We can all agree that safety and health programs are the right thing to do. For us, that would be enough on its own.
But sometimes your boss and other members of management aren’t convinced. The perception is that safety initiatives are an expense dragging down the company’s bottom line.
It’s time to change that perception.
We need to start making a better business case for prevention and wellness. The truth is that safety and health programs increase productivity and drive down costs, resulting in a healthier workforce and a healthier bottom line.
A safe business with healthy employees is a well-run, efficient, more profitable business.
Safety & Health Programs Increase Productivity
C-Level executives love productivity. With the economic downturn in 2008, companies have been forced to do more with less in order to survive. Productivity is top of mind and a more productive workforce is music to their ears.
Safety and Health programs do exactly that – make the workforce more productive.
Health related productivity losses (absenteeism and presenteesim) are costing companies billions of dollars.
Simply put, workers that don’t show up to work are not productive.
And workers that barely managed to stumble into work just to be “present” aren’t very productive either. In fact, according to a study by the American Productivity Audit (APA), 71% of productivity losses occurred on the job.
The cause of lost productivity that occurs on the job? According to the study, fatigue and poor health.
Here are the top 5 causes of on the job productivity loss as outlined in the study:
- Headache / pain
- Cold and the Flu
- Fatigue and depression
- Digestive problems
- Arthritis
Safety & Health Programs Drive Down Costs
The costs of poor safety and health are squeezing the life out of employers across the United States.
- Worker’s Compensation Costs. Employers in the U.S. spend over $1 billion per week for the most disabling workplace work-related injuries. Indirect costs can be up to 20 times the direct cost.
- Health Insurance Costs. Increases in health care costs are relentless. According to the latest information, health care costs for a family of four covered by workplace health insurance will be $20,728 this year.
- OSHA Fines and Citations. Don’t let your company get slapped with an OSHA citation/fine. It does more damage to your safety culture and your brand than the actual dollar amount of the fine.
Have you considered your company’s reputation?
More and more people are concerned about corporate responsibility. This is great … if you’re one of the good guys.
The good guys have engaged and productive employees, loyal partners up and down the supply chain, a growing pile of resumes from first class talent, and a long line of prospects outside the door eager to do business with them.
Getting slapped with OSHA fines on a regular basis will cost much more than the dollar amount you have to pay. Your company’s reputation and brand is on the line, and that is a priceless asset you can’t afford to put in jeopardy.
Maybe that will get your CEO’s attention?
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Editor’s note: This is the first post in a series on Making the Business Case for Safety and Health.
Next post: What is Poor Worker Safety and Health Costing You?
