Businesses urged to review health and safety procedures

Food and drink businesses must demonstrate their commitment and involvement to improve health and safety in light of new Health & Safety Sentencing Guidelines, warns Arthur J Gallagher.

The UK insurance brokerage and risk management company has issued the warning following two recent incidents which illustrate the substantial fines increasingly being imposed on businesses by the courts in response to health and safety cases.

In one case, west Midlands based distillery Alcohols has been ordered to pay £295,000 for safety failings, after an employee was trapped in flames and sustained 20% burns to his head, neck and hands during a fire which destroyed the warehouse.

In another case, malting company Pauls Malt was fined £100,000 for safety failings, after an agency worker fell from a ladder at the firm’s West Knapton factory. Falling two metres, the worker suffered two fractures to his right foot and bruising to his chest and head injuries when he fell.

Introduced on 1 February 2016, the Health & Safety Sentencing Guidelines provided for stricter punishments, not just against companies but also company officers and directors should a serious health and safety incident occur.

As such, specialists within Gallagher’s dedicated food and drink team are advising company directors and officers to take the necessary steps to demonstrate they take the issue seriously. Typically this may include:

• An up to date health and safety risk assessment
• A comprehensive health and safety policy and procedure
• Company wide health and safety training
• Proof that any health and safety concerns have been documented and addressed at board level
• Ensuring the appropriate level of insurance provision in place.

Alan Pratten, managing director of Gallagher’s major risks division, says, “The guidelines represent a real game changer in health and safety enforcement, dramatically increasing the potential fines that businesses and individuals may face in the event of a prosecution for offences under health and safety or corporate manslaughter legislation.

“The size of fines now being imposed is large enough to cripple many small to medium sized food and drink businesses. What’s more, the new guidelines mean increased risk for company officers if serious incidents occur.

“Having the correct plans will not only benefit individuals and businesses as a whole, but also the welfare and health of employees and customers involved in a serious incident.”