcoats Limited Health and Safety Changes For Oxygen Contractors
CONTENTS 1. About Oxygen 2. Oxygen s Approach to H&S 3. Health and Safety Law Changes 4. Why the Change? 5. PCBU Explanation 6. Who Will Do What 7. Overlapping of Duties 8. How Does it Affect Me? 9. What is Oxygen Doing? 2
1. ABOUT OXYGEN Our team is led by General Manager Grahame Duffy, a highly experienced and accomplished manager. Grahame was principal of two of Wellington s most well-known boys schools. At Oxygen, you ll find the perfect mix of great people combined with solid property expertise. Many of our team are born and bred locals. When working with the team for the first time, you ll see their expertise and propensity to go above and beyond to deliver great results. The success of our business and the trust that we have gained from our clients is reflected by the size of our team. Today, Oxygen employs over 60 highly motivated property professionals who all have a can do attitude while providing a friendly and efficient service. It is this approach that continues to see property owners, investors and bodies corporate entrust their properties to us, to deliver a property experience that is cost effective, efficient and stress free. Although the Property Management industry is not officially bound by Government Legislation, Oxygen has chosen to set its own guidelines for deciding what type and number of properties it chooses to manage. Setting standards relating to property type and maintenance level means that Oxygen properties will provide excellent quality rental homes. Oxygen is a division of Redcoats Limited. Redcoats are Licensed Real Estate Agents operating within the Professionals Group Co-operative. Redcoats have been in the business of property for over 30 years and offer a multi professional service aimed at fulfilling every real estate requirement in the residential and commercial markets. 3
2. OXYGEN S APPROACH We take our approach to Health and Safety very seriously as it is our responsibility to ensure that our clients, staff and contractors interests are protected at all times. What this means for us, is that we only work with accredited and registered trades people who abide by our Health and Safety regulations and have declared their intention to work with us in a safe manner. By being a conscientious property management company we will commit to: Engaging with compliant contractors only Being aware of our responsibilities to all parties Communicating our position to all parties we engage Identifying Health and Safety hazards and risks, and take steps to prevent these from happening Making sure our Health and Safety policies are led by management, understood by all staff and reviewed regularly Holding regular training on Health and Safety matters Engaging workers in Health and Safety matters that affect them Supporting all officers to get up to date with Health and Safety issues and key risk factors Reporting and monitoring Health and Safety goals Regularly reviewing any incidents reported Carrying out frequent Health and Safety audits with Oxygen contractors By taking these steps, it means that we are taking responsibility for the Health and Safety of our staff, our clients and our contractors. 4
3. HEALTH AND SAFETY LAW CHANGES New Zealand s primary workplace Health and Safety legislation, the Health and Safety in Employment Act 1992 ( HSE ACT ) is now 20 years old. The Royal Commission on the Pike River Coal Mine Tragedy concluded that New Zealand s approach has been incomplete particularly in relation to the relative lack of regulations, approved code of practice or guidance to make the HSE Act as affective as intended. The Health and Safety Reform Bill will strengthen existing requirements for workers to become engaged and participate more in work Health and Safety matters. Stronger worker participation underlines the expectation in the Bill that everyone in the workplace is responsible for workplace Health and Safety, and that workers are empowered to intervene when they see an unsafe situation. Working Safer: a blueprint for Health and Safety at work is the Government s response to the recommendations of the Independent Taskforce on Workplace Health and Safety set up in April 2012, partially in response to the Pike River Coal Mine disaster. The Health and Safety Reform Bill has been passed by Parliament and will come into effect on 04 April 2016. The new legislation will be called the Health and Safety at Work Act and there will be a series of regulations that are currently being developed to support the new Act which includes; General risk and workplace management Major hazard facilities Asbestos Engagement, worker participation and representation The key changes for businesses to be aware of; Health and Safety in Employment Act 1992 will be repealed The new law will be based on the Australian model law The change will focus on workers and workplaces and not Employers and Employees (workers includes Employees and Contractors) Elimination or minimisation of risks not merely isolation Significantly higher penalties for offenders No ability to avoid self-incrimination Until the new Act comes into effect on 04 April 2016, the current Health and Safety in Employment Act 1992 will remain in force. 5
4. WHY THE CHANGE? In August 2013, the Government announced its Working Safer Reform Package that s aimed at reducing New Zealand s workplace injury and death toll by 25 per cent by 2020. New Zealand has a poor record of workplace Health and Safety. In New Zealand, our workers are twice as likely to be killed or suffer serious harm compared to Australia, and six times as likely as those in the UK. WorkSafe New Zealand figures show that on average each year, across all New Zealand workplaces; 75 people die on the job One (1) in ten (10) is harmed An estimated 600-900 die from work-related diseases All coming at a cost of approximately $3.5 Billion per year Working Safer will require leadership and action from business, workers and the Government to achieve this goal. 6
5. PCBU EXPLANATION WHAT IS A PCBU? PCBU stands for a Person Conducting a Business or Undertaking, a concept that sits at the heart of the new legislation. A PCBU covers every type of workplace and is the biggest change introduced by the new legislation. Despite the name, a PCBU will usually be a business entity such as a company rather than an individual person, unless they are operating a business as a sole trader or selfemployed person. WHY THE CHANGE TO PCBU? The PCBU is a broad concept that better reflects modern working arrangements than just an employer/employee relationship. All current duty holders - employer, self-employed, principals to contracts, person controlling a place of work will simply be PCBU s under the new legislation. WHO ARE PCBU S? Property management companies are PCBU s Body Corporates are PCBU s Real Estate Agents are PCBU s Commercial property owners are PCBU s Residential Landlords are PCBU s WHO ISN T A PCBU? Workers - Someone who works for a PCBU. While workers have their own Health and Safety responsibilities in the workplace, they don t hold a primary duty of care. Workers have duties to; Take reasonable care to ensure the Health and Safety of themselves and others in the workplace Follow any reasonable instruction from the PCBU Cooperate with any reasonable policy or procedure of the PCBU relating to the Health and Safety in the workplace Workers have the right to refuse to undertake dangerous work. Officers - Officers are Directors, Board Members, Chief Executives and Partners are all considered Officers and have explicit duties around workplace Health and Safety. Officers are people holding very senior governance roles with significant influence over the management of the business or undertaking. Directors and other officers have a duty to exercise due diligence to ensure that the PCBU is putting the right focus on a healthy, safe workplace. 7
While it is not their role to directly ensure the Health and Safety of PCBU workers, officers are the guiding mind and will of an organisation, their decisions will ensure the success or failure of any Health and Safety initiative. It is their role to strongly influence a safety culture at all levels. The Act defines due diligence as taking reasonable steps to keep knowledge up to date by understanding the PCBU s operations, hazards and risks associated to ensure and verify that the PCBU has appropriate resources and processes to meet its duties. Certain types of officers exempt from prosecution if they fail their duty; Volunteer directors (members of BC who are not paid cannot be prosecuted for a failure to meet due diligence) Elected community board members Elected members of school board of trustees Elected members to local authority boards Householders employing someone to do residential work are also not PCBU s. An apartment owner getting someone undertake residential work on their own home are not PCBU s (where as the Body Corporate getting work done on the building is). Volunteer workers - Volunteer workers are people who regularly work for a PCBU, with its knowledge and consent on an on-going basis and are integral to the PCBU s operations. They are covered by the PCBU s primary duty of care to workers. Volunteers who work on a casual or infrequent basis are classed as other For example: a volunteer fire fighter would be classed as doing integral work for a PCBU on an ongoing basis and therefore would be a volunteer worker under the Act. Residents of a building participating in a working bee organised by a Body Corporate would be classed as other. The Body Corporate would have a general duty to these people as they would to members of the public. DUTY OF CARE FOR PCBU S All PCBU s have a duty to ensure, so far as is reasonably practicable; The Health and Safety of workers who work for the PCBU The Health and Safety of workers whose activities in carrying out work are influenced or directed by the PCBU while the workers are carrying out the work That Health and Safety of other persons is not put at risk from work carried out as part of the conduct of the business or undertaking eg visitors and customers The new legislation shifts the focus from monitoring and recording Health and Safety incidents to proactively identifying and managing risks so everyone is safe. This may not necessarily mean a major change to your day-to-day operations, but it s the PCBU s duty to think about who may be affected by its business. This includes occupants, tenants, contractors and visitors. 8
6. WHO WILL DO WHAT? Example - A&B Construction Limited is co-owned by Builder Joe Bloggs and Office manager Jo Bloggs. The company employs Builder Jane Doe and John Smith as the builder s friend. They work in a variety of locations, including the company s registered office and onsite at customer (landlord/owner s) and workplaces. Who A&B Construction Limited Jo and Joe Bloggs Jane Doe and John Smith Customer (landlord/owner) Must-do s under the new law Under the new law, the company itself will be the Person Conducting a Business or Undertaking ( PCBU ). This means it will have overall responsibility for the Health and Safety of its staff and others affected by its work. The company has to discuss Health and Safety matters with its staff, and in practice it will usually do this through its managers. As directors, Jo and Joe will be required to make sure A&B Construction Limited complies with its obligations. As workers, Jo and Joe will also have to take reasonable care for the Health and Safety of themselves and others, and follow A&B Construction Limited s polices and instructions. Workers will have to take reasonable care to ensure Health and Safety of themselves and others, and follow A&B Construction Limited s polices and instructions. Customers (landlord/owner) will have to take reasonable care for their own and others Health and Safety on their premises, eg taking care around where the Builders are working. They will also have to follow onsite safety instructions from A&B s staff. 9
7. OVERLAPPING DUTIES Duties overlap on specific matters individual problems. PCBU s are not expected to align their entire Health and Safety policies, they need to consult, cooperate and coordinate over each matter where their work overlaps. A landlord who rents out a number of properties is a PCBU, Oxygen that manages the property on the landlord s behalf is a PCBU, a contractor engaged to undertake repairs on a building (eg electrician) is a PCBU. When an electrician is contracted by Oxygen on behalf of the landlord, Oxygen will need to ensure contractors are aware of risks of the property and what they need to look out for. Residents will need to also be advised of when the contractor will be attending and to warn them of any areas they need to keep clear of. The electrician will need to inform Oxygen of any risks they are bringing onto site (eg gas tanks, diggers). It is important that all parties work together to ensure risks are managed. The act does not define who initiates discussions, all PCBU s need to consider where their duties overlap and who has more influence and control. 10
8. HOW DOES IT AFFECT ME? This does not necessarily mean that businesses will be faced with a lot of new compliance costs. For many businesses, there will be little change if you have good Health and Safety policies and practices already in place, you are in a good position to stay compliant when the law changes. If not, there s plenty of time to rectify this to make sure you are up to speed with the new regime. Ahead of the change, it is a good opportunity to review and revise how you manage any critical risks that could cause illness or injury serious enough to keep someone off work. The new law says you need to take reasonably practical steps to manage these risks. How you do this will depend on; How seriously someone could get hurt The change of an accident happening How much control you have over preventing it The new legislation shifts the focus from monitoring and recording Health and Safety incidents to proactively identifying and managing risks so everyone is safe. This may not necessarily mean a major change to your day-to-day operations, but it s the PCBU s duty to think about who may be affected by its business. This includes staff, clients, contractors and visitors. The PCBU will also need to engage its workers in Health and Safety matters through toolbox meetings, Health and Safety representatives, or other ways that suit that particular business. What do I need to do? If your business already has a strong commitment to Health and Safety, you might not have to do anything new. If not, you will need to think about what could go wrong in your business and how you will manage your Health and Safety risks. You will need to ensure all staff understand the risks, by doing this, it will help with productivity and it may assist with a reduction in your ACC levies. The new law comes into effect in April 2016; between now and then there are five things you can do now; Familiarise yourself with the key concepts of the legislation Review your Health and Safety practices Identify Health and Safety risks in your business and take steps to prevent these from causing harm Lead by example Make Health and Safety part of your workplace culture 11
9. WHAT IS OXYGEN DOING? Oxygen are not waiting until April 2016, we are already in the process of ensuring we are compliant in relation to the new Act. Oxygen has engaged all contractors used in the past 12 months and will be conducting a process to accredit these contractors. What this means is that all contractors are required to provide the following; Public Liability Insurance certificate of currency ($2 million minimum) Professional Indemnity Insurance certificate of currency ($2 million minimum) Safety Documentation (Health and Safety Policies and Procedures) Contractors Company Licence/ Trade Licences Incorporation Certificate Undertake the Oxygen Contractor Company Registration Process Training Register to be completed by Contractor Employees conducting work on behalf of oxygen Agreeing to Oxygen s terms and conditions Ministry of Justice, Third Party/ Criminal record checks (on request only) Once Contractors have been accredited through Oxygen, they are then able to conduct work at any Oxygen Managed property/site. Oxygen can only engage in accredited contractors to undertake work on their behalf from 31 March 2016. 12