Investing in safety can yield significant returns. Various studies have shown that for every $1 invested in workplace safety, a return between $2 –$6 will occur.
Increased accidents can lead to significant lost production time. Injured workers miss days of work, require ongoing medical treatment, and are often restricted in job duties by medical professionals.
Increased accidents result in a higher Experience Modification Rate (EMR) and increased insurance costs. The EMR is an indicator of how safe a company is operating and is used to calculate premium costs. The EMR is also a frequently used metric to separate safe companies and less safe companies from performing work for clients. Once an EMR is elevated to show a firm is unsafe in work practices, loss of work contracts is not unusual.