Shoosmiths LLP
  January 22, 2008 - England

Count Down to the Corporate Manslaughter and Corporate Homicide Act 2007

Companies found guilty of manslaughter under new law could have their finances and reputations ruined.  The Corporate Manslaughter and Corporate Homicide Act 2007 comes into force on 6 April 2008.

After much controversy and delay the legislation is almost with us.  In a nutshell:

  • The Corporate Manslaughter and Corporate Homicide Act 2007 (the “Act”) comes into force in the UK on 6 April 2008.
  • The Act creates a new criminal offence of corporate manslaughter (corporate homicide in Scotland).
  • Only organisations, across both the public and private sectors, but NOT individuals can be prosecuted under the Act.
  • Individuals can already be prosecuted for gross negligent manslaughter and health and safety offences; this will not change.
  • An offence will occur where the way in which an organisation’s activities were managed or organised resulted in a person’s death.
  • A significant part of the organisation’s failure must have been at a senior level.  This will include managers in both centralised and operational roles.
  • Juries will look at how an organisation’s systems and processes for managing health and safety were operated in practice.
  • An organisation will be liable, on conviction of the offence, to an unlimited fine.  
  • Courts will also be able to force an organisation to publicise details of its conviction and may require remedial steps to be taken to address the failures responsible for the death.

So, what can organisations do to protect themselves in preparation for April?

  • The Act does not impose any new health and safety standards but it is an opportunity for organisations to check that they are taking the proper steps to meet their existing legal obligations.
  • Organisations should carry out a health and safety audit to ensure they are complying with their legal obligations.
  • In particular, health and safety law means that an organisation must:
    • Have a written health and safety policy (if it employs five or more people).
    • Assess risks to employees, customers and others who may be affected by its activities and record this.
    • Have effective monitoring systems in place to ensure protective and preventative measures are working in practice.
    • Ensure they take competent health and safety advice.
    • Consult with their employees about health and safety risks and measures.
  • Re-assess the competence of “senior management” and ensure that they understand their health and safety liabilities and responsibilities. They should undergo regular health and safety training. 
  • Consider setting up a board or senior management committee to oversee health and safety.
  • Culturally, health and safety should now be given equal importance with quality and production.  Review employment contracts and handbooks to ensure this is reflected and that all employees understand the importance of health and safety considerations in the workplace.  
  • Consider an internal communications programme to highlight the legal requirements.

It is not too late to protect your organisation from prosecution should the worst happen.




Read full article at: http://www.shoosmiths.co.uk/legalupdate/index.asp?obj=128&par=327&navTable=2