Safety and Health at Work

Safety and health at work is everyone’s concern. It’s good for you. It’s good for business.

The business case for safety and health at work :Cost–benefit analyses of interventions in small and medium-sized enterprises

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Why focus on small and medium-sized enterprises?

Small and medium-sized enterprises (SMEs) are the backbone of Europe’s economy They are responsible for 67 % of employment

Unfortunately, their workers are disproportionately likely to suffer as a result of poor occupational safety and health (OSH) 82 % of occupational injuries and 90 % of workplace fatalities happen in

SMEs

SMEs face particular challenges when it comes to OSH. An SME is likely to have more difficulties in resourcing and implementing a safety and health policy than a larger company


Looking at the business case for OSH

Profit alone is rarely a motive for implementing an OSH initiative

As well as looking after the employees, reputation and compliance with the law are bigger factors for businesses

SMEs tend to see OSH as a burden on operating costs

However, greater awareness of the link between improved OSH and higher productivity/cost savings could help to encourage SMEs to take action


The new case studies

For this reason, EU-OSHA worked with partners across Europe to develop 13 new case studies looking at OSH initiatives in SMEs

A business case was put together for each intervention, examining all the costs and benefits directly attributable to the changes made

This meant that they could be assessed from a purely financial point of view

11 of the 13 interventions studies were profitable by the end of the five-year period chosen for evaluation


Case study 1: The company and the issue

Statga, in Lithuania, manufactures office furniture

The company employs around 90 people

The workers complained that the ventilation system and respirators in use were inadequate

The company investigated and found that the workers faced occupational risks such as: inhalation of dust, fumes and metal particles injury to the face and eyes from metal particles


Case study 1: the intervention

The management and the workers worked together to solve the problem

Research was undertaken and various safety systems were tried out until a preferred option was found

Individual air cleaning and supply systems with face shields were the solution that was arrived at


Grinders (left) and painters (right) before and after the implementation of new system


Case study 1: The results

From a purely economic point of view: The new equipment saved money on spare parts and accessories An average annual saving of just over €450 per worker was achieved The payback period was one year.

Even without taking into account less direct or harder to calculate effects such as increased motivation and productivity and decreased sick leave, the initiative was financially beneficial

From an OSH perspective: The workers felt safer and more comfortable Morale improved The intervention was nominated for a national good practice award



Kwekerij de Lindenborg is a cucumber cultivation company in Breda, the Netherlands, employing 3 permanent workers and seasonal staff

Picking and processing cucumbers is physically demanding. Before the intervention, it involved: lifting and moving heavy containers adopting awkward postures performing repetitive movements

With workers getting older and the firm planning to expand, the owner, fearing an increase in musculoskeletal disorders among his employees, decided to tackle these issues, which lowered productivity and resulted in high rates of sickness absence


Case study 2: The intervention

The company worked with a supplier to develop a new system to make the work easier

Prototypes were tested and the old trolley system, which involved heavy work and awkward postures, was replaced

The new system eliminated much of the bending and lifting that had previously been required



From an economic point of view: Sick leave caused by work-related MSDs was reduced by 20 % Picking became 15 % more efficient Sorting became 5 % more efficient The investment was earned back in a little over four years Fewer cucumbers were damaged using the new system The intervention enabled the company to grow sustainably

From an OSH perspective: The work became less physically demanding Sustainable employability improved Employees reported feeling more comfortable during their work



HAW is a waste disposal company based in Nauen, Germany, with 143 employees

Slip and trip accidents occurred relatively frequently, especially during mounting and dismounting from vehicles

In 2009, the year before the intervention, there were 30 accidents resulting in workers reporting sick for between one day and 30 days


Case study 3: The intervention

Discussions of the accidents were introduced during the usual briefings

Photographs were presented during these meetings to illustrate the hazards involved

The company purchased better boots that provided more stability for workers



The costs of providing the training and new boots amounted to €4,500

The costs to the company of the accidents in 2009 were €48,039.17

They included costs incurred through stoppages, provision of first aid, accident reporting and analysis and reorganisation of work

In 2010 and the following years, the numbers of accidents went down by 20 %

The costs of the intervention were recovered back in 1.3 years


Conclusions from the new case studies

When all the costs and benefits are taken into account in a business case, OSH interventions are often shown to be highly profitable

Wide rangings scope interventions, transferable to a broad range of risks, appear to be more profitable than those tackling a highly specific problem

In general, interventions consisting mostly of training and organisational change tend to be particularly profitable

Further research on successful, widely applicable interventions would be of value

Documents

Safety and Health at Work