Key Differences Between the Health and Safety at Work Act 2015 and the Health and Safety in Employment Act 1992
In New Zealand, workplace safety legislation has undergone significant change in the last few decades. The introduction of the Health and Safety at Work Act 2015 (HSWA) marked a crucial turning point in modernising and strengthening the country’s approach to health and safety management. Its predecessor, the Health and Safety in Employment Act 1992 (HSEA), laid the groundwork for occupational safety but lacked the clarity and enforcement mechanisms needed for modern workplaces.
Understanding the key differences between these two Acts is essential for businesses looking to meet their health and safety obligations and ensure compliance. Below, we outline the major differences before diving deeper into each one:
Clearer definition of duties and responsibilities: HSWA provides a broader and more specific allocation of duties across all parties involved in the workplace.
The concept of a PCBU (Person Conducting a Business or Undertaking): HSWA introduces the term PCBU, extending accountability beyond employers.
Greater focus on worker participation and engagement: HSWA emphasises involving workers in health and safety decision-making.
Broader duty of care: HSWA requires organisations to ensure the health and safety of anyone who could be affected by work activities.
Increased enforcement and penalties: HSWA introduces tougher penalties and enforcement tools for non-compliance.
Risk-based approach: HSWA focuses on proactive risk management rather than reactive compliance.
Harmonisation with international standards: HSWA aligns New Zealand’s laws with global health and safety practices.
Now let’s examine these differences in more detail to provide a comprehensive understanding of their impact on businesses and workers alike.
Clearer Definition of Duties and Responsibilities
Under the Health and Safety in Employment Act 1992, the duties around workplace safety primarily fell on the “employer”. This was often interpreted narrowly and created ambiguity about who was ultimately responsible for ensuring safety in multi-layered work environments. Contractors, subcontractors, and other parties often fell outside the scope of the law.
The Health and Safety at Work Act 2015 eliminates this ambiguity by clearly outlining duties across all parties involved. It introduces the concept of overlapping duties where multiple parties share responsibility for health and safety, ensuring no gaps in accountability.
For example:
Employers are no longer the sole focus; everyone who has the capacity to influence health and safety outcomes is accountable.
Upstream suppliers, designers, and manufacturers are now obligated to ensure products and systems are safe when used for their intended purpose.
This clearer allocation of duties promotes a shared responsibility model, requiring all businesses to work together to keep workers and others safe.
The Concept of a PCBU
One of the most significant changes introduced by HSWA is the concept of a Person Conducting a Business or Undertaking (PCBU). This replaces the narrow definition of “employer” under the 1992 Act. A PCBU is a broad term that encompasses any individual or entity running a business or undertaking, regardless of whether they employ workers.
Key points about PCBUs include:
A PCBU can be a company, organisation, sole trader, partnership, or government agency.
It recognises modern working arrangements such as contracting, gig work, and partnerships.
Multiple PCBUs can share responsibility for overlapping duties in a shared workplace, such as a construction site where various contractors operate simultaneously.
The shift to the PCBU framework ensures that anyone with a role in workplace safety cannot simply delegate or avoid their responsibilities.
Greater Focus on Worker Participation and Engagement
The 1992 Act placed minimal emphasis on worker engagement, treating it as a passive process rather than a proactive element of workplace safety.
In contrast, HSWA strongly advocates for worker participation and engagement. It recognises that workers, being on the front line, are often the first to identify hazards and risks. Employers (or PCBUs) are now required to actively engage workers in health and safety matters and empower them to raise concerns or suggest improvements.
Under HSWA:
Businesses must establish worker participation practices appropriate to the size and nature of their work.
Health and Safety Representatives (HSRs) and committees play a formal role in representing worker interests.
Engagement is not optional; businesses must consult workers on matters affecting their health and safety.
This participative approach helps build a safety-focused culture where workers feel valued and heard, ultimately improving outcomes.
Broader Duty of Care
The Health and Safety in Employment Act 1992 focused on employees and the direct work environment, often ignoring the wider group of individuals affected by workplace activities, such as contractors, visitors, and customers.
HSWA expands the duty of care to include anyone who could be impacted by work activities, ensuring a broader scope of protection. This includes:
Workers (whether employed directly, contracted, or temporary).
Visitors, clients, and customers present at a workplace.
Anyone affected by the work, even those outside the physical worksite, such as neighbours impacted by construction activities.
The broader duty of care requires businesses to proactively identify and manage risks that could affect anyone, not just employees.
Increased Enforcement and Penalties
One of the main criticisms of the 1992 Act was its limited enforcement mechanisms and relatively low penalties for breaches. WorkSafe had fewer tools to hold businesses accountable, which led to inconsistent compliance.
The HSWA strengthens enforcement and significantly increases penalties to drive compliance. Key features include:
Higher fines: Companies can face fines of up to NZD $3 million, while individuals can face penalties up to NZD $600,000 and/or five years’ imprisonment for breaches.
Improvement notices and prohibition notices: WorkSafe inspectors have greater powers to issue notices compelling businesses to address non-compliance immediately.
Due diligence requirements: Officers (senior leaders, directors, and managers) have a legal obligation to exercise due diligence to ensure their business complies with HSWA.
These stricter enforcement mechanisms underscore the importance of taking health and safety seriously.
Risk-Based Approach
The 1992 Act leaned toward compliance with prescriptive rules, meaning businesses often took a tick-box approach to health and safety. This reactive model failed to address dynamic risks in modern workplaces.
The HSWA adopts a risk-based approach, requiring businesses to proactively identify, assess, and manage risks to health and safety. Rather than waiting for incidents to occur, businesses must:
Continuously monitor work processes to identify hazards.
Implement controls to eliminate risks or minimise them as much as reasonably practicable (ALARP).
Regularly review and improve their health and safety practices.
This approach encourages businesses to create dynamic systems that adapt to the unique challenges of their work environments.
Harmonisation with International Standards
The HSWA aligns New Zealand’s health and safety framework with international best practices, particularly those in Australia and the United Kingdom. By modernising its approach, New Zealand ensures that businesses operating internationally can meet consistent standards and compete on a global scale.
This harmonisation benefits businesses by:
Reducing compliance burdens for companies operating across jurisdictions.
Providing clarity for multinational enterprises.
Setting a consistent benchmark for workplace safety performance.
For local businesses, aligning with international standards also strengthens their reputation as responsible, safety-conscious operators.
Conclusion: Take Action to Meet Modern Health and Safety Requirements
The transition from the Health and Safety in Employment Act 1992 to the Health and Safety at Work Act 2015 represents a significant shift in how workplace safety is managed and enforced. The HSWA’s broader scope, stronger enforcement, and risk-based approach reflect a modern, proactive strategy for reducing workplace harm.
For businesses, this means there is no room for complacency. Ensuring compliance with HSWA is not just about avoiding fines or legal consequences—it’s about protecting your people, your reputation, and your bottom line.
If you’re unsure about your business’s current compliance status or need help implementing a robust health and safety management system, Advanced Safety is here to help. Our expertise can guide you through the complexities of HSWA, ensuring your business meets its obligations and keeps its people safe.
Contact us today to schedule a Compliance Compass assessment and take the first step toward a safer, more proactive workplace.
