Health and Safety at Work Act 2015 – A Quick Guide for N.Z Businesses and Employers
The Health and Safety at Work Act 2015 (HSWA) imposes a range of significant and proactive legal obligations on New Zealand employers and businesses. Health and safety it a core governance and operational responsibility, with serious legal, financial and reputational consequences for non-compliance.
Health and safety compliance should be treated very seriously by employers and businesses across all industries. This article outlines the key concepts under the HSWA, including ‘PCBU’, ‘Officer’ and ‘Worker’ duties, explains what “reasonably practicable” risk management requires at a high-level, and highlights common compliance failures using recent WorkSafe enforcement case law examples.
Purpose of the HSWA
The HSWA’s primary purpose is to protect the health and safety of workers, other people and workplaces by:
Eliminating or minimising risks arising from work, so far as is reasonably practicable.
Clarifying duties across all levels of a business.
Strengthening enforcement and accountability.
Encouraging effective workplace representation, consultation and co-operation of health and safety issues.
The Act is deliberately preventative, focusing on risk identification, elimination and control before harm occurs.
Who Has Duties Under the HSWA?
PCBU (Person Conducting a Business or Undertaking)
A ‘PCBU’ is the primary duty holder under the HSWA. This includes:
Companies.
Partnerships.
Sole traders.
Charities and trusts.
Government agencies.
Most employers will be PCBUs, but a PCBU can also exist without employing staff. Essentially, any business, or workplace operations will be considered a PCBU for the purposes of the HSWA, unless a limited statutory exemption applies, e.g. a volunteer association.
Primary Duty of Care
PCBUs must ensure, so far as is reasonably practicable, the health and safety of:
Workers engaged or influenced by the PCBU.
Other persons who may be affected by the work.
This includes ensuring:
Safe work systems.
Safe plant, structures and equipment.
Safe use, handling and storage of substances.
Adequate facilities.
Appropriate training, instruction and supervision.
Importantly, this duty is non-delegable – it cannot be contracted out.
Officers
An ‘Officer’ includes directors, partners, and senior managers who exercise significant influence over the business.
Officers must exercise due diligence to ensure the PCBU complies with its HSWA obligations. This requires Officers to:
Acquire and maintain health and safety knowledge.
Understand operational risks.
Ensure appropriate resources and processes are in place.
Verify that risk controls are implemented and effective.
Officers can be personally prosecuted for failing to health and safety related obligations.
Workers
Workers also have duties under the HSWA. They must:
Take reasonable care of their own health and safety.
Ensure their actions do not adversely affect others.
Follow reasonable instructions, policies and procedures.
However, worker duties do not reduce or replace PCBU obligations.
Risk Management Obligations
So Far As Is Reasonably Practicable
Risk management under the HSWA requires PCBUs to:
Identify hazards.
Assess risks.
Eliminate risks where possible.
If elimination is not possible, minimise risks using appropriate controls.
Hierarchy of Controls
PCBUs must apply the hierarchy of controls:
Elimination.
Minimisation.
Isolation.
Engineering controls.
Administrative controls.
Personal protective equipment.
Consultation, Cooperation and Coordination
Where multiple PCBUs operate in the same workplace:
They must consult, cooperate and coordinate activities.
Each retains responsibility for their own duties.
Failure to coordinate is a frequent cause of enforcement action, particularly in construction, manufacturing and contracting environments.
Common Employer Compliance Failures
Employers frequently expose themselves to HSWA liability by:
Treating health and safety as a “paper exercise”.
Relying on outdated risk assessments.
Failing to review controls after incidents or near misses.
Assuming contractors manage their own safety.
Leaving health and safety solely to junior staff.
Officers failing to actively monitor compliance.
These failures often come to light after a serious incident, when it is too late to mitigate liability.
Case Law Snapshot – What Recent Decisions Tell Businesses?
WorkSafe New Zealand v NZ Solid Limited
In August 2023, a worker was fatally injured when a crane struck live power lines during timber delivery operations on a residential site.
WorkSafe New Zealand charged NZ Solid Limited under multiple provisions of the HSWA for failing to ensure the health and safety of workers and others so far as was reasonably practicable.
The charges included breaches of:
Section 36(1)(a): The PCBU’s primary duty of care.
Section 48(1): The duty that exposes individuals to a risk of serious injury or death, and
Section 29(2)(c): Indemnifying another for liability to pay a fine.
WorkSafe’s investigation found serious failures, including:
Had an inadequate lift plan.
Relied on verbal instructions.
Failed to properly assess the risks.
The District Court convicted NZ Solid Limited and imposed a fine of $330,000, alongside an order for reparations of an unspecified amount. This substantial penalty reflects the seriousness of failing to identify and control the known hazards of working around live electrical infrastructure and heavy crane operations.
Key Takeaway: PCBUs must identify and control significant risks, especially in high-hazard activities such as working near live power lines. Implementing safe systems of work and supervision is critical to prevent fatalities. Fines and penalties under the HSWA can be substantial where failures contribute to death or serious injury.
R v Sullivan [2023] NZDC 15433; R v Sullivan [2023] NZDC 15041; Sullivan v R [2023] NZHC 2251; Sullivan v R [2023] NZHC 2453
This case involved two brothers misleading WorkSafe in relation to a major harm incident that caused a brain-injury to a young employee who had worked for an engineering firm, Aimex for only about six months prior the incident.
The employee had been using highly toxic brake cleaner to clean the engine bay of a large catamaran and was unfamiliar with how to use it safely. He was found unresponsive in the workplace due to toxic fumes and required urgent medical attention. The company had failed to develop a safe system of work relating to the use of this hazardous substance.
Of importance, a similar incident had previously occurred in the workplace where the company had deliberately concealed evidence and attempted to cover it up. No safety protocols or worker training was implemented because of this incident. A protected disclosure was later made, triggering a police investigation, which discovered the company’s attempted cover up.
Aimex was sentenced in July 2021 for the subsequent workplace accident and was fined $250,000 and ordered to pay $65,000 in reparation and $1434 in costs after admitting a charge under the HSWA.
The two brothers involved in the cover-up, William and Steven Sullivan were sentenced to terms of imprisonment in relation to their conduct concerning WorkSafe investigation. However, William Sullivan was later successful in appealing his imprisonment, and had his sentence substituted for home-detention.
Employer Takeaway: This case is a stark warning that health and safety failures compounded by dishonesty, or concealment significantly escalate legal risk. Employers must implement safe systems of work, training and controls for hazardous substances management and cooperate fully and honestly with WorkSafe investigations. Attempting to conceal incidents, mislead WorkSafe, or suppress evidence can expose companies and individuals, including directors and senior managers to criminal liability, personal prosecution and imprisonment, well beyond regulatory fines.
Practical Guidance
To manage HSWA risk effectively, employers should:
Embed health and safety into governance – Officers must actively engage.
Regularly review and update risk assessments.
Ensure controls are practical, implemented and monitored.
Train managers on legal duties, not just procedures.
Investigate near misses and incidents promptly.
Maintain clear contractor management processes.
Document decisions and verification activities.
Consequences of Non-Compliance
Failure to comply with the HSWA can result in:
WorkSafe investigations and prosecutions.
Significant fines and reparation orders.
Enforceable undertakings.
Personal liability for Officers.
Reputational damage and operational disruption.
Penalties are designed to reflect the seriousness of exposing workers to harm, not just the outcome of an incident.
Compliance Warning
Health and safety obligations under the Health and Safety at Work Act 2015 are proactive, continuous and strictly enforced. Employers who treat health and safety as a compliance formality, delegate responsibility without oversight, or fail to actively identify and control workplace risks expose themselves – and their Officers – to WorkSafe investigations, prosecutions and significant penalties, including potential terms of imprisonment.
Common compliance failures include outdated or ineffective risk assessments, inadequate supervision of high-risk work, over-reliance on training or PPE, poor contractor management, and lack of Officer-level due diligence. Where risks are known and reasonably practicable controls are available, failure to implement them is likely to result in prosecution by WorkSafe.
Bottom line: PCBUs must actively manage health and safety risks, and Officers must verify that systems are working in practice. Documented, monitored and regularly reviewed safety processes are essential to meet HSWA obligations and reduce legal exposure.
This article is provided for general information only and does not replace professional advice. Employer Pro does not provide health and safety consultancy services but can advise employers broadly on key legal obligations associated with duties under the Health and Safety at Work Act 2015. For further support with managing practical matters involving health and safety management, employers should contact a reputable and expert health and safety specialist who has proven industry expertise. Employer Pro has a range of employer focused resources and services available through our competitive Employer Protection Packages.
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