Media Release
January 16 2007
New research finds State’s OH&S fines grossly inadequate
Fines under South Australia’s occupational health and safety (OH&S) laws
are in need of an overhaul, says OH&S researcher
Dr Kevin Purse.
"Fines for employers convicted of criminal offences under South Australia's occupational health and safety laws are manifestly inadequate and it is unlikely that the increases now under consideration will be much more of a deterrent," says Dr Purse of UniSA's Hawke Research Institute.
In research on the enforcement of OH&S laws, Dr Purse found that between July 1988 and June 2006 SA employers were convicted of 284 offences, most of which involved unsafe working conditions that resulted in serious injuries or the death of workers.
"The average fine imposed by the courts for these offences was $13,148. Most of the firms convicted were large or medium-sized corporations so these fines are little more than a slap on the wrist," Dr Purse said.
In relation to fatalities during the four-year period to June 2006, employers were fined between $30,000 and $60,000, with an average fine of $44,444.
“These figures highlight the inordinately low value placed on workers' lives and can only add insult to injury for the families caught up in such a tragedy,” Dr Purse said.
He also found that while the maximum penalty for a first offence under the Occupational Health, Safety and Welfare Act was increased from $50,000 to $100,000, the average fine as a percentage of the maximum actually fell.
"From 1988/89 to 2000/01, the average fine was 19.2 per cent of the maximum. However, following the doubling of the maximum penalty in 2001 the average fine has fallen from what was already a low percentage to 17.6 per cent of the maximum fine. The intent of Parliament was to increase penalties for OH&S offences but, perversely, they have fallen in percentage terms."
Dr Purse says the State Government proposal to increase the maximum fine for a first offence to $300,000 is well-intentioned but still inadequate.
“It would still leave SA at the back of the pack - lagging behind New South Wales, Victoria, Queensland and Western Australia - as far as maximum fines are concerned. It would also have little deterrent effect, especially when actual penalties imposed are less than 20 per cent of the maximum,” he said.
“The Rann Government has done a pretty good job in improving enforcement of the state's OH&S laws since coming into office in 2002. But unless there is an effective deterrent, this good work could be undermined.
"If the government wants effective deterrence, there must be appropriate sanctions. With many corporations making mega-profits there is an obvious need for realistic fines as part of any modern enforcement regime. Offences against property can attract fines of millions of dollars. At the very least, a similar approach needs to be considered for OH&S crimes that kill or maim people at work."
Contact for interview
-
Dr Kevin Purse tel (08) 8443 9946 email kevin.purse@unisa.edu.autext
Media contact
- Michele Nardelli office (08) 8302 0966 mobile 0418 823 673 email michele.nardelli@unisa.edu.au