What are the consequences of management not abiding by legislation and regulations?

Consider a scenario where an employee receives a life threatening injury as a result of electrocution whilst working with faulty equipment provided by the company, What are the consequences of management not abiding by legislation and regulations in this scenario.|||The employer is obliged to take out insurance to protect his employers, but if it is discovered that he didn't bother to check the equipment with the result that it was faulty, the insurance company can sue the employer for the return of money paid out in compensation. http://www.hse.gov.uk/pubns/hse40.pdf



The consequences could be disastrous in financial terms when the employee sues them for compensation.|||The company will almost certainly have broken some part of the Health %26amp; Safety at Work Act 1974 for failing to keep its employee safe. Obviously you can't imprison a company, but its directors can be prosecuted for failing to ensure a safe workplace and the punishment on conviction would be a large fine.



If the company isn't insured for employee accidents, it could be prosecuted for that too.



That takes account of criminal law. In civil law the employee can sue for compensation.



So that's potentially three court cases the company could end up in, all very expensive.|||If they have been made aware of the fault and its potential life threatening affects they could be charged wit criminal negligence. You can sue for damages. The manager could go to prison.|||If tried in court, a very very large settlement, and even more taken from the company.