Occupational Safety and Health Amendment Act (OSHA) 2022: Latest Workplace Safety Regulations in Malaysia

The Occupational Safety and Health (Amendment) Act 2022 (OSH Amendment Act) will take effect on June 1, 2024. This amendment expands the scope of existing safety duties under the Occupational Safety and Health Act 1994 (OSHA) to most workplaces and introduces new safety obligations while increasing penalties for violations. It marks a crucial shift in workplace safety standards, aiming to enhance protections for workers and streamline compliance processes for businesses. With the new regulations set to take effect, it is essential for employers to understand the implications and adapt their practices accordingly.

Extension of Scope

Currently, OSHA only applies to specific industries such as manufacturing, construction, and wholesale and retail trades.

Starting June 1, 2024, the OSH Amendment Act will extend OSHA's applicability to all workplaces across Malaysia, with limited exceptions. Existing obligations, including the implementation of a workplace safety and health policy under Section 16, will now apply to most workplaces.

OSHA 2022 New Safety Regulations

Starting June 1, 2024, the OSH Amendment Act will introduce several new safety obligations:

1. Duty to Conduct and Implement Risk Assessments

Every employer, self-employed person, and principal must conduct risk assessments for health and safety risks affecting any person at the workplace. A "risk assessment" involves evaluating safety and health risks from workplace hazards and determining appropriate risk control measures.

If a risk assessment indicates the need for risk control measures to eliminate or reduce safety and health risks, such measures must be implemented. However, the specifics of the required control measures remain uncertain.

2. Requirement to Appoint an Occupational Safety and Health Coordinator

Employers must appoint an employee as a Safety and Health Coordinator (SHC) if they have five or more employees at the workplace. This requirement applies to workplaces not need a Safety and Health Officer (SHO). The SHC's role is to coordinate occupational safety and health issues, which is less extensive than that of an SHO.

3. Duty to Ensure the Safety of Contractors and Subcontractors

Principals must ensure the safety and health of contractors, subcontractors, and their employees while at work if they are working under the principal's direction. This affects workforce structures relying on contractor arrangements, such as in construction.

4. Duty to Develop and Implement Emergency Procedures

Employers, self-employed persons, and principals must develop and implement procedures to handle emergencies that may arise during work.

Failure to comply with these obligations will result in penalties, including fines of up to RM50,000 or RM500,000, depending on the severity of the breach.

OSHA 2022: Stricter Penalties for Workplace Safety Violations

The OSH Amendment Act will significantly increase the penalties for safety breaches, including:

Raising the maximum fine for failing to ensure employees' safety, health, and welfare at work, or for not establishing a safety and health policy, from RM50,000 to RM500,000.
Increasing the maximum fine for general penalties under Section 51 of OSHA from RM10,000 to RM100,000. For continuing offenses, the maximum fine will rise from RM1,000 to RM2,000 for each day the offense continues after conviction.
Elevating the maximum fine for failing to comply, without reasonable excuse, with an improvement or prohibition notice under Section 48 of OSHA from RM50,000 to RM500,000. For continuing offenses, the fine will increase from RM500 to RM2,000 per day the offense continues.
Raising the maximum fine for failing to establish a safety and health committee from RM5,000 to RM100,000, and increasing the maximum imprisonment term from six months to one year.
Increasing the maximum fine for failing to appoint a safety and health officer from RM5,000 to RM50,000.

Additionally, when a company commits an offense under OSHA or its subsidiary legislation, a broader range of individuals may now be held jointly and severally liable. This includes:

Directors, compliance officers, partners, managers, secretaries, or similar officers within the company;
Individuals purporting to act in such capacities or responsible for managing the company’s affairs in any capacity;
Individuals assisting in the management of the company.

The OSH Amendment Act presumes these individuals are guilty of the offense unless they can prove it was committed without their knowledge, without their consent or connivance, and that they took all reasonable precautions and exercised due diligence to prevent the offense.

The upcoming OSHA regulation changes are a big deal for workplace safety. They're a chance for employers to step up and make sure everyone's safe at work. By getting on board with these changes, companies can follow the rules and create a safer, healthier atmosphere for their teams. As June 1st gets closer, it's important for businesses to get ready and keep improving. These changes aren't just about following the law—they're about taking care of people and making sure things run smoothly. So, let's embrace these updates, keep everyone safe, and make our workplaces even better!

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