Background:
DynMcDermott Petroleum Operations Company (DM) is a synergetic corporation
formed by four private companies: DynCorp, based in Reston, Virginia which was
later bought by Computer Sciences Corporation (CSC) in 2003; International Matex
Tank and Terminals (IMTT) located in New Orleans, Louisiana; McDermott
International located in Houston, TX; and Jacobs Engineering with Offices in
Baton Rouge, Louisiana and Houston, Texas. DM was created to provide operating
services and management to the U.S. Department of Energy (DOE) on the Strategic
Petroleum Reserve (SPR) project. The SPR was established by the Energy Policy
and Conservation Act of 1975 as a result of the 1973 Arab oil embargo.
In 1999, DM began the application process for approval into OSHA’s Voluntary
Protection Programs (VPP). DM viewed achieving VPP as a means for attaining a
competitive advantage in the oil and gas industry, developing a superior safety
and health management system (SHMS), and showing how a focus on environmental
safety could be the driving force behind achieving exemplary safety and health.
DM also set goals of increasing employee involvement and morale to improve
overall company performance. In 2000, three DM sites achieved VPP Star level
status, and another DM site achieved VPP Star level status in April 2001 (all
have since been renewed).
Success Impact:
DynMcDermott Consistently Reports Days Away, Restricted or Transferred
(DART) Rate and Total Case Incident Rate (TCIR) Well Below BLS National Average
Since 2001, DM’s injury and illness rates have consistently been below the
Bureau of Labor Statistics’ (BLS) national average for this industry. The
company’s Total Case Incident Rate (TCIR) three-year average between 2001 and
2003 was 1.49 which was 81 percent below the 2004 BLS 2004 national average. The
company’s three-year average Days Away, Restricted or Transferred (DART) rate
between 2001 and 2003 was 0.44 which was 92 percent below the 2004 BLS national
average.
The company’s TCIR three-year average between 2004 and 2006 was 1.13 (lower than
their previous three-year average) which was 83 percent below the 2005 BLS
national average. The company’s three-year average DART rate for this timeframe
was 0.67 which was 86 percent below the 2005 BLS national average. The below
table presents DM’s TCIR and DART rates beginning in 2001 through 2006.
DynMcDermott Decreases Workers’ Compensation Costs and Shares Profits with
Employees
DM believes that not only is having an effective SHMS the right thing to do in
terms of protecting the safety and health of its employees, but it is also the
company’s best financial policy. Since 1999, when the company began its process
towards achieving VPP approval and recognition, its workers’ compensation costs
have decreased 96 percent. These savings are not only reflected in terms of
overall profitability for the company, but are also shared with employees. These
profits are shared with employees who remain vigilant in pursuing safety and
health at work in the form of performance bonuses.
| Year |
TCIR |
DART |
| 2001 |
1.14 |
0.33 |
| 2002 |
1.70 |
0.52 |
2003
199 |
1.62 |
0.46 |
| DM’s 3-Year Average |
1.49 |
0.44 |
| BLS National Average (2004) |
7.8 |
5.5 |
| Year |
TCIR |
DART |
| 2004 |
1.17 |
0.59 |
| 2005 |
1.19 |
0.39 |
2006
199 |
1.02 |
1.02 |
| DM’s 3-Year Average |
1.13 |
0.67 |
| BLS National Average (2005) |
6.6 |
4.7 |
Origin: Region VI, Baton Rouge Area Office
Entered VPP: In 2000, three DM sites achieved VPP Star
Status; in 2001, one site April achieved VPP Star Status (all have since been
renewed)
Industry: Oil and Gas (NAICS Code 324110)
Employer: 1
Employees: 554
Source and Date: Region VI, Baton Rouge Area Office (April 2007)
DynMcDermott Petroleum Operations Company celebrates after receiving OSHA VPP Star status

Workers at DynMcDermott Petroleum Operations Company wearing Personal Protective Equipment (PPE)
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