Comcare v Post Logistics Australasia Pty Limited

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FEDERAL COURT OF AUSTRALIA

Comcare v Post Logistics Australasia Pty Limited [2011] FCA 1422

Citation: Comcare v Post Logistics Australasia Pty Limited [2011] FCA 1422
Parties: COMCARE v POST LOGISTICS AUSTRALASIA PTY LIMITED
File number: NSD 1451 of 2010
Judge: BUCHANAN J
Date of judgment: 13 December 2011
Catchwords: INDUSTRIAL LAW – breach of s 16 of the Occupational Health and Safety Act 1991 (Cth) – liability admitted – question of pecuniary penalty to be imposed – assessment must take into account the particular circumstances of the incident – whether principles should be adopted from criminal law sentencing process – penalty should reflect objective seriousness of breach – assessment must also focus on the practical steps that could be taken to protect the health and safety of employees at the workplace – penalty imposed which differs from assessment offered by the parties
Legislation: Australian Postal Corporation Act 1989 (Cth)
Evidence Act 1995 (Cth) ss 140, 141, 191
Occupational Health and Safety Act 1991 (Cth) ss 16, 18, 19, 20, 21, sch 2 cl 2, 4, 8
Cases cited: Chugg v Pacific Dunlop Ltd (1990) 170 CLR 249
Comcare v Australian Postal Corporation [2011] FCA 530
Comcare v Commonwealth (2007) 163 FCR 207
Comcare v Commonwealth of Australia [2009] FCA 700; (2009) 110 ALD 252; (2009) 257 ALR 462
Comcare v John Holland Rail Pty Ltd [2009] FCA 771; (2009) 188 IR 415
Comcare v Post Logistics Australasia Pty Ltd [2008] FCA 1987; (2008) 107 ALD 578; (2008) 178 IR 200
Coochey v Commonwealth (2005) 149 FCR 312
Kirk v Industrial Court (NSW) (2010) 239 CLR 531
Markarian v R (2005) 228 CLR 357
Date of hearing: 18 November 2011
Place: Sydney
Division: GENERAL DIVISION
Category: Catchwords
Number of paragraphs: 47
Counsel for the Applicant: Ms K T Nomchong
Solicitor for the Applicant: Dibbs Barker
Counsel for the Respondent: Mr A R Moses SC with Mr Y Shariff
Solicitor for the Respondent: Holding Redlich

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

GENERAL DIVISION

NSD 1451 of 2010

BETWEEN:

COMCARE
Applicant

AND:

POST LOGISTICS AUSTRALASIA PTY LIMITED
Respondent

JUDGE:

BUCHANAN J

DATE OF ORDER:

13 DECEMBER 2011

WHERE MADE:

SYDNEY

THE COURT ORDERS THAT:

1.On 31 March 2008, Post Logistics Australasia Pty Limited contravened clause 2(1) of Schedule 2, Part 1 of the Occupational Health and Safety Act 1991 (Cth) by reason of it having breached section 16(1) of the said Act in that:

(a)On 31 March 2008, its employee Ms Roslyn Mary Borg (née Piscopo) was walking alongside a forklift being operated by its contractor Mr Kevin Cox and was approximately a metre away from the forklift as it was being operated;

(b)At that time, Mr Cox was assisting Ms Borg by using the forklift to move a pallet to the ground as it was too high for Ms Borg to reach;

(c)As Mr Cox operated the forklift to put the pallet down on the ground, the forklift ran over Ms Borg’s right foot…

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Details
Case
[2011] FCA 1422
Decision Date

CaseChat Overview and Summary

Post Logistics Australasia Pty Limited was charged by Comcare for a contravention of occupational health and safety laws. The incident in question involved an employee, Ms Roslyn Mary Borg, who was injured by a forklift operated by a contractor, Mr Kevin Cox, on 31 March 2008. The company admitted to the breach of section 16 of the Occupational Health and Safety Act 1991 (Cth), which obligates employers to take reasonably practical steps to protect the health and safety of their employees. The court was tasked with determining the appropriate pecuniary penalty for the breach, considering various factors including the objective seriousness of the incident and the steps that could have been taken to prevent it.

The court was required to consider whether the principles of criminal law sentencing should inform the penalty assessment and to ensure that the penalty reflected the gravity of the breach. It also had to evaluate the practical measures that could have been implemented to safeguard Ms Borg's health and safety at the workplace. The court needed to balance these considerations to determine a penalty that was both proportionate and dissuasive.

The court determined that while the assessment of a penalty should incorporate elements from the criminal law sentencing process, it should primarily focus on the objective seriousness of the breach and the feasible steps that could have been taken to prevent it. The court concluded that the admitted breach was serious due to the nature of the injury and the failure to implement basic safety measures. It imposed a penalty of $80,000, differing from the assessment offered by the parties, and ordered Post Logistics Australasia Pty Limited to pay this amount within 14 days, along with the applicant's costs.

Orders

Orders of the court

1. On 31 March 2008, Post Logistics Australasia Pty Limited contravened clause 2(1) of Schedule 2, Part 1 of the Occupational Health and Safety Act 1991 (Cth) by reason of it having breached section 16(1) of the said Act in that:

(a) On 31 March 2008, its employee Ms Roslyn Mary Borg (née Piscopo) was walking alongside a forklift being operated by its contractor Mr Kevin Cox and was approximately a metre away from the forklift as it was being operated;

(b) At that time, Mr Cox was assisting Ms Borg by using the forklift to move a pallet to the ground as it was too high for Ms Borg to reach;

(c) As Mr Cox operated the forklift to put the pallet down on the ground, the forklift ran over Ms Borg’s right foot causing her small toe on that foot to be fractured.

2. In this regard Post Logistics Australasia Pty Limited breached its duty under section 16(1) of the Occupational Health and Safety Act 1991 (Cth) to take all reasonably practical steps to protect the health and safety at work of its employee Ms Borg in that it:

(a) failed to provide adequate training or instruction to Mr Cox and Ms Borg to ensure that they did not engage in the conduct set out above.

(b) failed to ensure that there was an adequate traffic management system in place to prevent or reduce the risk of Ms Borg coming into contact with a moving forklift.

3. The Commonwealth entity to which the conduct related is Post Logistics Australasia Pty Limited.

4. The respondent is to pay to the Commonwealth of Australia within 14 days a pecuniary penalty of $80,000 for the aforesaid breach.

5. The respondent is to pay the applicant’s costs, such costs to be taxed if not agreed.

Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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