1-13. Overview of UK HSE Regulations and Their Impact on Japanese Operations

The Health and Safety Executive (HSE) is responsible for regulating occupational health and safety in the UK. Established under the Health and Safety at Work etc. Act 1974, HSE's mission is to ensure the safety and health of workers in workplaces throughout the UK. Its unique feature is its combination of legal enforcement and strict enforcement by supervisory agencies. As an independent regulatory authority, HSE has the power to investigate and impose penalties, and has a system in place to hold not only companies but also individual management accountable for violations.

The basis of HSE regulations is "General Duties." This is a comprehensive concept that employers have an obligation to reasonably ensure the health and safety of their workers, and in addition to specific rules and guidelines, they are required to thoroughly implement risk assessments and preventive measures. Risk assessments in particular are a legal obligation, and companies must identify sources of hazards and keep records of the measures they have taken. In addition, emphasis is placed on worker training, the provision of protective equipment, and employee participation through occupational safety and health committees.

HSE enforcement is very strict. Any violations will result in the issuance of an Improvement Notice or Prohibition Notice, which in some cases may lead to immediate suspension of operations or criminal prosecution in court. In particular, in the event of a fatal accident or serious disaster, not only the company but also individual directors may be held criminally liable, often resulting in heavy fines or imprisonment.

What's important for Japanese companies is that this will have an indirect impact not only on their UK bases, but also on their bases within Japan. For example, if a Japanese headquarters has a UK base, it will need to establish occupational health and safety management that complies with HSE regulations. Therefore, unless the Japanese side also instills a safety culture of the same level and implements unified EHS (Environment, Health and Safety) management, there is a risk that it will be deemed non-compliant in global integrated audits and supplier evaluations.

Furthermore, even after leaving the EU, the UK has established its own regulatory system (UK REACH and UKCA marking) similar to the REACH Regulation and RoHS Directive, which is affecting the product exports and chemical substance management of Japanese companies. As HSE is also the enforcement agency for these environmental and chemical substance regulations, it is necessary to understand UK standards not only in terms of health and safety but also in terms of environmental response.

Challenges for Japanese companies include (1) the formalization of risk assessments, (2) a lack of worker participation, (3) management's disregard for safety responsibility, and (4) a lack of understanding of the UK's unique legal culture. A major difference is that while Japan has a deeply rooted culture of administrative guidance, the UK immediately holds criminal responsibility for any violation of the law. If Japanese-style operations are introduced without recognizing this gap, it could lead to serious compliance violations locally.

In conclusion, the UK HSE regulations, which are characterized by strict enforcement and worker participation, provide an opportunity for Japanese bases to raise the international standard of EHS management. Japanese companies are required to not only comply with local regulations, but also to understand the HSE regulations at the headquarters level and strengthen the safety and health culture throughout the company in an integrated manner.