Is investing $10,000 now to save $100,000 in the future a good idea? What about investing that same amount of money to save the life of an employee?
Clearly, investing in safety is an investment worth making. That being said, good companies have to justify all the investments they make, and a company could easily go bankrupt buying every safety gadget and system on the market.
Being a safe workplace takes time, energy and resources, but it isn’t rocket science. The website for the Occupational Safety and Health Administration has all kinds of free safety rules, tips and protocols. An inspection from a company’s insurance provider is also a great resource for maintaining a safe work environment.
Therefore, it’s important to get a good handle on just how much value safety provides to your workplace. Consider the following factors:
The costs of injuries
Worker injuries probably cost a lot more than you think. Putting aside the pain and trauma associated with it, an amputation might translate to $60,000 in medical costs, and another $60,000 in indirect costs. To recover $120,000, a company with a 3 percent bottom-line profit would need to create another $4 million in revenue. Furthermore, the costs associated with an employee’s death are even greater.
While death and dismemberment are the most extreme instances of workplace accidents, there are countless minor accidents that have an impact on a company nonetheless. According to OHSA, companies shell out $170 billion a year on job-related injuries and illnesses.
Simply put, safety isn’t just the responsible thing to do and it isn’t just the nice thing to do – it’s also a smart business decision.
Safe workplaces supply substantial value to organizations through elevated worker morale, productivity and client satisfaction. Research has shown that every dollar invested on workplace safety translates to a savings of three or more dollars. So, in theory, an investment of $10,000 could yield a savings of at least $30,000 for your business.
Safety investments also produce a workplace where workers feel safe going to work. This in turn engenders a sense of worker loyalty because a safe environment allows staff members to focus on achieving goals, rather than avoid accidents or deal with injuries.
Effective worker safety programs offer a means for companies to conform with state and federal regulatory demands, reducing the problem of exposure to fines and legal actions.
Maintain company reputation
You probably know a few companies that have a reputation for having an unsafe working environment. That’s because word travels fast when it comes to safety.
When a company makes an investment in safety, it’s investing in its own brand. All it takes is one horrific, preventable accident and your company will forever be associated with poor safety.
At Career Concepts, we make safety a top priority and try to set an example by working safely ourselves. If your company is looking for a staffing company it can trust, please contact us today.