Australia · Product safety
Cotton On penalties highlight the importance of prompt product safety reporting
An injury mentioned in a return, email or customer call can need quick action. Here’s what retail teams should know.
An injury complaint needs more than a refund
A pair of jeans. A Christmas snow globe. Everyday products - and a reminder that an injury complaint can need more than a customer service response.
Cotton On has paid $19,800 after the ACCC issued two infringement notices alleging it was late reporting serious injuries linked to products sold by Supre and Typo.
The ACCC says later checks and testing found the injuries did not result from a product defect or safety issue. It identified no safety concerns with either product.
For retailers, the lesson is practical: when a customer tells your team about an injury, make sure that information reaches the person responsible for product safety promptly. Assess whether it needs to be reported to the ACCC straight away - don’t wait for a returned product, a supplier’s reply or a completed investigation.
Spot the injury behind the complaint
A customer might mention an injury while asking for a refund, explaining a return or posting a review. Your team needs to recognise when that conversation needs prompt attention from the person responsible for product safety.
The reporting rule applies when you learn that a product or product-related service you supplied caused, or may have caused, a death, serious injury or serious illness. A customer’s belief that the product was involved can be enough to trigger an assessment - you do not need to agree with them before taking it seriously.
Not every bump or scratch needs a mandatory report. The ACCC describes a serious injury or illness as acute - severe and arising suddenly - and requiring medical or surgical treatment by, or under the supervision of, a nurse or doctor. This can apply even if the person did not actually receive treatment.
It can also apply where someone used the product in an unintended but reasonably foreseeable way. Staff should pass the information on promptly rather than dismiss it as misuse.
Two days can pass quickly in retail
Once your business becomes aware of a reportable incident, it must report within two days. The ACCC says a deadline falling on a weekend or public holiday moves to the next business day. Give your team a simple instruction: pass injury complaints on immediately.
A customer may still be finding their receipt. The product may be on its way back. Your supplier may not have replied. Those practical delays should not hold up the reporting assessment.
You can report using the information you have and provide more details later. If you are unsure whether a report is required, the ACCC advises submitting one within the deadline.
Keep investigating what happened while the reporting process moves ahead. A refund or replacement may help resolve the customer’s complaint, but it does not settle the question of whether the incident must be reported.
Three checks for your retail team
1. Give staff a clear next step. Store teams, customer service and anyone handling online messages should know who to contact when an injury is mentioned. Ask them to record what the customer said, the product involved and when the business first heard about it. They should not need to make the final reporting decision themselves.
2. Make sure someone can act. Choose a person to assess the incident and arrange any required report, with a backup for days off and leave. Make sure the complaint reaches them promptly, rather than waiting in a shared inbox or for the next team meeting. Keep a record of the decision and any report submitted.
3. Check a few real complaints. Review recent returns, emails and customer messages mentioning injuries or illness. Did the right person see them? How quickly? Use any gaps to improve your staff instructions and training.
Make it easy for your team to do the right thing
Could a new starter recognise an injury complaint and know who to tell? Would the right person pick it up if the usual manager was away?
Watchdog Compliance can help you turn the reporting requirements into clear steps for your store and customer service teams. We can review how you handle injury complaints, help clarify responsibilities and develop practical staff guidance.
Important information
This update is general information for Australian businesses, not legal advice. Laws and official guidance can change. Individual incidents should be assessed against the applicable requirements and circumstances.