Mason Sier Turnbull franchise talks OHS
The new Act, which brings Victoria into line with New South Wales, came into force on 1 July 2006. Franchisors are caught by the operation of section 26 of the Act which required that a person who manages or controls a workplace - to any extent - must ensure 'so far as is reasonably practicable' that it is safe and poses no risk to health. This liability extends not only to the welfare of people employed on-site but also to customers, service contractors and others who enter the workplace.
Prior to the change being introduced, liability for workplace safety rested primarily with franchisees who occupied the premises in which their employees worked.
Now, franchisors in Victoria who fail to provide a safe environment in a workplace that they manage or control face a fine of $920,250. Furthermore, directors and other employees who have the capacity to make decisions affecting the franchisor's financial status can be fined $184,050.
Although it is unlikely that a franchisor will be the first or only party that Worksafe prosecutes over a death or injury in premises occupied by a franchisee, the risk is real and needs to be addressed. Not only do franchisors need to identify and, where possible, limit their liabilities under the Act but they need to look at their corporate structures to ensure that the intellectual property and assets are properly protected. Advice regarding this issue may be sought from a Mason Sier Turnbull . 04.09.2007
FCA Member
Contact Mason Sier Turnbull
315 Ferntree Gully Road
Mount Waverley
VIC 3149
Tel: +613 8540 0287
Fax: +613 8540 0202
