Worksafe Annual Report 2020 Final 29 October 2020
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19 Annual 2019-2020 20 Reducing workplace harm. Improving outcomes for injured workers. Letter to the Ministers October 2020 Mr Danny Pearson MP Ms Ingrid Stitt MP Assistant Treasurer Minister for Workplace Safety Parliament House Parliament House Spring Street Spring Street East Melbourne VIC 3002 East Melbourne VIC 3002 Dear Ministers I am pleased to submit the 2019-20 WorkSafe Victoria Annual Report for presentation to Parliament, as required by section 46 of the Financial Management Act 1994. John Merritt Chair Contents 2019-20 Snapshot 1 Report from the Chair and Chief Executive 3 About WorkSafe 7 2019-20 Year in Review 11 1. Responding to extraordinary events 13 2. Delivering on workplace safety reforms 17 3. Reducing workplace harm 23 4. Improving outcomes for injured workers 41 5. Providing community value 47 Looking Ahead 57 2019-20 Financial Report 59 Appendices 126 Appendix 1: Prosecutions 127 Appendix 2: Agent performance results 137 Appendix 3: Self-insurance report 147 Appendix 4: Governance and compliance 153 Appendix 5: WorkSafe’s response to the Victorian Ombudsman’s 2019 investigation 171 Appendix 6: Disclosure index 175 Year in review Snapshot 2019-20 Comprehensive WorkSafe readiness program completed to pave the way for 82,711injured workers supported with new workplace treatment and/or weekly benefits manslaughter laws 4 6.27 1of new claims.3% in 2019-20 claims were for per million mental injury 16.9 hours worked up from 14% in 2018-19 million and 12.6% in 2017-18 litres of stockpiled down 0.8% on 2018-19 waste chemicals removed from Tragically Melbourne warehouses 90.0% lives client service lost result compared37 to 24 in 2018-19 4 4 ,580,visits to WorkSafe’s 69website 40% on 2018-19 -$3,542.6m performance from insurance operations, compared to $68m in 2018-19 WorkSafe maintains its lowest average insurance premium rate 1.272%of payroll since 2014-15 1 WorkSafe Annual Report 4 workplace7,831 visits 3,105COVID-19 related visits visits to bushfire- aected 564 workplaces Five months of intense activity by WorkSafe to support bushfire clean-up 2 Report from 2019-20 the Chair and WorkSafe Chief Executive It was a year few could have imagined or predicted; a year marked by profound disruption, loss and uncertainty. We take great pride in our place within the Victorian community and, even in turbulent times, we remain resolutely focused on what we are here to do – reduce workplace harm and improve outcomes for injured workers. 3 WorkSafe Annual Report 3,105 visits specific to COVID-19 Responding to From March 2020, all workplace The most significant of these was the extraordinary events inspections included an assessment introduction of the new criminal offence of COVID-19 safeguards. As at 30 June of workplace manslaughter, effective 1 Our strategic and consistent approach 2020, WorkSafe had conducted July 2020. The program of work leading to risk meant we were well-prepared to 3,105 visits specific to COVID-19, up to this historic day included the respond quickly to COVID-19, with a including targeted inspections of creation of a new Fatality Investigations focus on protecting workers and high-risk workplaces to ensure Team; a training program for WorkSafe supporting efforts to prevent the spread compliance with occupational health investigators and prosecutors of the virus. and safety legislation. focussing on the enforcement of the We worked closely with other It is difficult to gauge with any certainty new laws; additional support for the government agencies, our stakeholders how the next 12 months will unfold, but families of those killed at work; and the and partners to apply public health what is certain is that WorkSafe will development of workplace directions and guidance in a workplace remain vigilant and proactive. The manslaughter information sessions, setting, fulfilling our obligations as the safety of the Victorian community is updated guidance and fact sheets for State’s workplace health and safety paramount. employers. regulator. And we developed innovative This new offence, and the penalties it new service delivery models to ensure The COVID-19 pandemic emerged on carries – including up to 25 years in jail vulnerable injured workers continued to the back of another crisis in Victoria – – sends a clear message that negligent receive the benefits, entitlements and one of the most ferocious wildfires in conduct causing the death of an support they need to return to health. recent history. Lives were lost, properties and vast areas of bushland employee or member of the public is Guidance specific to COVID-19 was destroyed. never acceptable in a civilised society. developed and adapted to keep pace Also completed in 2019-20 was a large with the changing nature of the WorkSafe provided immediate relief program of work to support the pandemic, supporting workers and and recovery to workplaces and injured broadening of the workplace fatality employers to navigate this workers, followed by five months of definition, effective 1 July 2020, to unprecedented challenge. People intense activity to ensure the safety of include work-related road fatalities. seeking COVID-19 information clean-up operations, which we are still contributed to a surge in visits to helping to manage today. It also includes suicides attributable to a workplace health and safety failure, WorkSafe’s website. In 2019-20, visits Delivering on workplace deaths from industrial disease such as increased 40% to more than 4.5 million, safety reforms with page views exceeding 10 million. silicosis and workplace deaths resulting While the extraordinary events of 2020 from a criminal act. dominated the second half of the financial year, we remained committed to delivering a range of important workplace safety reforms. 4 118prosecutions This will significantly increase the In 2019-20, there were 47,831 We have made good progress in number of deaths reported by workplace visits. More than 12,800 developing tailored programs that provide WorkSafe each year. Importantly, it will improvement notices were issued and clients with realistic pathways to recovery respect and recognise all Victorians 118 prosecutions completed. and a return to work but we also recognise killed at work and ensure their loved Mental injury remains a significant the need to do more. It was therefore ones receive the support they deserve. challenge for our community and pleasing to see the continuing It will shine a light on the full extent of workplaces are no exception. Claims for development of our new service delivery workplace deaths and reinforce to all mental injury grew to 14.3% of new model, notwithstanding some of the Victorians the need to make health and claims in 2019-20, up from 14% in inherent challenges that COVID-19 has safety the number one priority in every 2018-19 and 12.6% in 2017-18. The presented. At its core, our new service workplace. WorkWell program is among initiatives model requires a step change in thinking from everyone involved in an injured Reducing workplace harm addressing growth in this area. More than 6,000 businesses have now worker’s recovery. We need to shift from Despite new and emerging challenges registered to use the online toolkits to treating an injury, to treating the whole across the workplace landscape, support mentally healthy workplaces, person. Victoria maintains its proud reputation while 14 projects were recipients of the To this end, WorkSafe is progressively as one of the safest places to work in third and final round of WorkWell’s implementing all 13 recommendations the world. This doesn’t happen by Mental Health Improvement Fund aimed made by the Victorian Ombudsman in her chance. Everyone has a part to play. at preventing mental injury and illness second report into the management of One group that deserves our special among vulnerable working Victorians. injured workers with complex needs. As attention and thanks are the many the Ombudsman herself noted in her Health and Safety Representatives who Other key prevention activities in Report on Recommendations to the make it their business to keep their 2019-20 included a ban on the Victorian Parliament in June: ‘Real system workmates safe. uncontrolled dry cutting of engineered stone to better protect workers from reform will take time, but WorkSafe’s initial The key overall measure of workplace exposure to deadly silica dust; the actions are encouraging’. incidents, claims per million hours recruitment of more construction Recommendations implemented over the worked, finished the 2019-20 financial inspectors; investment in farm safety past 12 months include the creation of the year at 6.27, down 0.80% on 2018-19. and the development of a Dangerous Workers Compensation Independent However, this was in part due to the Goods Strategic Inspections program Review Service, which will independently drop in million hours worked from April to improve oversight of more than 200 review disputed workers compensation to June as a result of COVID-19 of the highest risk sites storing and decisions; a new centralised complaints restrictions. handling dangerous goods in Victoria. management system and extended Tragically, 2019-20 saw 37 people appointments with specialist medical Improving outcomes for killed at work, compared to 24 the providers for some of our longer-term injured workers previous year. injured workers. While we will always seek to prevent This is simply unacceptable. We must, workplace harm, when workers are Providing value to the community and we will, do better. injured, WorkSafe has a significant role Strong scheme management is critical to As a regulator, WorkSafe recognises to play in their return to health and safe ensuring we are able to protect and the important role that compliance and work. support working Victorians into the future enforcement plays in reducing In addition to supporting new and – no matter how the workplace workplace injuries, illness and deaths.