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WorkSafe New Zealand v CentrePort Ltd [2019] NZDC 12020

Published 19 July 2019

Sentencing — workplace death — failure to take all practical steps to ensure safety of employees — disputed facts — Stumpmaster v WorkSafe New Zealand [2018] NZHC 2020 — Health and Safety at Work Act 2015 ss 151, 152 & 158 — Department of Labour v Hanham & Philp Contractors Ltd (2008) 6 NZELR 79 — Sentence Act 2002. The defendant company pleaded guilty to charges under the Health and Safety at Work Act 2015 for failing to take all practicable steps to ensure the safety of its workers, following the death of an employee. The deceased employee repaired containers and on the day of the incident was on his colleague's ladder modifying a container. The defendant's practice was to place the ladder against the corner casting of the container, while the deceased used a portable welding plant. The deceased's colleague heard the ladder fall and provided first aid. The deceased employee was taken to hospital where he was placed in an induced coma but ultimately passed from his injuries. The Judge, applying the framework step out in Stumpmaster, awarded reparations of $70,000 to the deceased's wife (the defendant had already paid $52,500) and $100,000 to his five children (having already paid $52,526.85). A further $85,952.23 was to be paid to his wife representing consequential loss. The Judge adopted a starting point of $700,000 for the fine, then applied an uplift of 5 per cent for the company's prior conviction for a workplace death. A 10 per cent discount was granted for reparations already paid and those still to be paid, as well as 15 per cent for remorse, co-operation and remedial action taken since the incident. Finally, a 10 per cent reduction was granted for the defendant's guilty plea; a lower percentage given the defendant pursued a disputed facts hearing. Also, in light of the disputed facts hearing and the use of expert witnesses and travel, the prosecution sought costs, which the Judge fixed at $36,425.81. The end sentence was $170,000 in reparations (less what has already been paid by the defendant), $85,952.23 for consequential loss, $506,048 in fines and $36,425.81 in costs. Judgment Date: 19 June 2019.