Health And Safety At Work Amendment Bill Shake Up And Why It Matters

Since taking office in November 2023, Workplace Relations and Safety Minister Brooke van Velden has been keen to make her mark on the employment and health and safety landscape.  Her latest move is the Health and Safety at Work Amendment Bill (Bill) – the biggest update to the Health and Safety at Work Act 2015 (HSWA) since it came into force.

What’s changing?
  • Critical risks front and centre: PCBUs (persons conducting a business or undertaking) will need to put more emphasis on identifying and managing risks that could cause serious harm.  The aim is "to move from an approach of expecting everyone to address every possible risk" and instead sharpen focus on preventing incidents of serious harm – principally those "likely to result in" death, a notifiable injury, illness or incident or an occupational disease as listed under the Accident Compensation Act 2001
  • New category: small PCBUs: A “small PCBU” is defined as a business with fewer than 20 workers.  This change is intended to make compliance requirements more proportionate for smaller businesses
  • Officer due diligence clarified: The Bill clarifies what officers must do to meet their due diligence obligations, including when they hold both governance and operational roles.  Duties at governance level will be treated separately from operational responsibilities
  • Industry led codes of practice: Industry groups will have a greater role in developing Approved Codes of Practice (ACOPs).  The purpose of the ACOPs is to help PCBUs and workers better understand risks in their own industries and how to manage them.  Further, ACOPs will act as 'safe harbours' for compliance such that where a business has followed its industry's ACOP in relation to a risk, it will be accepted that HSWA has been complied with
  • Clearer rules for landowners: The Bill confirms that where land is used for recreational activities, the PCBU running the activity will be responsible for health and safety – not the landowner – unless the activity is part of the landowner’s business, or work is happening at the same time and place.
Our take

The Bill aims to give both large and small PCBUs more clarity, and many will welcome these changes.  However, there may be practical challenges – especially for small PCBUs and those dealing with critical risk management, in respect of which additional guidance is likely to be needed.

One notable omission is reform around psychosocial harm.  WorkSafe NZ restated this as a key focus area in 2024, yet the Bill’s emphasis on critical risks may mean psychosocial harm continues to receive limited attention.  Again, further guidance will be required to ensure this type of hazard is not overlooked.

Why it matters to your business
  • More emphasis on critical risks may mean more robust controls, identification and management are required for businesses in relation to risks that are likely to cause serious harm
  • Smaller businesses may see compliance requirements that better match their size – but they still need proportionate systems to manage risk
  • While the definition of an "officer" remains the same and continues to include those "with significant influence over the management of the business", the due diligence duty applies only to that role.  This means those employed in a position that spans both governance and operations (such as a CEO) will benefit from establishing, where possible, a clear distinction between their role (and duties) as a worker versus their role (and duties) as an officer 
  • Stronger, industry driven codes of practice may mean that internal processes, policies and systems need to be updated
  • Landowners who allow recreational use (eg Councils) should consider reviewing their current contractual arrangements with third parties to see if updating is required.  
What’s next?

The Bill will now move through Parliament, including select committee review and public submissions.  Businesses should keep an eye on developments and consider how these changes might affect their operations.

We can help

If you need any assistance or if you would like to talk us about how these changes may impact your business, then contact our Employment and health and safety team.