June 2025: Responsibilities of persons conducting a business or undertaking when conducting sea-trials or similar activities of recreational craft

When persons conducting a business or undertaking (PCBUs) or people working for them are conducting sea trials of client vessels or demonstrating vessels to potential buyers, they have health and safety obligations. This investigation insight highlights the health and safety obligations PCBUs have for people working for them to reduce the risk of injury or death and damage to vessels and equipment.

Background

In 2024, two marine technicians were completing sea trials on a recreational vessel, a six-meter alloy trailer boat belonging to a customer, after installing a new engine. At the time they were employed by a PCBU specialising in selling and servicing trailer boats and outboard engines.

During sea trial testing of the vessel, weather was calm and visibility was good. The skipper of the vessel, one of the marine technicians, became distracted and collided at speed with a fixed channel marker. The collision:

  • destroyed the channel marker
  • caused enough damage to the boat that it was considered a total write-off
  • caused the two technicians a number of serious injuries requiring medical care.

Investigation

The technician operating the vessel was doing so in accordance with instructions from his employer. They had some recreational boating experience, but the Maritime NZ investigation established that the PCBU had not provided adequate systems and training for them as a worker.

Reminder

All New Zealand PCBUs, including those that do work on our waters, have a duty under the Health and Safety at Work Act 2015 (HSWA). All commercial and recreational vessels in New Zealand waters are also subject to the Maritime Transport Act 1994 (MTA) and Maritime Rules.

Under HSWA, a PCBU that deploys staff to work on board vessels on our waterways must consider the risks associated with that work to make sure staff and others are not put at risk from the work carried out.

All PCBU’s are required to comply with HSWA irrespective of whether they are also operating under a Maritime NZ safety management system.

All commercial and recreational ships in New Zealand waters are subject to the Maritime Transport Act 1994 (MTA) section 65 Dangerous activity involving ships or maritime products.

Under both the MTA and HSWA companies can be liable for the actions of their employees. HSWA also establishes duties (and offences) that apply to businesses, officers and workers.

Maritime New Zealand recommends that:

  • all people operating vessels comply with applicable Maritime Rules, including the requirements to maintain a proper lookout, travel at a safe speed, determine whether there is a risk of collision, and take action to avoid collisions (Maritime Rules 22.5, 22.6, 22.7 and 22.8).
  • PCBUs have clear written health and safety processes to make sure that staff working in the maritime environment have formal procedures and training to manage risks and make sure they meet their responsibilities under HSWA.