A Launceston court was told a forklift driver did not inform management about his teenage colleague operating a forklift without a licence because he didn't want to lose his job.

The Mercury newspaper reported Steven Reiman gave evidence in the trial of contractor Tibor Mucha, who pleaded not guilty in the Launceston Magistrates' Court to failing to ensure a person was not exposed to health or safety risks.

Sixteen-year-old Matthew Hudson died in a forklift incident at the Australian Food Group's Blue Ribbon meatworks last July. Reiman said he had seen Hudson operating forklifts in the weeks before the accident.

He said he found it "slightly strange that a kid was on a forklift", but did not notify anyone.

When defence counsel Greg Richardson asked why he had not said anything, Reiman replied: "I wanted to keep my job".

But he said he was not suggesting his company would fire him for raising the matter.

"I don't like to rock the boat ... I didn't raise it with anybody," he said.

Forklift experts told the court it was the manner in which Hudson drove the forklift that caused it to topple.

The case was adjourned until March next year.