Whenever I read an article like this, it brings home the important of safety eyewear, not just in the workplace. In sports, at home, at school, it is so important because it cost thousands of dollars. This is wonderful information to share with your followers, not just your patients.
When there’s a workplace accident, sales feels the pain.
The true cost of a workplace injury is like the proverbial iceberg. So much of it is hidden below injury claim the surface. It’s not just the expenses directly associated with the injured worker. We talked about it in our last issue: there’s the lost time and productivity of other workers and supervisors, new hires, retraining, dissatisfied customers, lost sales and the like. The real cost? An injury of $1000 in direct expenses could actually cost as much as $5000.
Those hidden costs are definitely not paid for by insurance. Covering them comes down to increasing your revenues or settling for smaller profits. How much are we talking about? Let’s do the math. If the full cost of an accident is $5,000, and your company’s profit margin is 4 percent, you need to bring in $125,000 in sales to cover it. If you operate on smaller margins, the squeeze is even tighter. Just a $1,000 accident requires $33,000 sales increase if your profit margin is 3 percent.
How much is safety worth? Plenty!
Investing in safety protects your profits. It’s that simple. When you think about your business balance sheet, shift you safety efforts from “cost” to “asset.” Reduce injuries and the associated costs by assessments, training, proper PPE, and follow-through. You’ll see the positive impact on the bottom line.