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  • / Fleet and risk management

Fleet and driving-for-work obligations in New Zealand

A vehicle being driven for work is a workplace, and everything that follows comes from that. Under section 36 of the Health and Safety at Work Act 2015 a PCBU must ensure the health and safety of workers so far as is reasonably practicable, and there is no carve-out for the time they spend on the road. The duty covers your own vehicles, pool vehicles, and employees’ privately owned cars used for work (the grey fleet) and it sits alongside a personal due diligence duty on directors and officers.

What the law requires: worker health and safety ensured so far as is reasonably practicable, including while driving for work (HSWA 2015, section 36).

Who it covers: company vehicles, leased vehicles, pool vehicles and privately owned vehicles used for work.

Who else is liable: directors and officers personally, through the due diligence duty (HSWA 2015, section 44).

What is not prescribed: no specific regulation requires driver training, a safe driving policy, telematics, or licence checking. The duty is to manage the risk, and these are how you do it.

Is a company vehicle a workplace?

Yes. HSWA defines a workplace as any place where work is carried out, and that includes a vehicle. There’s no exemption for the road, and no distinction between an employee in a warehouse and the same employee driving between jobs. That means the risks associated with driving (fatigue, distraction, vehicle condition, journey planning, weather, other road users) are workplace risks you’re required to manage. Practically, this is the point most fleets underestimate, because road risk feels like something that happens to drivers rather than something a business controls.

Does the duty cover an employee using their own car for work?

Yes, and this is the biggest blind spot in most fleets. Vehicles that a business doesn’t own or lease but that are used for work travel make up the grey fleet: staff-owned cars, vehicles on novated leases, and anything an employee is reimbursed for using. The HSWA duty follows the work, not the ownership of the asset. So if a staff member drives their own fifteen-year-old car to a client site, the condition of that car, its safety rating and their fitness to drive it are all within your duty, even though you’ve never seen the vehicle.

Are you legally required to have a safe driving policy?

No regulation requires one by name, but it’s difficult to show you’ve managed driving risk without one. A workable policy covers who may drive and what licence classes they hold, vehicle use and private use, phone and distraction rules, alcohol and drugs, fatigue and journey planning, speed, incident and near-miss reporting, and what happens after an infringement or crash. The test isn’t whether you have a document. It’s whether the document is known, followed and enforced, because an unenforced policy is evidence against you rather than for you.

Is driver training a legal requirement?

Not specifically. HSWA requires a PCBU to provide any information, training, instruction or supervision necessary to protect workers from risks, and the General Risk and Workplace Management Regulations reinforce that. Neither names a driving course. Training is one control among several (vehicle selection, journey planning, rostering, telematics and policy are others) and the reasonable expectation is that you’ve chosen controls proportionate to your risk. A business whose staff drive 60,000 km a year in utes on rural roads is in a different position from one whose staff drive occasionally in town.

What are directors' and officers' personal obligations as regards managing driver risk?

Officers, which includes directors and anyone occupying a position with significant influence over the management of the business, have a due diligence duty under section 44 of HSWA. It’s a personal duty, not a company one, and it isn’t discharged by delegating. In broad terms it requires keeping up to date knowledge of health and safety matters, understanding the operations and their hazards and risks, ensuring appropriate resources and processes are available and used, ensuring there are processes for receiving and responding to information about incidents and risks, and verifying that all of this is actually happening. For a fleet, “verifying” is the word that does the work.

Can you legally monitor drivers with dashcams and telematics?

Yes, with conditions. Dashcam footage and telematics data about an identifiable driver are personal information under the Privacy Act 2020, which means the information privacy principles apply: collect it for a lawful purpose connected to your function, collect it in a way that isn’t unreasonably intrusive, tell drivers you’re collecting it and why, keep it secure, don’t keep it longer than needed, and use it only for the purpose you collected it for. Drivers also have a right to request access to information about themselves. Inward-facing cameras raise the intrusiveness question sharply, and the practical answer is to be explicit up front rather than discovering the issue during a disciplinary process.

Do company vehicles have to carry a first aid kit?

No road rule requires it, but the HSWA duty makes it hard to justify not having one. The Act covers workers wherever they’re working for you, including in a vehicle, whether driving or as a passenger, so first aid provision follows them onto the road. What’s adequate depends on the work: a courier in a city has different needs from a service technician alone on rural roads for hours at a time. The same reasoning applies to fire extinguishers, warning triangles, hi-vis and breakdown equipment.

Does a company need to check its workers' driver licences?

Nothing requires it explicitly, but it’s very difficult to argue you’ve managed the risk without doing it. Licences expire, get suspended and get demerited without the employer hearing about it, and a driver whose licence has been suspended is uninsured as well as unlawful. A periodic check, with a policy requiring drivers to disclose infringements, suspensions and medical changes, is one of the cheapest controls available.

Do you have to notify WorkSafe about a work-related crash?

It depends on the outcome, and this is worth getting advice on rather than assuming. Notifiable deaths, notifiable injuries and notifiable incidents must be reported to WorkSafe, and a serious injury or death sustained while driving for work does not stop being work-related because it happened on a road. Police lead the investigation of road crashes, but that doesn’t remove WorkSafe’s interest or your notification obligation. Have a process that decides who notifies whom, before you need it.

How much does a work-related crash actually cost?

More than the repair bill, which is why fleets that only look at insurance excess consistently underestimate it. The full cost includes vehicle repair or replacement, downtime and lost productivity, hire vehicle costs, injury and ACC consequences, administration and investigation time, insurance premium effects, and reputational damage where the vehicle is branded. Non-injury crashes cost less than injury crashes, which cost far less than fatal ones. Work out your own number and the business case for controls usually makes itself.

Which drivers are most at risk?

People who drive for work carry a higher crash risk than people who don’t, and the reasons are structural rather than personal: more time on the road, more time pressure, unfamiliar routes, multitasking, and often driving as the least-managed part of the job. Research cited in New Zealand work-related road safety material suggests a substantial proportion of work vehicles are involved in a crash each year. High-mileage drivers, drivers new to a vehicle type, and drivers under scheduling pressure are the groups worth looking at first.

What happens if a driver gets a careless or dangerous driving conviction?

The fine is the least of it. A conviction can affect licence class and endorsements, which for a commercial driver can mean they’re no longer able to do the job you employ them for. It affects insurability, both theirs and sometimes the fleet’s. Endorsements have fit-and-proper-person requirements that convictions bear on. And for the business, a driver who loses their licence is a resourcing problem that arrives with no notice. This is worth being explicit about in policy, so drivers understand the consequences before rather than after.

What it’s also called

Fleet management, fleet risk, fleet safety, work-related road safety, driving for work, company vehicle, pool vehicle, grey fleet, novated lease, fleet policy, safe driving policy, vehicle policy, driver risk assessment, driver profiling, licence checking, telematics, in-vehicle monitoring, dashcam, in-cab camera and officer due diligence. Grey fleet is the term for privately owned vehicles used for work, and it’s the part of a fleet most businesses don’t realise they have.

Sources

  • Health and Safety at Work Act 2015, sections 34, 36 and 44
  • Health and Safety at Work (General Risk and Workplace Management) Regulations 2016
  • Privacy Act 2020 and the information privacy principles
  • Land Transport Rule: Work Time and Logbooks 2007
  • WorkSafe New Zealand, guidance on vehicles as a place of work
  • NZTA and ACC, work-related road safety material

Most fleets manage vehicles well and drivers barely at all. The asset side has processes such as servicing schedules, warrant and certificate of fitness, replacement cycles, fuel reporting, because those things generate invoices and somebody owns them. The driver side often has a policy nobody reads and a training budget nobody spends, because road risk doesn’t generate an invoice until it generates a large one. If you’re working out where to start, start with what you don’t currently know: who drives, what licences they hold, how far they travel, and what’s happened that you weren’t told about.

Additional resources and reading

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Dashcam footage and the Privacy Act 2020: what your employer must do, and what you can ask for

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Do company vehicles have to carry a first aid kit?

The Health and Safety at Work Act 2015 covers the safety of employees and contractors wherever they are working for you, and this includes when they’re in a vehicle driving for work, whether they are driving or just a passenger.…

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How much does a vehicle accident cost?

Whether it’s your personal car or a company vehicle that’s involved in a crash, the costs are more than you’d imagine. Non-injury crashes tend to cost less than injury crashes which tend to cost less than fatal crashes. Minor scrapes…

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