June is National Safety Month, and we are celebrating a safe summer with you! Join us as we explore the ROI of a safe workplace.
Safety pays—it pays in terms of time, money, and, ultimately, lives. It is not only a moral obligation, but also a smart business decision. In this article, we reference data on the cost of safety. However, there is no way to truly measure the cost,as the lives lost can never be returned to their families and friends. There were “5,190 fatal work injuries recorded in the United States in 2021, an 8.9-percent increase from 4,764 in 2020” (Bureau of Labor).
In addition to their social costs, workplace injuries and illnesses have a major impact on an employer’s bottom line. It has been estimated that employers pay almost $1 billion per week for direct workers’ compensation costs alone. The costs of workplace injuries and illnesses include direct and indirect costs. Direct costs include workers’ compensation payments, medical expenses, and costs for legal services (OSHA). There are a variety of studies referenced in this resource that show the business benefits and costs from a case study analysis.
The National Safety Council (NSC) reports that businesses spend an average of $1,100 per injured worker but pay an average of $1,310,000 per worker death. The total cost businesses paid for workplace injuries in 2020 was $163.9 billion.
Did you know that workplace violence is one of the top 10 occupational safety hazards in the U.S.?
Source: https://www.forkliftcertification.com/osha-saves-infographic/
Safety measures, when implemented effectively, can positively impact morale and boost employee retention rates. It’s important to note that prioritizing safety not only protects your workforce but also enhances overall productivity and work quality. As evidence, let’s consider the turnover rate in the U.S. transportation, warehousing, and utilities sector in 2020, which stood at 59.5%. By implementing robust safety protocols, companies can create a safer and more conducive work environment, leading to higher employee satisfaction and improved productivity.
Don’t believe us? See for yourself what the cost is for your organization by using the OSHA safety calculator here. If you’re looking for a trusted partner in promoting workplace safety and ensuring the well-being of your employees, we invite you to explore the comprehensive occupational health services offered by MedPhysicals Plus. Visit https://medphysicalsplus.com/occupational-health/ to learn more.
References:
https://naspweb.com/blog/how-much-do-businesses-spend-on-safety/
https://www.osha.gov/businesscase/costs