Work Health and Safety Forum 25.09.2018 3 CCF Qld Safety Forum - - PowerPoint PPT Presentation

Work Health and Safety Forum

25.09.2018

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CCF Qld Safety Forum

Nathan Cecil, Partner - Transport, Shipping & Logistics 1 October 2018

CoR recap

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CoR – a SHARED responsibility

You are a party in the Chain

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Consignor Prime contractor Operator Driver Scheduler Packer Loading Manager Loader Unloader Consignee

You are a party in the Chain

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• Anyone who:
• Consigns
• Packs/prepares
• Schedules
• Loads
• Carries
• Unloads
• Receives

goods transported by heavy vehicle by road.

• And/or anyone who operates:
• A heavy vehicle
• Heavy vehicle loading/ unloading

premises.

CoR recap

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Mass Dimension Load restraint Fatigue Speed Vehicle maintenance

Components

Safety duties

Every Party in the Chain:

Ensure, so far as is reasonably practicable, the safety of the party’s transport activities relating to any vehicle

Executives:

Exercise due diligence to ensure that their business complies with its duties

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Business practices

• The new CoR laws define ‘transport activities’ to include ‘business

practices’.

• Business practices are an essential compliance component.
• If you don’t have them in place (and/or can’t demonstrate them), you

won’t be taking all reasonably practicable steps to ensure the safety of your transport activities.

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CoR risk management framework

Risk Control Monitoring Reporting

CoR risk management framework (cont’d)

CoR risk management

Policy/procedures Awareness/training Contracts Compliance monitoring Executive reporting

Penalties – How much?

$3M $300K + 5 years

Control and influence

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You are also responsible for others in the Chain

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Control/influence Responsibility Legal liability

Suppliers Contractors YOU Contractors Customers

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Compliance risks – key business input/output processes

Compliance risk sources

3P You

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Third parties = suppliers, contractors/subcontractors, service providers, customers

Getting the balance right

Pre-engagement screening/assurance Post-engagement compliance monitoring and rectification

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CoR and the Civil Construction sector

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Courtesy of Peter Wells, Director – Safety & Compliance, RMS - 2015

Collaboration, as essential part of effective CoR management

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(Courtesy of Peter Wells, Director – Safety & Compliance, Roads and Maritime Services, Inform CoR Conference 2015)

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Significant construction sector prosecutions:

• RMS v South Penrith Soil and Sand (2014) – quarried materials - $88,750 (plus costs)
• RMS v Sims Group, Delta and Kreidies Management (2015) – steel waste - $381,200 (incl. costs)
• RMS v Metropolitan Demolitions and Recycling (2017) – construction waste - $1.55M (incl. costs) plus

prohibition order

Satisfying customer diligence requirements

• = = (Compliance = Assurance = Engagement/Award of work)
• Increased customer focus on:
• Pre-engagement screening and due diligence
• CoR compliance questionnaires
• CoR KPIs
• CoR compliance audits

Disclaimer The information in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, we do not guarantee that the information in this publication is accurate at the date it is received or that it will continue to be accurate in the future. We are not responsible for the information of any source to which a link is provided or reference is made and exclude all liability in connection with use of these sources.

Nathan Cecil Partner

T 02 8083 0429 E Nathan.Cecil@holdingredlich.com

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2018

CoR and Safety Management Systems

• 1. Safety Duties and CoR under the HVNL
• 2. Safety Management Systems
• 3. Guides, Templates and Worked Examples
• 4. Industry Codes of Practice, NHVAS and other support

CoR and SMS

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Agenda

Safety Duties and CoR under the HVNL

The safety of transport activities relating to a heavy vehicle is the shared responsibility of each party in the Chain

• f Responsibility for the vehicle.

The responsibility depends on the function the person performs, the nature

• f the risk and the person’s capacity to

control, eliminate or minimise the risk.

Safety duties

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Each party in the Chain of Responsibility (CoR) must ensure, so far as is reasonably practicable, the safety of their transport activities.

Primary duty

CoR and SMS

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Employer Prime Contractor Operator Scheduler Consignor Consignee Packer Loading Manager Loader Unloader

Each party must, so far as is reasonably practicable:

• eliminate or minimise public risks
• not cause or encourage a driver of a

heavy vehicle or another person to contravene this Law

Primary duty

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Reasonably practicable means something that is, or was at the time, reasonably able to be done to ensure health and safety.

Likelihood Harm Knowledge Solutions

What is the likelihood of the risk

• ccurring?

What is the degree of harm that could be caused? What should you know about the risk? What are the ways to remove the risk?

Cost

Are the costs proportionate to the risk?

Primary Duty - So far as is reasonably practicable

Executives of legal entities must exercise due diligence to ensure the safety of the legal entity’s transport activities.

An executive means:

• For a corporation – an executive officer
• For an unincorporated partnership – a

partner

• For an unincorporated body – a

management member

Duty of executive of legal entity

CoR and SMS

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Gain and maintain knowledge about safe conduct of your transport activities Understand the hazards and risks associated with your transport activities Have appropriate resources to implement processes to eliminate or minimise your hazards and risks Respond to information received about your hazards and risks in a timely manner Verify that your resources and processes are provided, used and implemented

Due Diligence for executives

Prohibited requests and contracts

CoR and SMS

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A person must not enter into contracts

• r arrangements that encourage,

reward or give incentives to the driver

• r other parties in the supply chain to

breach the law.

Benefits of alignment

Common Systems - Manage safety risks across the entire business with same systems/practices Integration - Create safety synergies across parties in the CoR with common approaches and strategies Economy - Reduce costs by using the same processes and similar practices

CoR and SMS

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Alignment of HVNL with WHS laws

X Applying business practices or demands that cause a driver to breach fatigue management requirements, or speed limits X Failing to weigh, measure or secure loads X Setting schedules with unrealistic timeframes X Causing unreasonable delays in loading and unloading X Packing goods incorrectly X Entering terms in contracts and arrangements that encourage, reward or give incentives to the driver or other parties in the CoR to breach the law

CoR and SMS

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Common breaches of CoR obligations

Safety Management Systems

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One of the most effective ways of meeting your safety obligations under the Heavy Vehicle National Law (HVNL). Adopting and actively using an SMS has proven to help reduce safety-related incidents in other transport industries, such as maritime, rail and aviation.

An SMS is a systematic approach to managing safety, including the necessary organisational structures, accountabilities, policies and procedures – integrated throughout the business.

What is a Safety Management System (SMS)?

Manage your safety responsibilities under the HVNL Demonstrate your ability to manage risk and ensure safety Reduce costs associated with incidents and accidents Become an employer of choice and preferred supplier

Why have an SMS?

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Components of an SMS

CoR and SMS

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Components and Elements of an SMS

• Management commitment
• Safety responsibilities
• Key safety personnel
• Documentation
• Third party interactions
• Hazard identification
• Risk assessment and

mitigation/treatment

• Risk monitoring and review
• Incident reporting
• Safety training and education
• Safety communication
• Positive safety culture
• Internal safety investigations
• Safety performance monitoring and

measurement

• Change management
• Continuous improvement

Tools, Templates and Support

Visit www.nhvr.gov.au/sms  Checklist  Quick Guides  Templates  Worked Examples

CoR and SMS

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SMS Checklist Helps you identify any safety management system elements you may already have in place and enable you to focus on those SMS elements you need to develop.

CoR and SMS

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Quick Guides

Short, easy to read format, answering:

• What?
• Why?
• How?

Topics include risk registers, hazard and incident reporting

CoR and SMS

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Templates

• Editable Microsoft Word

documents

• Insert your own logo
• Modify to meet your business

needs

CoR and SMS

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Worked examples

Industry Codes of Practice, NHVAS and other support

Establishes standards and procedures for parties in the chain of responsibility to identify, analyse, evaluate and mitigate general risks associated with meeting obligations under the Heavy Vehicle National Law (HVNL).

CoR and SMS

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Industry Codes of Practice

Master Code Crane Forestry Livestock

 You can freely adopt a Code to develop a compliance and safety risk management process that addresses your HVNL obligations  A Code can be used to tailor your risk management process to suit the specific needs of your operating environment  Industry codes of practice provide useful guidance about known risks and reasonably practicable ways to remove or reduce those risks

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Benefits of adopting an Industry Code of Practice

NHVAS standards address risks associated with:

• mass management
• maintenance management
• fatigue management

Plus components found in an SMS, such as:

• documenting policies and procedures
• training employees
• detailing responsibilities

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NHVAS

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Other sources of information and support

For information and tools to help you understand your responsibilities in the Chain of Responsibility visit www.nhvr.gov.au/cor For information and tools to help you develop a Safety Management System for your business, visit www.nhvr.gov.au/sms

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Where can I get more information?

QUESTIONS?