A former CEO has been found guilty under the Health and Safety at Work Act following the death of an employee. Learn how company officers can be held personally liable and what steps to take to avoid prosecution.
Chief Executive Held Personally Liable for Fatal Workplace Accident in Landmark Health and Safety Case
In a landmark ruling under New Zealand’s Health and Safety at Work Act 2015, a former Chief Executive of a large company has been found guilty of health and safety breaches that resulted in the tragic death of an employee.
The incident occurred during routine operations when a large piece of equipment was being moved near where the employee was working. Due to poor planning and unsafe work practices, the equipment fell, fatally crushing the employee. The worksite had heavy machinery operating near vulnerable workers without adequate separation or safety protocols in place.
CEO’s Legal Breach: Failure to Exercise Due Diligence
The District Court found that the Chief Executive failed in his statutory duty of due diligence. As a company officer, he was legally required to ensure the organisation had appropriate health and safety systems in place and that those systems were actively monitored and followed. The Court concluded that his failure to do so exposed the employee to a risk of death or serious injury, and that risk ultimately materialised.
This case marks the first time a high-ranking company officer has been convicted personally under the Health and Safety at Work Act for failing to uphold their obligations — sending a strong message to CEOs, Directors, COOs, and other senior decision-makers.
Company Also Fined for Systemic Health and Safety Failures
The company itself had already been prosecuted and fined $561,000 for its role in the incident. A major factor in the case was its bonus scheme, which rewarded speed and productivity, often at the expense of safety. The court found that this incentivised workers to overlook critical safety procedures, contributing to an unsafe work environment.
What This Means for Employers and Company Officers in New Zealand
This case is a sobering reminder that health and safety compliance is a legal obligation, not just a company policy. Company officers can face personal criminal liability if they fail to meet their duties under the Health and Safety at Work Act.
If you are a business owner, director, or executive in Wellington or Masterton, it is crucial to regularly assess your company’s health and safety protocols — especially if your workplace involves machinery, manual labour, or high-risk activities.
Need Advice on Health and Safety Compliance?
At Core Legal, we help business leaders and companies across Masterton and Wellington understand their legal obligations under the Health and Safety at Work Act. We offer fixed-price initial consultations to help you identify risks, understand your duties, and implement effective compliance strategies.
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