The cost of preventing industrial accidents
Managing workplace hazards is the surest method available to employers of preventing industrial accidents. Whether in a construction, factory or other industrial setting, all businesses in the UK have a duty to comply with health and safety legislation and regulations.
While the cost of complying with health and safety regulations can be expensive, failure to do so can be even more financially injurious as such lapses may result in punitive fines, irrevocable loss of reputation, serious injury in accidents and the consequent payout of large sums of compensation.
The cost of compliance is most starkly revealed in a study by ENTEC UK which was carried out at the behest of the Health and Safety Executive. Its findings make for interesting reading.
Easily the most worrying issue raised by the study was the cost of compliance to small companies, with the cost working out at 7.5 times more than that incurred by larger organisations.
When taking a very brief look at the figures, they appear to make sense; the disproportionate cost incurred by small companies only emerges later. The following is a summary of the yearly health and safety spending by organisations based on their size:
- Small companies (those with less than 50 employees): around £4,000.
- Medium sized companies (those with between 50 and 249 employees): £27,000.
- Large companies (those with workforces of between 250 and 4999): £430,000.
- Very large companies (5000 and more employees): £630,000.
It is the when the cost of health and safety compliance is analysed on a per worker basis that the disparity becomes clear. Small and medium sized companies pay around £160 per worker to meet the obligations of health and safety compliance, compared to the relatively low cost of £20 per worker incurred by large and very large organisations.
This disparity is most acute in the area of Manual Handling Regulations compliance, where the cost to small companies is 66 times higher than for larger companies. Compliance with the Noise at Work Regulations is another concern, with the cost to small companies estimated to be 25 higher than for larger ones. Many smaller organisations also reported having difficulties in meeting the costs of valuable health and safety equipment.
The fact that training accounted for more expenditure than anything else may indicate why the cost is cheaper to larger organisations, as their centralised structure and processes mean that it is easier for them to reduce expenditure by training and educating en masse.
Fortunately though, cynicism about the efficacy of the health and safety system was much less widespread among employers than many would have anticipated. 60% believed that the benefits outweigh the costs, with only 3% saying they though the costs out outweigh the benefits.
Making a no win, no fee claim for injuries suffered in an industrial accident
The first priorities of all employers should be to protect the health and safety of the public and their workforces.
Failure to meet basic safety standards is considered a breach of duty and can result in fines, payments of compensation and sometimes even criminal prosecution.
If you believe that your injury could be attributable to similar failures by your employer, you may be entitled to receive industrial accident compensation.
YouClaim's no win, no fee solicitors are among the very best working in the UK, as exemplified by their excellent success rate and membership of the Solicitors Regulation Authority.
Win or lose, their services will never cost you a penny in legal fees, and our no-cut commitment delivers all our winning clients 100% of the compensation awarded them.
If you would like to find out more about how we might be able to bring our expertise to your industrial accident claim, fill out an online claim form, have an echat or simply call us on free-phone 0800 10 757 95.
