Health and Safety at Work Act and Commercial Property
Posted by apm on December 16, 2024 | Commercial, Company News, News
For many commercial property owners, the area of Health and Safety is not well understood or complied with. It’s important for commercial property owner to understand their obligations and what is required for compliance.
For many commercial property owners, the area of Health and Safety is not well understood or complied with. We partner with a leading Health and Safety company to provide a market leading software system, ensuring our owners are compliant.
It’s important for a commercial property owner to understand their obligations and what is required for compliance.
Landlords’ Responsibility
Why a landlord is a PCBU
Under the Health and Safety at Work Act 2015 (HSWA), a commercial property owner/landlord is a Person Conducting a Business or Undertaking (PCBU). This means you have a duty of care, so far as is reasonably practicable, to ensure the health and safety of everyone involved with or affected by work on or at your property. This includes work that you organise or are responsible for.
Those that could be affected include tenants, contractors engaged by you, or members of the public visiting your property.
PCBU responsibility (Landlord)
A PCBU must ensure, so far as is reasonably practicable, that the 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.
More information in the legislation here >
Primary Duty of Care (section 36 of HSWA)
A PCBU must ensure, so far as is reasonably practicable, the health and safety of workers, and that other people are not put at risk by its work. This is called the ‘primary duty of care’.
This means ensuring, so far as is reasonably practicable:
- The health and safety of workers who work for the PCBU (eg employees or contractors, including their subcontractors or workers) while they are at work in the business or undertaking.
- The health and safety of workers whose work activities are influenced or directed by the PCBU while the workers are carrying out the work (eg a franchise company whose franchise requirements influence or direct the workers of the franchisee).
- That other persons are not put at risk by the work of the business or undertaking (eg a visitor to the workplace, or members of the public who could be affected by a work activity).
More information on Primary Duty of Care here >
It is unlawful and illegal to insure against a fine or infringement fee imposed under HSWA. It is an offence to offer or enter into an insurance policy to pay a fine or infringement fee (section 29 HSWA).
More information on insuring against fines here >
Penalties for Non-Compliance
As PCBUs, landlords face higher penalties and tougher prosecutions under the HSWA. At the top of a three-tier penalties system, landlords who recklessly expose individuals to serious risk of injury, illness or death may be liable for 5 years imprisonment and a fine up to $600,000 for individuals and a $3 million fine for companies. At the other end of the scale, simply failing to comply with a duty could result in a fine up to $100,000 for individuals and a $500,000 fine for companies.
With these kinds of potential penalties, landlords are well advised to familiarise themselves with their HSWA obligations and take necessary steps to ensure compliance and to avoid serious incidents occurring on premises they control.
For specific information about offences and penalties see section 10 “What Are The Offences And Penalties Under HSWA” of the Worksafe Special Guide published in March 2016.
For more information regarding HSWA see the full publication “Introduction to the Health and Safety at Work Act 2015”.
Martyn Hamilton
Head of Commercial
apm
Get in touch with our Commercial Asset/Property Management team so we can have the compliance of your commercial property taken care of.