In Ausdrill v Hanekom an employer was initially fined $240,000 in the WA Magistrates’ Court after a workplace death of one of its employees. On appeal to the Supreme Court the sentence was reduced to $130,000 as the Magistrate failed to take into account the steps taken by the employer after the employee was killed.
An employee was driving a truck in a mine area and crashed his truck into a protruding 10 metre drill coming out of a parked vehicle and subsequently died from head injuries. The employer had instructed employees to place flags on protruding truckloads, and on that day no flag was put up.
The Magistrate believed there should have been better protection in place to have prevented the accident as it was clearly avoidable. Vehicles should be parked in such a way that collision is impossible, there should be barriers set up and designated areas to park overhanging vehicles.
On appeal, the employer argued the fine was excessive and the offence was at the lower end of the scale as the overhanging load on vehicles was uncommon. The Supreme Court found that the Magistrate failed to take into account the employer’s safety record, good corporate citizenship and steps taken to prevent the incident from occurring again.
In the above case, the fine was effectively halved once the recognition of mitigatory factors were taken into account and that the safety breach was at the lower end of the scale. It is important to note the maximum penalty that could have been imposed was $400,000. In Victoria and NSW the maximum penalties are considerably higher, and any discount for a fine may still result in a hefty penalty depending on the circumstances.
Workplace death is always unfortunate. However, the employer can take steps to make sure the incident never happens again, provide support to the deceased’s family and to employees. The employer’s safety record will also have an impact on the fine imposed, as well as co-operation and an early guilty plea.
There are many steps that must be taken following a serious injury or fatal accident. These steps are both good business decisions will substantially reduce any fine.