Tuesday, June 4, 2013

Safety & Profitability

According to the Occupations Safety and Health Administration, a single employee suffering a minor sprain can cost an employer up to $48,505. This figure includes the cost of the injury, wages paid to injured workers, costs related to lost productivity, worker replacement costs and administrative time.

Each injury encompasses direct and indirect expenses that are appropriated from a company’s revenue stream, which hinders its ability to experience profit growth. Therefore, when safety is improved and the resulting number of injuries decreases, these incidental costs no longer impact the company’s capacity for profit gain.

No comments:

Post a Comment