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British companies ignorant of increasing liability

A British Safety Council product story
Edited by the Engineeringtalk editorial team Jan 16, 2008

Thousands of British companies face serious criminal charges if they don't prepare for the Corporate Manslaughter Act, which comes into force in April.

Thousands of British companies remain ignorant of the Corporate Manslaughter Act, which comes into force on 6th April 2008.

This leaves them vulnerable to very serious criminal charges and puts employees' lives at risk, according to new research from the British Safety Council.

London and the South East have the lowest awareness of all the regions.

A third of the capital's companies claim to be unaware of the Act and less than half (44%) are prepared for it.

In the South East, 53% claim not to fully understand the implications of the Act on their business and just 20% of companies are fully prepared for it, compared with 59% in the South West and West Midlands.

It also seems that the smaller the company the greater the confusion and lack of awareness.

Just one third of companies with five or less employees understand the implications of the Act on their business, compared with over half of all companies with 50 employees.

Under the new Act, it is the organisation which will be prosecuted for a gross failure in the management of health and safety that causes death.

The legislation rectifies a key defect in the present law - where organisations can only be convicted of manslaughter if a single individual at the very top of the company is personally guilty - and ensures proper accountability for serious management failings.

Unlimited fines coupled with a publicity order, requiring an organisation to publicise the fact of its conviction and certain details of the offence in a way specified by the courts, should set alarm bells ringing, making companies sit up and take note.

"The new legislation is a wake up call to the many thousands of employers who freely admit to not understanding or even knowing about the new Act", says Brian Nimick, CEO, of the British Safety Council.

"Our report reveals that around a fifth of businesses of all sizes and sectors - from sole traders and SMEs (small and medium sized enterprises) to companies with 500+ employees - have not heard of the Act, even though it becomes law in just three months time".

"Staggeringly this includes 40% of civil service and public sector".

"We challenge UK companies to get their 'Act' together by 6th April and we are here to help them with the advice and expertise they need, regardless of their size or industry sector".

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