Welcome Guest! The IOSH forums are a free resource to both members and non-members. Login or register to use them

Postings made by forum users are personal opinions. IOSH is not responsible for the content or accuracy of any of the information contained in forum postings. Please carefully consider any advice you receive.

Notification

Icon
Error

Options
Go to last post Go to first unread
stel669  
#1 Posted : 25 March 2010 12:09:07(UTC)
Rank: Forum user
stel669

If a company employs their own electrician and heating engineer for example, would they increase their liability in the event of an accident/incident?

Obviously you would want to ensure that competence is validated accordingly, systems are in place for such work (suitable sufficient RA, PTW, etc). I'm thinking purely in terms of the alternative being to contract the work out.
Ron Hunter  
#2 Posted : 25 March 2010 12:23:41(UTC)
Rank: Super forum user
Ron Hunter

"liability" is a bit of a wide term. You have an equal duty of care to your own employees and others arising from HASAWA and common law. You and other parties may have laibilities arising from contracts and contract law. In the context of your concern about an accident to your own employee then it is likely to cost you more to buy-in short term absence cover as opposed to full-term external provision.
All a bit swings and roundabouts though, and there will surely be a wider business case discussion to inform any decision by your Organisation.
RayRapp  
#3 Posted : 25 March 2010 12:41:20(UTC)
Rank: Super forum user
RayRapp

I agree with Ron, in h&s law an employer has a duty to protect both employees and non-employees. For some isues there may be less onus, supplying PPE for example, however this is offset by virtue of employees are more likely to be more careful than contractors.
Canopener  
#4 Posted : 25 March 2010 13:24:02(UTC)
Rank: Super forum user
Canopener

It would be helpful to know a bit more about about in what respect you might think the, and as Ron has alluded to, what liability might be increased.

Arguably, it is likely (hopeful) that you would have greater control over the activities of an in house maintenace engineer, so it might be that some potential liabilities may be less or at least less likely perhaps?
jay  
#5 Posted : 25 March 2010 13:45:37(UTC)
Rank: Super forum user
jay

It primarily depends upon the degree of control you currently exercise over your current contractors to carry out the maintainence.

You currently have liablility in selecting competent contractors and having a monitoring system to ensure that they perform as per the contrcatual terms.

However, it is most likely that it will be the contractors employer that will have to train the contractors and in most cases provide them with Safe Systems of Work, risk assessments, tools, PPE, etc. For example, it is very common now that a lot of manitainenece is outsoursed to very competent & reputable Facilities Management companies. If that is the case, what is done is that an element of the risk and therefore liability is "transferred" to the Facilities Management Company. That is not to say that the client has no liability at all.
CFT  
#6 Posted : 25 March 2010 14:24:29(UTC)
Rank: Forum user
CFT

IMO, (for what it is worth) a simple answer is yes, although I'd probably prefer to call it responsibility.

You are going to be responsible for a lot more with I-H staff as opposed to contracted in, not arguing with anyone, it just is on balance.

Your particular question focussed on accident/incident liability. Assuming where the people work is double dotted and double crossed, it leaves just two permutations. The operatives and the employer.

CFT
Canopener  
#7 Posted : 25 March 2010 19:24:01(UTC)
Rank: Super forum user
Canopener

You make a good point, I do often wonder if people really mean liability, or responsibility, for instance in a post above "You currently have liablility in selecting competent contractors" - what does that actually mean? There seems to be a body of opinion that seems to be able to pinpoint liability so easily, whereas it often isn't so simple to do so, and is often ultimately the subject of extensive debate in courts.
Adrian Watson  
#8 Posted : 25 March 2010 19:52:54(UTC)
Rank: Forum user
Adrian Watson

stel669 wrote:
If a company employs their own electrician and heating engineer for example, would they increase their liability in the event of an accident/incident?



Absolutely not; They have responsibility for the work carried out for the undertaking regardless or not whether it is carried out directly by employees or indirectly through contractors.

Regards Adrian
Clairel  
#9 Posted : 26 March 2010 09:58:29(UTC)
Rank: Super forum user
Clairel

Bit of a worrying thought process as far as I'm concerned.

I struggle to comprehend anyone considering contracting out maintenance work just so that they can reduce 'liability'.
David Bannister  
#10 Posted : 26 March 2010 11:02:32(UTC)
Rank: Super forum user
David Bannister

Is this question regarding maintenance of own plant or is it regarding installation of products at customers premises?

In the second scenario then there is greater opportunity for error leading to harm and potential liability than the retailer who merely sells boxes for others to install and fit.

In the first secenario, others have adressed the issues.
wizzpete  
#11 Posted : 26 March 2010 12:37:32(UTC)
Rank: Forum user
wizzpete

I agree with clairel here; Who carries out the work is irrelevant to the Employers' responsibilites under H&S law and so their liability is the same in that context - you cannot 'blame' a contractor that did the work and expect that this in any way reduces your responsibilities when compared to a direct Employee.

This is also somewhat a grey area, as often some 'contractors' are actually deemed to be Employees in law, depending on the level of control exercised by the Employer.
Canopener  
#12 Posted : 26 March 2010 13:32:24(UTC)
Rank: Super forum user
Canopener

I take Claires point as well, I do often find the preoccupation with the liability issue, 'strange' although I accept that many companies consider this to be the 'botom line'. I do think that we would be better concentrating on the effective control of risk, the control of contractors etc etc, then the liability issue will become less relevant.
jay  
#13 Posted : 26 March 2010 13:59:43(UTC)
Rank: Super forum user
jay

I feel that there is misunderstanding here in the use of the term "Liability" and in my view has been used instead of "risk". I very much doubt that all contractors activities at a site are the PRIMARY LIABILITY of the client in context of employers duties in law.

It is very much dependent upon the nature of the relationship between the contractor and the client and the degree of control the client has on the day to day arrangements of the contractor.

As mentioned previously, a significant amount of maintainence nowadays is carried out on large premises/sites ( and also increasingly on smaller sites) , sometimes for a single client/single employer on site by a "Total Facilities Management Contractor". In such circumstances, the primary employer-employee relationship is between the Total Facilities Managemnent Contractor Organisation and its direct employees and/or its sub-contractors. Obviously, the client has HASAWA Section 3 & 4 duties.

One has the balance the "risk" ( and the associated liability) of having an outsourced service compared to an in-house one. The answer to this is that it is dependent upon case-by case basis--there isnt a universal answer to that.

To summarise, many organisations have indeed transferred a proportion of their direct risks (and it associated liabilities) to Facilities Management Contractors.

The key criteria that will determine whether under health and safety legislation, the client also has employer duties in law is the degree of control exercised over the contractor(s) in their day to day arrangements!
Users browsing this topic
Guest
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.