Under the Work Health and Safety Act 2020, a person conducting a business or undertaking must ensure the health and safety of workers, so far as is reasonably practicable, by eliminating risks to health and safety. If elimination of a risk is not reasonably practicable, risks must be minimised so far as is reasonably practicable.
Definition of a business or undertaking
Whether an organisation is a business or undertaking will depend on the circumstances of each case. However, the following definitions may assist:
- Businesses usually have the purpose of making a profit and have a degree of organisation, system and continuity.
- Undertakings may have elements of organisation, systems and possibly continuity, but are usually not commercial in nature or intended to make a profit.
Definition of a person conducting a business or undertaking
A person under WHS laws can be an individual such as a sole trader or self-employed person, or an entity such as a body corporate (company), unincorporated body, association or a partnership. Individuals who are in a partnership conducting a business will individually and collectively be a PCBU.
A person conducts a business or undertaking whether it is done alone or with others, and whether or not for profit or gain.
Factors to determine if there is a business or undertaking being conducted:
- Elements of organisation, system and continuity associated with the performance of work
- Elements of control over the place where work is to be performed, the manner in which work is carried out, or the worker performing the work.
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