Barbie From The Kelly Family

friend and Safety: Cost-benefit or cost-COST?

Although there is a general conceptual relationship between the Safety and Health at Work, and economic performance, it is sometimes difficult to discern the true relationship in quantitative and qualitative. To understand the relationship they have, is necessary to consider the costs of preventing accidents and occupational diseases. These costs are relatively small, but they highlight the interest of a joint health and safety, and is the cause of these two types of consequences: COST-BENEFIT-COST or COST.

For the correct operation of a business, and consequently their profit, there setter, one of them is the worker. This, according to their work environment, may suffer disorders, diseases and accidents. Occupational diseases and industrial accidents can generate costs for different individuals or groups and these will obviously increase the costs of any activity producer.

A company must make profits to continue operating, then this is where we have to ask how important are safety and hygiene. By a proper assessment of the costs of occupational accidents and diseases, management can see that, rather than an expense, from a financial standpoint, a program of hygiene and adequate and efficient security favorably affects the benefits and is actually an investment because it saves money paying off utilities.

In reality we find two types of costs relating to Health and Safety: direct costs and indirect or hidden costs that an accident results. Indirect costs, as statistics, they can be four to ten times higher than direct costs. These indirect costs are not covered by the ART, are economical but difficult to measure directly affect business productivity. Let's see what can be:


· Cost of time spent on first aid and other uninsured medical costs

Repaired machines

To train the new worker

· Expenses extra for overtime work due to production delays caused by the accident

· Payment of fines

• Time spent by supervisors and managers while helping the injured, it investigates the causes of the accident, prepare reports and arrange repairs, cleaning and restoration of production processes, etc..


This will include:

¯ costs of pain and suffering of the worker

¯ costs associated psychosocial sequelae or disability

• The social isolation

· The family conflicts and disturbances common functions and daily activities that are considered intangible costs but have great importance and that make us wonder if human life has a monetary value.


We can say without doubt that the diseases and accidents, and costs are due, among other things, poor management on Safety and Health. Hence the difference between the cost-benefit or cost-COST.

If the company has good management of the Health and Safety Service can optimize its operation, and therefore their profits. In addition, another point, and most important of all: the benefits of better working conditions beyond the absence of occupational diseases or accidents, the greater job satisfaction, wellbeing at work, social welfare and increased healthy life expectancy provide additional benefits, for which there is no method of cost allocation.
Now, you as a company, choose which connection you prefer: COST-BENEFIT-COST or COST.



Source: María Belén Podesta, for the series Protecting Workers' Health - World Health Organization (WHO). GROUP OP Argentina


CALIDATOS Published 71 - http://www.rocha.com.ar/calidatos/71/calidatos71.htm

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Editor Responsible: Ana María Romero - any@rochanet.com.ar