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Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007.

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Presentation on theme: "Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007."— Presentation transcript:

1 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 Michael Large Vice Chairman of the Board Institute of Directors (IoD) www.iod.com/hsguide LEGAL CHANGE OR VOLUNTARY GUIDANCE?

2 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 IoD:  Professional association: about 53 000 individual members  Over 75% are in small or medium-sized enterprises, including health & safety and voluntary sectors … and many others  Services to its members... public policy

3 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 IoD WORK ON HEALTH AND SAFETY  Advice and information to IoD members  Policy and other seminars  Director training  Dialogue with regulators [e.g. Health and Safety Commission (HSC) and Health and Safety Executive (HSE)]  Responses to public policy consultations  Contacts with other organisations

4 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 BOARDS AND HEALTH AND SAFETY:  Standards of performance  Engaging directors’ attention  Integration into their business  Perceptions and problems  Encouraging leadership  Making good guidance  Corporate manslaughter and corporate homicide

5 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 HEALTH AND SAFETY: Stick or carrot?  HSC guidance  Other guidance and legal documents  Health and safety statistics  Overseas comparisons

6 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 IoD STATEMENTS (ON CORPORATE MANSLAUGHTER AND CORPORATE HOMICIDE):  “We fully accept the need for tightening the law on this issue.  “It is not in business’s interest to be seen to behave recklessly, and to be getting away with it.  “We are happy to support these proposals which are a step in the right direction.”  IoD, May 2000, quoted in “Tightening the law on involuntary manslaughter: proposals for reform”, News Release, Home Office, London, 23/05/2000

7 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 DIRECTORS AND HEALTH & SAFETY: Statistics from an IoD member survey, July-August 2002 (381 respondents):  36% of all boards had considered the existing HSC guidance (53% in those with 250+ employees, 30% in the rest)  58% had a health and safety report at least quarterly (38% at each meeting)  54% usually discussed the report at each meeting  62% thought suppliers’ practices important  52% thought customers’ practices important

8 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 REVISION OF HSC GUIDANCE: IoD and HSE steering group drawn from:  Large enterprise  Small enterprise  Local government  National Health Service (NHS)  Voluntary sector  Trades unions  Legal profession  Health and safety profession

9 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 REVISION OF HSC GUIDANCE: IoD and HSE Steering Group membership (and nominating body):  Dr Peter Doyle (Confederation of British Industry)  Eva Garland (National Council for Voluntary Organisations)  Dr Rowland B. Hopkinson (formerly NHS Confederation)  Bud Hudspith (Trades Union Congress)  Richard Jones (Institution of Occupational Safety and Health)  Paul Lankester (Local Government Association)  Michael Large (Institute of Directors) - CHAIRMAN  Mike Welham (Federation of Small Businesses)  Professor Frank Wright (University of Warwick)  Secretariat and administration: HSE and IoD

10 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 MAIN ELEMENTS OF THINKING (1):  Needed to attract attention of reader  Essential principles, not a textbook  Case studies  Links to extra help and resources  Have an eye to legal and other developments

11 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 MAIN ELEMENTS OF THINKING (2): Based on the intention to:  Maintain good health and safety performance  Improve health and safety performance  Encourage directors to consider health and safety at board level

12 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 THEMES OF CONTENTS:  Essential principles  Actions:  1. Plan  2. Deliver  3. Monitor  4. Review

13 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 OUR TASK (1):  Two Steering Group meetings (September and October 2006)  IoD seminar on the project (October 2006)  Further three Steering Group meetings before issue of draft  Draft produced  Consulted upon in May and June 2007

14 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 OUR TASK (2):  Steering Group considered consultation responses (July 2007)  HSC consideration (4 September 2007)  Launch of revised Guidance in London and Belfast on 29 October 2007  Dissemination … and use

15 Centre for Corporate Accountability Conference: Corporate Manslaughter, Directors’ Duties and Safety Enforcement Hamilton House, London 19 November 2007 www.iod.com/hsguide www.hse.gov.uk/leadership www.hseni.gov.uk


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