This presentation is about how Health and Safety legislation is changing the way we have to manage property in New Zealand

1. The Changing Face
of Being a Landlord
Why the new Health and Safety at Work Act is a
game changer

2. Health and Safety at Work Act
Pike River Mining Disaster 19 November 2010

3. Worksafe v Blackham Boote Real Estate
19th March 2015
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4. 4

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8. 8
Changes in Health and Safety

9. What or who is a
PCBU?
A business entity such as a company
A Sole Trader or self employed contractor
Employee’s are not PCBU’s, these are Workers or Officers
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Person Conducting a Business or Undertaking

10. What does this mean?
• Everyone is responsible for Health and Safety
• All PCBU’s have a ‘Primary Duty of Care’ to workers and other
people
• Officers of PCBU’s must exercise due diligence to ensure H&S is
being met
• All PCBU’s, so far as reasonably practicable, must engage with
workers
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11. What is Reasonably Practicable?
Weigh up all relevant matters such as:
(a) The likelihood of the hazard or the risk occurring
(b) The degree of harm that might result from the hazard or risk
(c) What the person concerned knows, or ought reasonably to
know, about the risk
(d) Availability and suitability of ways to eliminate or minimise
the risk
(e) The cost associated with available ways of eliminating or
minimising the risk, including whether the cost is grossly
disproportionate to the risk

12. Goodwin Property Management
and Dave’s Plumbing
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13. Goodwin’s has 40,000 managements and 600 staff. Catherine is
the owner and director. She regularly engages Dave’s Plumbing to
carry out work on her rent roll. Dave is the sole trader and owner
of his business.
• Is Catherine or Goodwins a PCBU?
• Are Goodwins employee’s workers or PCBU’s?
• _______ is an officer of Goodwins
• Is Dave’s Plumbing a PCBU?
• Does Dave become a worker of Goodwins when engaged to
carry out work or does he remain a PCBU?
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Exercise

14. • Goodwin's is a PCBU.
• Employees are workers of Goodwin's
• Catherine is an officer of Goodwin's
• Yes. Dave is a PCBU, conducting his plumbing
business
• Dave becomes a worker of Goodwin's and is still
a PCBU.
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15. Workers and Other People
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16. 16
Health and Safety duty to: Workers Other
people at
workplace
Take reasonable care for his or her own health and safety
Yes Yes
Take reasonable care that his or her acts or omissions do
not adversely affect the health and safety of other persons
Yes Yes
Comply, so far as reasonably able, with any reasonable
instruction that is given to them by the PCBU to allow the
PCBU to comply with the law
Yes Yes
Cooperate with any reasonable policy or procedure of the
PCBU relating to health or safety at the workplace that has
been notified to workers
Yes No

17. Potential Fines
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18. 18
Section Act Fine
47 Offence of reckless conduct $3,000,000
48 Exposing individuals to risk of death, serious
injury or illness
$1,500,000
49 Failing to comply with duty $500,000
55 Failing to preserve a site $50,000
56 Failing to notify a notifiable event $50,000
57 Failing to keep records $25,000
58 Failing to engage with workers $100,000
Maximum Fines

19. How does the relate to RTA?
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Section 45 Landlord Responsibility
The Landlord shall comply with all requirements in
respect of buildings, health and safety and any
enactment so far as they apply to the premises

20. The impact on the industry
• All contractors need to be on agreements
• Properties that are of risk can not be managed
• Quality of Property Management has to improve
• Owners cannot dictate terms of engagement
• Professional Property Management will benefit
• Unprepared Property Management companies will get sued

21. Insurance Stance on Meth
• Over 220 cases heard in Tenancy Tribunal in 2016
• 60 cases a month dealt with by IAG
• $14 Million in claims over the last 12 months
• The maximum claimable amount has increased from $25,000 to
$30,000
• Premiums on rental properties will increase by a range of around
$40 to $130 per annum
• Standard excess will increase from $400 to $2,500
• Claims will not be accepted for contamination if it is too difficult
to determine the timing and nature of cause

22. Methamphetamine
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• Do all houses need to be tested?
• Are companies liable under HSWA if a house is
contaminated?
• Guidelines likely to change
• 1.5micrograms to 100cm2 Carpeted
• 2.0 micrograms to 100cm2 Non Carpeted
• 0.5 micrograms to 100cm2 if evidence of Meth-lab

23. Thank You
david@realiq.nz
@realiq