Why Proper Training, Inspection, and Risk Management Systems are Essential for Businesses

A recent NSW District Court ruling involving Bhullar Steel Australia Pty Ltd highlights critical lessons for all businesses about workplace health and safety obligations. Bhullar Steel was fined $270,000 following a severe incident involving improper equipment use, insufficient worker training, and inadequate safety management systems, underscoring how vital it is for PCBUs (Persons Conducting a Business or Undertaking) to fulfil their responsibilities under the Work Health and Safety Act 2011. 

Understanding the Incident 

On August 4, 2021, at Bhullar Steel’s facility in Auburn, NSW, a machine operator suffered serious crush injuries when a damaged magnetic lifter, used improperly, detached and fell onto him. The lifter had visible damage, including a bent lever arm, missing activation button, and illegible labelling, yet it remained in use without adequate inspections or risk assessments. 

Crucially, the injured worker had insufficient training and no qualifications related to crane operations or lifting equipment. Despite clear guidelines in the SafeWork NSW Code of Practice and Australian Standards requiring thorough inspections, worker training, and defined exclusion zones, Bhullar Steel had inadequate measures in place. 

Judge Scotting emphasised that Bhullar Steel’s breaches were serious due to the obvious and known risks of falling loads and insufficient safety measures. He highlighted the importance of formal supervision, documented processes, and worker competency assessments, none of which were adequately addressed by Bhullar Steel. 

Implications for Business Owners and Managers 

The Bhullar Steel ruling provides essential takeaways for NSW business leaders: 

  1. Comprehensive Equipment Inspections: Equipment must undergo routine, documented inspections by competent individuals. Damaged or unsafe equipment should be immediately taken out of service. 

  2. Clear and Documented Safety Processes: Detailed guidance for selecting, operating, and maintaining equipment must be clearly documented and communicated to all employees. 

  3. Adequate Worker Training: Workers must receive thorough, ongoing training tailored to their tasks, including proper use of machinery and equipment. Regular competency assessments are essential to ensure that workers understand and can safely perform their tasks. 

  4. Robust Risk Management Practices: Exclusion zones must be clearly established and enforced in high-risk areas. Workers must understand these zones and comply strictly to prevent injury from falling loads. 

 Steps Your Business Should Take 

The Bhullar Steel case highlights that negligence in safety management is not just dangerous but carries significant legal and financial consequences. For business owners and managers, proactive safety management is a crucial obligation: 

  • Implement detailed, regularly reviewed Safe Work Method Statements (SWMS). 

  • Engage qualified third-party inspectors for equipment audits. 

  • Maintain records of all training and competency assessments. 

  • Establish clear lines of supervision and accountability within your team. 

A Proactive Approach to Safety Management 

Robust safety practices don't just ensure compliance, they protect lives and businesses. Effective safety management demands proactive, continuous improvement and clear leadership commitment. 

Investing in expert support and guidance to enhance your safety systems is a wise decision that delivers lasting protection. Ensure your business stays compliant, safe, and resilient. 

Now is the Time to Act 

Complacency in workplace safety can be costly, both financially and reputationally. Bhullar Steel’s conviction sends a powerful message about the importance of proactive safety management. 

Act now to strengthen your business’s safety standards with support from experts like Anzen Safety and Training. Together, we can ensure the wellbeing of your employees and the long-term success of your enterprise. 

Glen Dunkley - Director, Anzen Safety & Training 

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