The Corporate Manslaughter and Corporate Homicide Act 2007 is a milestone in law. Companies can now be found guilty of corporate manslaughter as a result of serious management breakdown resulting in a gross breach of duty of care.
The Corporate Manslaughter Act, which came into force on 6 April 2008, clarifies criminal liabilities of companies where serious failures in the management of health and safety result in death. It introduces an important new element in the corporate management of health and safety. The new offence means senior level management can be found guilty of corporate manslaughter, whether an individual can be identified or not.
It is relatively simple to avoid prosecution. Make sure your company is following the relevant health and safety legislation and good practice guidance.
Well managed organisations will be supported by the offence whilst companies that cut costs and take unjustifiable risks will be targeted.
This new law is to ensure proper accountability where very severe management failings lead to people being killed or seriously injured. It is not about over regulating the industry, rather it is concerned with making sure arrangements are in place for managing health and safety properly.
The offence is concerned with the corporate liability of the organisation itself, not individuals. If found guilty of corporate manslaughter companies face unlimited fines and other penalties.
The Institute of Directors and the Health and Safety Executive recently provided guidance for the board:
Find out more about the Corporate Manslaughter Act
Find out more about Managing ORR (Occupational Road Risks)
Register for a free training module (covering the 2007 Act)