Former Port of Auckland chief executive Tony Gibson has been sentenced in a landmark health and safety case following the 2020 death of a stevedore.
Auckland District Court Judge Steve Bonnar sentenced Gibson on February 21 to a fine of $130,000 and awarded Maritime NZ costs of $60,000.
It follows Gibson being found guilty under the Health and Safety at Work Act 2015 (HSWA) by Judge Bonnar in an Auckland District Court decision on November 27.
The sentence relates to the August 2020 death of Pala’amo Kalati, 31, who was crushed when a container was dropped during a lifting operation. Regulatory and compliance agency Maritime NZ filed two HSWA charges against Gibson.
It is the first time in New Zealand an officer of a large company has been convicted of a breach of their due diligence duty under the HSWA, legislation introduced following the Pike River tragedy.
Maritime NZ director Kirstie Hewlett says people are at the centre of prosecutions such as this.
“Our thoughts continue to go out to Mr Kalati’s family, friends, as well as those also impacted by this tragic incident, including the other surviving victim.
“This has not been a quick process, and we fully understand how difficult the ongoing proceedings against the Port and Mr Gibson would have been for those close to Mr Kalati, and the other victim,” Hewlett says.
The District Court found that, as the chief executive of Port of Auckland, Gibson did not exercise his due diligence responsibility for ensuring that the port complied with its health and safety responsibilities.
“This was a serious departure from the duty of care he should have provided to the workers at the port as the senior officer in charge.
“Mr Gibson had the knowledge, influence, resources and opportunity to address safety gaps and ensure that appropriate systems were in place at the port, but failed to do so,” Hewlett says.
During his more than a decade managing it, the port company was convicted of several offences under health and safety legislation with incidents resulting in fatalities and serious injuries.
Hewlett says Gibson knew of safety issues raised around the critical risks that could hurt people on the port, but did not take timely action to address them.
The case serves as a strong reminder to chief executives of large companies that they need to understand the critical risks at their businesses, she says.
“In saying this I recognise there are many officers in New Zealand who are meeting their health and safety obligations, and they should be confident this decision reaffirms the work they do to keep their people safe at work.
“More broadly I also want to recognise the work of the port sector –– port companies, stevedores and unions since the death of Mr Kalati to improve safety on New Zealand ports.
“This work has included the delivery of the Approved Code of Practice (for loading and unloading cargo at ports and on ships) which was launched last year to ensure consistent base line safety standards.
“It is important that this work continues to ensure we prevent tragedies like this and that workers come home healthy and safe,” Hewlett says.
Port of Auckland was charged separately and was sentenced and fined $561,000 in late 2023 after pleading guilty to two charges relating to the death.
New Zealand Institute of Safety Management chair Mike Cosman says while there were a number of unique features of this case, there are also important lessons for other business leaders.
“The Court has confirmed that CEOs need to put as much effort into oversight of health and safety as other business activities.
“CEOs need to ensure that they have access to demonstrably competent health and safety advice and that actions and plans are both completed in a timely manner and achieve the desired effect.
“NZISM agrees with Judge Bonnar’s comment that, when hiring health and safety staff, CEOs look for candidates with adequate qualifications and accreditation along with relevant experience. The riskier the workplace, the more important it is to get good advice,” Cosman says.
“This decision may be seen as raising the bar for business leaders’ responsibility for health and safety, but it is right that the bar should be high. Too many New Zealanders are injured and killed at work. Every worker should return home safely to their families at the end of the day.
“We hope the lessons from the death of Mr Kalati and the Court’s decision to hold Mr Gibson accountable for the system failures that contributed to this tragedy will help to improve the practice of health and safety in New Zealand businesses, and save lives in the future,” Cosman adds.
