The Health and Safety at Work Act 2015 places direct legal accountability on New Zealand employers for the safety of every racking system in their workplace. Many businesses wrongly treat racking installation as the end of their obligation. As a Person Conducting a Business or Undertaking (PCBU), an employer carries an ongoing duty of care that extends to every racking system under their control, whether they installed it, inherited it or lease the building it sits in. Understanding what the law actually requires, not just what good practice suggests, is the starting point for protecting workers and avoiding enforcement action from WorkSafe NZ.
What the Health and Safety at Work Act 2015 requires
The Health and Safety at Work Act 2015 (HSWA) is New Zealand’s primary workplace safety legislation and the legal framework under which WorkSafe NZ operates. Section 36 of the Act establishes the primary duty of care: a PCBU must, so far as is reasonably practicable, eliminate or minimise risks to the health and safety of workers and others in the workplace. A PCBU is any person or organisation that conducts a business or undertaking in New Zealand, whether for profit or not, and includes sole traders, companies, partnerships and government agencies.
Section 37 of HSWA extends this duty specifically to plant and structures. Warehouse racking falls within the definition of plant under the Act, which means the legal duty to keep plant in a safe condition applies directly to racking systems. This obligation is not a recommendation, it is a legal requirement backed by enforcement powers and substantial financial penalties.
How racking qualifies as plant under HSWA
Under HSWA, “plant” includes any machinery, equipment, appliance, container, implement or tool, along with any component of these things. Warehouse racking, including pallet racking, cantilever racking and shelving systems, meets this definition because it is a structural system used in the course of work and capable of causing serious harm if it fails.
This classification activates specific duties under Section 37 of HSWA. A PCBU must manage plant so that it is, so far as is reasonably practicable, without risk to health and safety. This duty applies from the moment a business takes control of a workplace containing racking, regardless of who installed it or when. The age or origin of a racking system does not reduce the PCBU’s legal responsibility for it.
The PCBU’s specific duties for racking safety
HSWA does not list every action a PCBU must take, but it does require a structured approach to risk management. For racking systems, that translates into a clear set of practical obligations.
- Identify hazards: carry out regular checks to identify damaged, overloaded or structurally compromised racking before harm can occur.
- Assess and control risks: evaluate the likelihood and severity of harm from identified hazards and apply controls, including load restrictions, access barriers and repair schedules.
- Maintain safe plant: keep racking in a condition that is safe for use, covering load rating signage, structural integrity and active damage management.
- Provide information, training and supervision: workers who interact with racking, including forklift operators and warehouse pickers, must receive adequate training on load limits, damage reporting and safe operating procedures.
- Consult workers: PCBUs must engage workers in health and safety matters, including hazard identification and the reporting of racking damage.
- Report notifiable incidents: any serious injury or near-miss involving racking must be reported to WorkSafe NZ without delay.
These obligations apply continuously, not only at the point of installation or following an incident.
How AS/NZS 4084 connects to your legal obligations
AS/NZS 4084:2023 is the joint Australian and New Zealand standard for the design, manufacture and installation of steel storage racking systems. It is not a standalone legal requirement, but it is the recognised technical benchmark that WorkSafe NZ references when assessing whether a PCBU has met its duty of care under HSWA.
Operating racking that meets AS/NZS 4084:2023 provides strong evidence that a PCBU has taken reasonably practicable steps to manage racking risk. Operating racking that has not been assessed against the standard significantly increases legal exposure if an incident occurs.
| Framework | What it covers | Who it applies to |
| Health and Safety at Work Act 2015 | Legal duty of care, risk management obligations, enforcement powers | All PCBUs in New Zealand |
| AS/NZS 4084:2023 | Technical design, load capacity, inspection frequency and damage classification for steel racking | Racking designers, manufacturers, installers and operators |
A PCBU is not legally required to comply with AS/NZS 4084 by name. Choosing to operate outside its parameters without equivalent controls is, however, difficult to defend under HSWA if a racking-related incident occurs. For a detailed breakdown of what the standard covers and how it applies to common racking configurations, the Storepro guide to AS/NZS 4084 compliance outlines the key requirements for NZ warehouse operators.
How often racking must be inspected
HSWA does not specify a fixed inspection interval for racking, but it does require that plant be maintained so it remains safe. AS/NZS 4084:2023, the standard WorkSafe NZ references, requires a formal racking inspection at least once every 12 months, carried out by a competent person. It also requires businesses to conduct regular in-house checks as part of their ongoing hazard identification obligations.
A competent person for formal inspections is someone with the knowledge, training and experience to identify racking damage, assess its severity against the classification system in AS/NZS 4084:2023 and recommend appropriate corrective action. This is a different standard from an in-house walk-through, and the two must not be treated as equivalent.
Events that require an unscheduled inspection include:
- Any impact to racking from a forklift, pallet or other equipment
- Discovery of damaged or deformed uprights, beams or baseplates
- Significant changes to the loads being stored
- Any near-miss or incident involving the racking system
- Reconfiguration or relocation of racking components
Waiting for the annual inspection cycle after a known impact is not consistent with the duty to maintain safe plant under HSWA.
What WorkSafe NZ can do if racking is non-compliant
WorkSafe NZ has the authority to inspect workplaces, investigate incidents and take enforcement action where a PCBU is not meeting its obligations under HSWA. For racking, this can take several forms.
An improvement notice requires a PCBU to remedy a specific non-compliance by a set date. A prohibition notice is more serious: it requires the immediate cessation of an activity ( including the use of racking) where WorkSafe NZ determines that the situation poses a serious risk of harm. A prohibition notice can stop warehouse operations entirely until the issue is resolved to the inspector’s satisfaction.
Where a breach of HSWA has caused serious harm or death, WorkSafe NZ can prosecute. Penalties under the Act are substantial: a PCBU that fails to comply with its primary duty of care faces fines of up to $1.5 million. Where the offence involves reckless conduct, penalties for an organisation can reach $3 million.
The difference between receiving an improvement notice and a prohibition notice depends largely on immediacy of risk. Damaged racking that remains in active use is far more likely to trigger a prohibition notice than a procedural or documentation gap.
Employer responsibility for inherited and leased racking
A PCBU’s duty of care under HSWA attaches to the workplace and the plant within it, not to the party that installed it. Businesses that move into a warehouse with racking already in place take on full legal responsibility for that racking from the moment they assume control of the site.
This is one of the most commonly overlooked obligations in New Zealand workplaces. A lease agreement does not transfer legal responsibility for pre-existing racking to the landlord — the PCBU in control of the space carries the duty. A business that inherits racking of unknown age, load rating or installation standard has an obligation to assess it before putting it into use.
The appropriate step on taking over a site with existing racking is a formal pallet racking inspection against AS/NZS 4084:2023, carried out by a competent person. This establishes a baseline condition report, identifies any immediate risks and provides documentary evidence that the PCBU carried out its due diligence. Operating inherited racking without this assessment creates direct legal exposure under Section 36 of HSWA.
What to do when racking is damaged
When racking sustains damage, the PCBU’s obligation to act is immediate. Continuing to use damaged racking until the next scheduled inspection is not consistent with the duty to manage plant safely under HSWA.
The required sequence is:
- Isolate the affected section: take the damaged bay or run out of service immediately, before a formal assessment is carried out.
- Report the damage: workers must report racking damage to their supervisor or health and safety representative as soon as it is identified. PCBUs must have a clear reporting process in place before an incident occurs.
- Assess the damage: have a competent person assess the damage against the classification system in AS/NZS 4084:2023 to determine whether the racking can be repaired or must be replaced.
- Repair or replace: act on the assessment without delay. Structural repairs must be carried out by qualified installers using compatible components.
- Return to service: racking may return to use only after the competent person confirms it meets the required standard.
- Record the incident: document the damage, the assessment findings and the corrective action taken, and retain this alongside formal inspection records.
Records employers must keep
Maintaining accurate records is part of a PCBU’s risk management obligation under HSWA, and those records are critical evidence in the event of a WorkSafe NZ investigation or legal proceeding. The absence of documentation does not demonstrate compliance — it demonstrates the absence of a system.
Employers operating racking systems should maintain:
- Formal inspection reports from each annual inspection, including the inspector’s name, qualifications, findings and recommendations
- Load rating notices for each racking bay, including the rated capacity and the date they were installed or updated
- A damage log covering date, nature of damage, how it was identified and the corrective action taken
- Records of any repairs or modifications, including who carried out the work and the standard it was completed to
- Training records for workers who use or work around racking
- Any correspondence with WorkSafe NZ, including improvement notices and written responses
Records should be retained for at least the operational life of the racking system.
How Storepro supports PCBU compliance
Storepro provides racking inspection, design and installation services built around New Zealand’s legal and technical compliance requirements. With more than 20 years of experience and a combined team expertise exceeding 250 years, Storepro carries out formal racking inspections against AS/NZS 4084:2023 and provides written reports that give PCBUs clear, documented evidence of their compliance activity.
For businesses taking over a site with existing racking, Storepro’s racking inspection service establishes a baseline condition report from which ongoing compliance can be managed. For businesses planning a new installation or reconfiguration, Storepro’s pallet racking systems are designed and installed to AS/NZS 4084:2023 from the first design stage, reducing the risk of non-conformance before racking enters service.Storepro operates across New Zealand, providing local decision-making and on-the-ground support. Businesses that need to meet their obligations under the Health and Safety at Work Act 2015 can start with a formal inspection or a direct conversation with a racking specialist.