The question of whether affiliated companies, which have the same owner, i.e., the same owner has a stake in the ownership structure of both companies, and which operate as separate limited liability companies at different locations and cities, can contract for joint organization and implementation of occupational health and safety, is often raised.

The Institute for the Improvement of Occupational Safety and Health has explained this dilemma as follows. Namely, pursuant to Article 20, paragraph 7 of the Occupational Safety and Health Act, it is prescribed that multiple employers operating at the same location can mutually contract for the organization and implementation of occupational safety and health by employing a common occupational safety and health expert.

Definition of the Same Business Location

Additionally, they can establish a joint occupational safety and health service by applying the criteria of the number of employees and other criteria from Article 20, paragraphs 1, 2, 3, and 4. Furthermore, Article 9 of the Regulation on the Performance of Occupational Safety and Health Activities (NN112/14, 43/15, 72/15, and 140/15) prescribes that when multiple employers operating at the same location mutually contract for the organization and implementation of occupational safety and health.

In this context, the term “same location” is considered to be business operations at the same address or business operations in the same building, or multiple different buildings (which can mean different house numbers) located within a fenced area (the same business premises).

Locations and Cities of Crucial Importance

Therefore, affiliated companies (same owner, ownership structure) that operate as separate LLCs at different locations and cities cannot jointly contract for the organization and implementation of occupational health and safety in accordance with the aforementioned regulations.

In order for the mentioned articles of the regulations to be applicable, it is not crucial to have common ownership or ownership structure; instead, the crucial factor is the location of the companies, i.e., the same address or the same business premises of the companies.