Does a Safe Culture Save Money? You Bet!

TPM-SafetyFirstAlways2_1-30-13At TP Mechanical, safety is more than an item to check off our work list. Safety is part of our DNA. That’s because we value the health and well-being of everyone on our job sites. Safety First, Always First are words we truly live and work by.

While safety is important for our personnel first and foremost, it does have a significant impact on other areas of the business. United States businesses spend $170 billion a year due to work injuries and illnesses — expenses that come directly out of company profits. Having defined, effective safety and health management processes can reduce injury and illness costs by 20 to 40 percent.1

Improves productivity

Having a safe workplace also improves employee productivity and morale. Satisfied employees produce at a higher level and return to work more quickly after minor injuries or illnesses. The costs of a serious or fatal on-the-job injury are damaging: Psychological stress from an accident may require long-term counseling, and some co-workers may not be able to return to work for a significant period of time. Locating and training replacement workers takes time and decreases productivity.

Reduces workers’ compensation costs and avoids OSHA penalties

Employers and their insurers pay more than $40 billion each year in workers’ compensation, or almost $500 per covered employee.2 Businesses can partner with OSHA to reduce the costs of workers’ compensation and OSHA penalties resulting from workplace injuries and illnesses. These programs include:

  • OSHA Voluntary Protection Programs (VPP): Businesses that work with VPP have 50 percent fewer lost workday injuries than the average for their industry and incidence rates 50 percent below the national average. Companies have saved more than $1 billion partnering with VPP.1 In 2003, TP Mechanical became the first mechanical contractor in the U.S. to obtain VPP status.
  • OSHA Safety and Health Achievement Recognition Program (SHARP): Small businesses can participate in this program to save companies substantial amount of money. OSHA strategic partnerships and alliances help promote workplace safety and health.

Maintaining a safe workplace is especially important for cost savings in 2016. As part of the Federal Civil Penalties Inflation Adjustment Improvements Act of 2015, OSHA is increasing fines for the first time in 25 years.

To learn more about how TP Mechanical puts safety first, visit TP Mechanical Safety.

1 Occupational Safety & Health Administration

2 American Society of Safety Engineers

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s