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Business Essentials Blog

Essential Business Insights from Bill Winter

Directors of Companies Must Keep Up-To-date

William Winter - Tuesday, January 10, 2012

The Federal Government, through Safe Work Australia, issued a draft code of practice on workplace bullying last year.

How many directors of private companies are aware of the contents of this draft and their liabilities and responsibilities under the Act ?  I suspect, hardly any.

There was an article on page seven in last Friday's Financial Review that pointed out the issues around this draft. The article quoted a survey of 5000 employees by employment company WorkPro that found 23 percent claimed to have been bullied in the past two years, and 68% worried whether their own bullying behaviour could be seen as bullying.

The question was posted who has duties in relation to workplace bullying ?

The answer:

  • Everyone in the workplace
  • A person condcuting a business or undertaking has the primary duty
  • officers, such as company directors, must exercise due diligence

In my experience the culture within a business on this issue starts in the board room or in senior management meetings. What is often said in so-called humour filters down through the whole business and has negative effects throughout.

If you chose to ignore this, I guarantee that you will get caught out and pay a high price in the future. As an experienced director, I am aware of the need to be on top of this issue.


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