IOSH recommends linking executive pay and bonuses to occupational safety and health performance
Monday 20th February 2017
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This is one of nine summary recommendations made by IOSH in its response to the UK Government's Corporate Governance Reform Green Paper proposals, which follow public concern about serious failures, such as those at Sports Direct.
IOSH agrees with the Prime Minister's views, expressed in her foreword to the green paper published last November, where she said: "-¦big business must earn and keep the trust and confidence of their customers, employees and the wider public". The suggestions IOSH makes contribute constructively to those aims.
Ensuring that executive pay is properly aligned to long term performance, giving greater voice to employees and consumers in the boardroom, and raising the bar for governance standards in the largest privately held companies are all among areas for reform that this green paper sets out.
Richard Jones, Head of Policy and Public Affairs at IOSH, said: "IOSH believes strong leadership, good governance and meaningful corporate reporting are fundamental for helping to ensure safe, healthy and sustainable working environments across all sectors.
"Reforming corporate governance and supporting companies to make better decisions includes getting occupational safety and health right for every business.
"Among the ideas our experienced members have recommended to the government are provisions for increasing stakeholder engagement around OSH issues, improving reporting and governance requirements for large privately held companies and developing a new bespoke 'Corporate Governance Code' by authoritative independent experts especially for these private companies."
IOSH also proposes that a non-executive director should be designated responsible for ensuring that a company's employees have a voice on OSH. We advocate again the introduction of explicit directors' duties for OSH and greater provision of OSH training for directors, remuneration committee members and institutional or retail investors.
The Institution also recommends lowering the turnover threshold for anti-slavery disclosures, and extending these requirements to public sector organisations, together with improved transparency and use of standardised OSH reporting metrics.
IOSH made the following nine recommendations to help reform corporate governance and deliver wider benefits:
Linking executive pay and bonuses to OSH performance and making bonus-targets more visible and better designed to encourage positive leadership behaviours
Directors (and their equivalents), remuneration committees and institutional / retail investors receiving adequate OSH training
Strengthening the UK Corporate Governance Code on stakeholder engagement about occupational safety and health issues
Designating a non-executive director to ensure the employee-voice is heard on OSH, supported by an advisory panel and stronger reporting requirements on stakeholder engagement on OSH
Strengthening reporting and governance requirements for large privately-held companies
Developing a new bespoke 'Corporate Governance Code' for large privately-held companies, produced by authoritative, independent experts
Introducing explicit positive directors' duties on OSH, together with adequate OSH awareness training for all directors and equivalents
Lowering the turnover threshold for anti-slavery disclosures, so that more companies are required to provide them and extending the requirement to public sector organisations
Requiring those employing 250 or more employees to publicly report on OSH performance and the use of standardised OSH performance metrics
Each one of these, in addition to IOSH responses to the consultation questions, is explained in more detail here.
The recently published ‘Brexit’ White Paper has listed protecting workers’ rights as one of 12 principles which will guide the UK Government during its negotiations to leave the EU.In making its pledge, the Government states upholding workers’ rights will provide “certainty and continuity to employees and employers alike, creating stability in which the UK can grow and thrive”.
Better use of the large number of occupational safety and health practitioners (OSH) in the UK, and a “stronger multidisciplinary approach” to harnessing OSH professionals’ skills as part of workplace teams would help the UK Government achieve its aim of creating a more diverse and inclusive workforce, the Institution has stated.IOSH’s comments come in response to a joint consultation by the Departments for Work and Pensions and Health into how disabled people and people with long-term health conditions can be supported to get into, and to stay in, work.
IOSH welcomes today’s launch of the new OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector and its application to firms operating in (or sourcing from) the 46 adhering countries.
The challenges facing occupational safety and health professionals (OSH) in an ever-changing world of work will be analysed at IOSH 2017, with the impact of technology on OSH and how to build a profession that is fit for the future among key themes.The Institution is organising every aspect of the conference for the first time this year and is using feedback from past conference delegates, IOSH members and OSH professionals to shape this year’s programme.
Return to Work after Cancer has been released today by the Institution of Occupational Safety and Health (IOSH) ahead of World Cancer Day on Saturday 4 February.It says that producing tailored plans and individual risk assessments, including flexible working, carefully-managed workloads and good communication, can help with managing the process.
Having won 11 Paralympic gold medals, held 30 world records and been crowned the winner of the London Marathon’s wheelchair race six times in her sporting career, Baroness Grey-Thompson now works tirelessly in the areas of disability rights, welfare and sport and has become an active crossbencher in the UK’s House of Lords.Her presentation at IOSH 2017 will open the second day of the conference, which is due to be held at the International Convention Centre (ICC), in Birmingham, UK, on 20-21 November.She said: “I am delighted to be speaking at IOSH 2017.