Injuries in the workplace can be costly for a company. Initial medical bills for an injured employee can affect insurance premiums and downtime for valued employees also costs a company in terms of not only dollars, but productivity as well. Thankfully worker injuries and illnesses have dropped considerably in the last few decades - down from 10.9 incidents per 100 workers in 1972 to 2.9 per 100 in 2016. (OSHA) However, any problem can still not only dramatically impact the lives of workers and those around them, it can equate to substantial profit loses for a business, not to mention the loss of productivity.
The linear relationship between workplace safety and a company’s budget for safety might be something to consider. Often the problem has less to do with the actual dollar amount invested in safety, but rather the approach to handling safety, or the "philosophy of safety" in the work environment. The fact of the matter is more and more executives and leaders are understanding that a stronger safety culture can make significant contributions to a company’s bottom line. At Corvex, we think of it not only as a "culture" but also as a strong safety community, powered by workers engaged in their own safety and the safety of those around them.
Relationship Between Safety Programs and Profitability
An ROI mindset where safety is concerned can prioritize programs and technology to move safety forward. But first, let's consider how safety affects an organization's bottom line:
Methods for Encouraging a Strong Safety Community
The financial benefits of a strong safety commuity are apparent, but the central component to making them work are the workers. Strict safety protocols, frequent training sessions, and leading safety technologie are all great features of a top safety program, but are useless without worker involvement. Three key elements to consider for encouraging a safety culture are:
For many businesses, finding a return on their investment in safety programs can be elusive. It’s often difficult to quantify how effectively a safety program is in preventing accidents. Most safety programs focus on lagging indicators, which doesn’t necessarily equate to profits, but, at best, only savings. With the right mindset and a program focused on leading indicatrs, workplace safety can be approached in a way that saves more than just money. Through a culture of safety, you can improve the heath and wellbeing of employees while increasing productivity and generating big ROI.