The sentencing of Richard Crookes Constructions Pty Ltd (RCC) in the New South Wales District Court last month shines a harsh light on the pitfalls of inadequate workplace safety measures in the construction industry. Despite decades of operation, RCC failed to live up to its obligations under the Work Health and Safety Act 2011 (NSW), culminating in a tragic incident in April 2020.
The Incident
The case, SafeWork NSW v Richard Crookes Constructions Pty Ltd [2024] NSWDC 584, centred on a horrifying workplace accident at an aged-care facility construction site in Belrose, NSW. A worker, Mr Nader Arnaout, fell 2.9 metres through an inadequately secured formwork deck penetration. The fall left him impaled on a steel reinforcing bar, resulting in severe injuries including permanent physical and psychological damage.
At the time of the incident, RCC was the principal contractor, overseeing the activities of subcontractors. Their failure to adequately monitor and verify safety measures, particularly in relation to uncovered and unsecured penetrations in the Skydeck formwork system, led to the catastrophic breach.
The Court’s Findings
Judge Russell SC found RCC’s culpability to be in the mid-range for breaches of the WHS Act. Key factors included:
A known risk of falls from height, with catastrophic consequences.
Inadequate monitoring of subcontractor compliance.
The ease with which safety measures could have been implemented, such as properly secured and marked penetration covers.
The judge noted the significant failures of the subcontractor, G&Z Form Group Pty Ltd (GNZ) who was convicted June 2023, but ultimately highlighted RCC’s responsibility as the principal contractor to ensure workplace safety.
Sentencing
The Court imposed a fine of $150,000 on RCC ($75,000 to SafeWork), reduced by 25% for an early guilty plea. Additionally, RCC was ordered to pay $75,000 (total of $150,000 to SafeWork) in prosecution costs. These penalties underscore the importance of deterrence, both specific and general, in enforcing WHS obligations. The maximum penalty for such breaches is $1.5 million, reflecting the legislature’s view of their seriousness.
Lessons Learned
While RCC took swift action post-incident—revising safety protocols, increasing inspections, and returning to conventional formwork—the case raises critical questions about the adequacy of proactive measures. Compliance cannot rest on paper policies alone; ongoing, rigorous oversight is essential, especially in high-risk industries like construction.
The incident also exposes the broader issue of subcontractor management. Duty holders in overlapping work environments must consult, cooperate, and coordinate to ensure safety measures are consistently implemented and enforced.
Moving Forward
This case is a stark reminder that workplace safety is not just a legal obligation but a moral imperative. As Judge Russell noted, the community expects employers to prioritise safety over profit. For RCC, the incident serves as a costly and painful lesson in the consequences of complacency.
For the construction industry, it reinforces the necessity of a culture where safety is paramount, from boardrooms to building sites. The tragic injuries suffered by Mr Arnaout should never have occurred, and they serve as a sobering call to action for all employers.
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