Investing in safety brings big returns

Jan. 1, 2020
Investing in safety has significant economic benefits.
Skernivitz safety Milton Jacobs OSHA Playing it safe can have a loaded meaning when you're talking safety issues at your collision repair shop. You don't want to just play it safe with safety, which is why it makes sense to invest some dollars consulting with experts in the safety arena who can set you up with operational plans that improve productivity and lower the risk of accidents.

Many companies just want an OSHA compliance baseline, according to Dave K. Smith, who operates a safety consulting firm in Lafayette, Calif. Smith's company provides advice on occupational safety, such as OSHA, ergonomics and risk control. The business currently consults clients in construction, general industry and restaurants.

But even if OSHA compliance is all your company is seeking, according to Smith, OSHA requirements actually keep many companies quite busy. In California, for example, there is CAL-OSHA, which has many specialized regulations. Ohio is a Fed-OSHA state. Smith said one difference in state versus federal OSHA requirements, at least in California, is a requirement of injury and prevention programs for all companies.

Shop owners must recognize that the cost of noncompliance is tremendous, according to Milton Jacobs. Jacobs is a certified safety professional with 16 years of experience in construction, insurance, manufacturing and environmental fields.

Jacob warns, "For example, when an accident occurs, insurance premiums will go up, not to mention the potential of increased liability goes up."

A message Jacobs seeks to drive home to his clients is not to push safety as a workplace phenomenon but encourage safety as an all-encompassing lifestyle behavior: "For instance, companies are saying that instead of just using safety glasses at work, you should be using them at home, even while cutting the grass. It's about simple lifestyle changes and incorporating safety into all aspects of your day – not just the work hours."

Maybe your shop's financial position leaves no room for extra cash to spend on safety-related issues. Jacobs acknowledges the reality of that concern. He also notes that while some companies do cut back on safety-related costs in tough financial circumstances, others "recognize that when times are tough, that's a time you have to raise safety awareness. One thing is for certain – OSHA is still out there." Another reason not to skimp on safety is that you'd be toying with insurance rates.

"Litigation is still at the same level or growing, because if you're laid off, you literally have more time to pursue losses," Smith says.

How should you handle safety? In general, safety involves inspection of a workplace, making sure all employees are trained in how to do the job safely and investigating injuries, Smith said.

"Most industries today handle safety the same way – they want to educate employees and set up a process," Jacobs says. "For some, such as construction, they are dealing with safety issues every day; in retail they might formally address it once a year. Figure out what works with your shop and begin to address it with your employees."

Jacobs suggests offering continuous education on safety issues with employees. Next he recommends setting up a process for continuously evaluating your workplace from a safety standpoint. "You need to make sure everyone from management to the entry-level employee is involved."

The most important approach to safety in the workplace is to always, "keep safety in mind," Smith says. "It's sort of like an exercise program. You only get the benefit if you actually do it, and you have to do it repeatedly over time."

Employers need to make sure employees truly know how to do their jobs safely. "Many times there is no safety training. Unfortunately, companies often learn the hard way," Smith says, "especially when there could be a loss of life that might have been prevented if safety requirements were followed more closely by everyone."

The data from injury costs studies shows hidden or not-accounted-for costs of an accident are at least as much as workers compensation or medical treatments, according to Smith. In other words, a $1,000 claim means there's another $1,000 in collateral damage.

"At the end of the day, safety should be viewed as a profit center," Smith says.

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