Job Killer? Try Bottom Line Booster: Workplace Safety Inspections Save Money, Jobs, Limbs [View all]

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http://blogs.scientificamerican.com/observations/2012/05/17/job-killer-try-bottom-line-booster-workplace-safety-inspections-save-money-jobs-limbs/




Costly safety upgrades, nitpicky government inspection and resulting fines are often blamed as being bad for business. But a new study shows that when government job-safety inspectors make a surprise visit, they actually enable companies to save money—and jobs—for years to come.

Occupational safety has improved immensely over the decades, but in industries with traditionally high injury rates, such as manufacturing, lumber or food processing, work is still dangerous, putting employees at risk and leaving employers vulnerable to expensive accidents. But how much can just one safety inspection help?

Quite a bit, the new analysis suggests: Just one inspection saved companies 26 percent on workers compensation claims over five years.

Of 818 companies with more than 10 employees, the 409 that were randomly selected for inspections saved an average of $355,000 over five years in worker injury claims and compensation at each firm, compared with the other 409 similar companies that were not inspected.