- A 2012 study concluded that inspections conducted by California's Division of Occupational Safety and Health (Cal/OSHA) reduce injuries with no job loss. The study showed a 9.4% drop in injury claims and a 26% average savings on workers' compensation costs in the four years after a Cal/OSHA inspection compared to a similar set of uninspected workplaces. On average, inspected firms saved an estimated $355,000 in injury claims and compensation paid for lost work over that period. There was no evidence that these improvements came at the expense of employment, sales, credit rating, or firm survival.
Source: David Levine, Michael Toffel, and Michael Johnson, "Randomized Government Safety Inspections Reduce Worker Injuries with No Detectable Job Loss." Science, Vol. 336, No. 6083, pp. 907-911 (May 18, 2012). See Abstract and Press Release.
- The total estimated national costs of occupational injuries and illnesses among civilians in the United States in 2007 were approximately $250 billion. The costs of injuries were approximately $192 billion and the costs of illnesses were approximately $58 billion.
Source: J. Paul Leigh, "Economic Burden of Occupational Injury and Illness in the United States." [PDF*- 611 KB] Milbank Quarterly, Vol. 89, Issue 4, p. 728 (Dec. 2011).
- According to the 2012 Liberty Mutual Workplace Safety Index, the most disabling workplace injuries and illnesses amounted to more than $50 billion in direct U.S. workers' compensation costs in 2010.
Source: 2012 Liberty Mutual Workplace Safety Index [PDF* - 848 KB, 2 pages]. Liberty Mutual Insurance Company, (2012).
- Companies that did not adequately manage workplace safety and health performed worse
financially than those who did from November 2004 to October 2007. Investors could have
increased their returns during this period had they accounted for workplace safety and health
performance in their investment strategy.
Source: Goldman Sachs JBWere Finds Valuation Links in Workplace Safety and Health Data [PDF*- 83 KB]. Goldman Sachs JBWere Group, (2007, October).
- There is a direct positive correlation between investment in safety, health, and
environmental performance and its subsequent return on investment.
Source: White Paper on Return on Safety Investment. American Society of Safety Engineers (ASSE), (2002, June).
- Over 60 percent of chief financial officers in one survey reported that each $1
invested in injury prevention returns $2 or more. Over 40 percent of chief
financial officers cited productivity as the top benefit of an effective
workplace safety program.
Source: Chief Financial Officer Survey. Liberty Mutual Insurance Company, (2005).
- A forest products company saved over $1 million in workers' compensation and other costs from 2001
to 2006 by investing approximately $50,000 in safety improvements and employee training costs. The
company has participated in OSHA's Safety and Health Achievement Recognition Program (SHARP) since
Source: Anthony Forest Products. OSHA Small Business Success Stories, (2007, February).
- The average worksite in OSHA's Voluntary Protection
Programs (VPP) has a Days Away Restricted or Transferred (DART) case rate of 52%
below the average for its industry. Fewer injuries and illnesses mean greater
profits as workers' compensation premiums and other costs plummet. Entire
industries benefit as VPP sites evolve into models of excellence and influence
Source: Voluntary Protection Programs (VPP). OSHA.
- Some of the companies that participated in an OSHA Strategic Partnership
to address ergonomic issues in foundries in Wisconsin have seen significant
reductions in injury and illness rates. These reductions have led to a decrease
in workers' compensation claims and associated costs.
Source: Foundry Ergonomics Partnership. OSHA Strategic Partnership Program Success Stories, (2005, January).
- An OSHA Strategic Partnership covering construction of a power plant in Wisconsin resulted in injury
and illness rates significantly below the construction industry rates in Wisconsin. In 2006,
employees worked over 1.7 million man hours at the site with zero fatalities. The 2006 Total Case
Incident Rate (TCIR) was 69 percent below the Wisconsin average and the 2006 Days Away, Restricted,
Time Away (DART) rate for the site was 75 percent below the Wisconsin average.
Source: Weston 4 Power Plant Construction. OSHA Strategic Partnership Program Success Stories, (2007, February).
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