The first action laid out in the strategy is related to Information and Awareness–the more companies and workers know their responsibilities and processes, the better the outcome–the next one is how to pull together the different regulations across each Australian state and territory.
Action Two: National Coordination
Most companies that operate within Australia do so across multiple states, all of which have slightly different legislation requirements and areas of focus. However, the national goal to reduce worker fatalities, injuries, and illness remains. As identified within the strategy, there has been significant improvement in national coordination across Australia’s Work Health and Safety System.
One of the identified opportunities is to increase coordination. This looks like all Australian states and territories sharing resources, collaborating on initiatives, and tackling complex challenges that impact all Australian workplaces, rather than continuing to have a siloed approach.
While this target exists at a regulatory level, this shouldn’t discourage companies operating within Australia from acting on their own data and experiences to bring about change. You don’t need to wait for it to become legislation, you can act now. While something may not be a requirement in one location, if you’ve noticed a positive trend in relation to WHS outcomes, there’s nothing to stop you from applying it across all of your locations.
So, what does Safe Work Australia suggest?
Sharing insights isn’t limited to governing bodies–sharing across industries can drive successful initiatives to be replicated and scaled across the country, leading to best practices being adopted nationally. With many Australian companies working across jurisdictional lines, there will be opportunities for engagement so government bodies can better understand the unique challenges that arise.
It’s important for there to be cross-industry buy-in if we want to see an improvement in WHS outcomes nationally. The focus will be on working with researchers to identify emerging WHS challenges. When there is visibility over commonplace issues, it’s far easier to develop solutions that work.
There will also be a key focus on monitoring and improving the WHS framework nationally, which will include the development of WHS regulations and codes of practice by Safe Work Australia. It’s the right time for companies to get themselves reacquainted with their responsibilities under the Work Health and Safety Act.
Action Three: Data and Intelligence Gathering
With the focus on Work Health and Safety conversations becoming commonplace, you need to first know what you’re working with. You are only as good as your data, and your data is only as good as you make it. Until you have clarity of the WHS challenges across your workforce, you can’t act to make your sites safer for the people coming to work for you. One of the biggest problems in data gathering is having information spread across multiple platforms and using different metrics. Without this clarity, common WHS issues can be missed and can lead to unsafe work practices, leaving companies open to workers compensation claims.
The same can be said for regulatory bodies. One of the strategy's focuses is expanding the evidence base through an iterative approach, with the end goal of collating reliable and timely data as an enabling tool to address current and emerging WHS challenges.
Collaboration between government and industry will be key when it comes to sharing WHS data. A willingness to share will allow for trends and patterns to be identified, with new insights used as support for evidence-based policy at a national level.
So, what does Safe Work Australia suggest?
They’ll be working to identify new industry data sources through social surveys and other sources to supplement official workers’ compensation claim statistics, providing a clearer picture of the current state.
This requires participation from industry, which means you need to agree if and when Safe Work Australia wants to gather insights from your workforce. Collaboration across government, social partners and research communities will occur to ensure data collection efforts through national surveys, including WHS measures and occupational information.
While Safe Work Australia takes this approach at a national level, it’s time for Australian companies to look after their own data governance and meaningfully act on what they uncover.
What Does This Mean For Sustainability?
In most Australian workplaces, the people or roles responsible for keeping the workforce safe usually have ‘HSE’ in their title–the E in HSE being environment. Due to ambitious government and industry targets towards net zero emissions and decarbonisation, environmental, social, and governance (ESG) and sustainability efforts have become a key part of every business. Inherently related to ESG is workplace safety and it needs to be factored into your operations. Sustainability data is becoming more crucial.
The Australian Government has released Australian Sustainability Reporting Standards (ASRS) - Disclosure of Climate-related Financial Information. After first being proposed in October 2023, it passed the House of Representatives in September 2024 and will require more than 6,000 Australian companies to make disclosures of climate-related financial information over the next three years.
What’s required from the ASRS?
There are three components:
- General Requirements for Disclosure of Climate-related Financial Information, a voluntary standard aligned to governance, strategy, risk management, and metrics and targets.
- Climate-related Financial Disclosures, a mandatory standard of more detailed information related to climate-related opportunities, and physical and transition risks.
- A service standard of ASRS that lists relevant versions of non-legislative documents that are referenced in ASRS.
Driving Positive Change
The need for better data will work to improve WHS outcomes. Changes to the workplace and the impacts of climate change are changing the name of the game–are you prepared? With operational changes to decarbonise and promote net zero emissions, workplace practices will change to continue sustainable operations. With any changes to process, risk management procedures need to be undertaken again to ensure the safety of your workforce.
The Journey from Compliance to Risk Management
Risk management procedures are one of the greatest assets companies have for keeping their workforce safe on their sites. There’s even an entire section of the federal Work Health and Safety Act which is specifically related to risk management.
There’s a legal requirement to establish a plan and guidelines for a thorough risk management process to control any foreseeable risks within your workplace. There are six simple steps to managing workplace risk, and it all comes back to the compliance of your workforce.
Step One: Identify Hazards and Risks
A hazard is a situation or thing with the potential to harm a person.
A risk is the possibility of harm (injury, illness, or death) when someone is exposed to a hazard.
In high-risk and highly complex industries, some risk is unavoidable. But to manage your risks, you need to know about them and be able to identify them. You can’t protect people without this knowledge.
Step Two: Assess Risk
Using a Risk Analysis, assess whether the hazards uncovered are avoidable or necessary for your business’s work. When you understand the possible outcomes due to workplace hazards and determine the likelihood of the risk occurring, you’re better placed to protect your workforce.
Step Three: Control Risks
Implementing a risk register through a Broad-Brush Risk Assessment captures hazards associated with all workplace activities. Another approach is implementing a Hierarchy of Control. The most crucial element of controlling risk is consulting with your workers. When they’re engaged in risk management consultation, workers are more likely to adopt safe work practices.
Step Four: Training
Do the people working for you have the qualifications to perform their roles? Do they have the right licenses, insurances, and qualifications? Have they undertaken the right training? Has anything changed since the last time they undertook training? Documenting and sharing your risk management procedures is essential for ensuring a safe work site–and the easiest way to do this is by having appropriately qualified and trained workers.
Step Five: Review Procedures
With a changing landscape, risk management procedures need to be regularly reviewed and updated. Has legislation changed? Are your policies reflective of current best practices? Every time there is a change to one of your sites, your risk management procedures must be updated. Staying on top of these procedures–and making sure the people who work for you know about the changes–is your best line of defence against workplace injuries.
Step Six: Utilise Software
Your people are trained, you have risk management procedures in place, how do you keep on top of it? This is where workforce management software comes into play. By having complete visibility over your workforce, including contractors, you can adequately manage risk, increase productivity and control compliance. You can ensure everyone on your sites are competent, and deny access to those who aren’t.
Visibility Of Your Supply Chain
As laid out in the strategy, the COVID-19 pandemic created unprecedented pressures on global supply chains. An increase in consumer demand placed pressures on companies to deliver, with sometimes a decrease in available resources to deliver. It concocted the perfect storm with delays across global supply chains and unsafe work practices rising to meet demand. The increased scope of supply chains with more participants means there is a greater need for companies to consider WHS risks more systematically.
This is where information and awareness can come into play. It is up to the companies using complex supply chains to ensure there is clarity of the duties and responsibilities related to workplace safety between the individual and the company.
Do you have visibility over your entire supply chain? Do you have a thorough supplier management process to ensure members of your supply chain are at low-risk to your business operations?
As outlined by the Australian Work Health and Safety Strategy, the impact of low frequency, high consequence events on supply chains within high-risk industries is significant. Because of the increased risk, companies need to be proactive in their response. It is up to companies to consult, cooperate, and coordinate effectively with the entirety of their supply chain to ensure the protection and safety of all workers across the chain.
Questions you should be asking:
- Do you have a standardised way of collecting data and insights or is it spread across multiple platforms and using different metrics?
- Do you meaningfully act on the data you uncover?
- How is your data governance?
- How thorough are your risk management procedures?
- Do you regularly update your risk management procedures when changes occur in your workplace?
- When risks or hazards are identified in your workplace, how do you act upon the information?
- Do you have appropriate visibility of your supply chain–and do your suppliers operate in a way consistent with safe work practices?
The next blog in this series will cover the necessity of health and safety leadership, and the role of compliance and enforcement for improving WHS outcomes in Australia–including how legislation changes leave companies at risk for industrial action.
Interested in learning more? You can view this entire series of blogs below, as well as other relevant resources:
- The Future of Australian Health & Safety - Understanding a Shifting Landscape (Part One)
- The Future of Australian Health & Safety - Understanding a Shifting Landscape (Part Two)
- The Future of Australian Health & Safety - Understanding a Shifting Landscape (Part Three)
- Moving Towards the Future: Holistic Supply Chain Risk Mitigation