SAFETY AND HEALTH MANAGEMENT

1. SAFETY AND HEALTH MANAGEMENT

2. DEFINITIONS • Safety: The state of being relatively free from harm, danger, injury or damage. • Hazard:A condition with the potential of causing or contributing to an accident or illness.

3. OCCUPATIONAL SAFETY AND HEALTH (S&H) • The area of science and technology that deals with the identification and control of environmental and personal hazards in the workplace. • These hazards can result in accidents, injuries and illnesses, acute or chronic exposures.

4. UNIQUE FACTORS IN CONSTRUCTION AFFECTING S&H • Large but diverse and fragmented industry • Every job is unique with numerous complex tasks • Labor intensive work involving large forces • Transient workforce which is difficult to train • Complex contractual arrangements leading to multi-employer projects

5. WHY IMPROVE SAFETY? • Humanitarian and ethical concerns • Legal and regulatory concerns • Institutional / image concerns • Economic impact

6. HOW SAFETY SAVES MONEY • Economic impacts • Direct and indirect accident costs • Workers compensation and EMR • Accident cost accounting

7. ECONOMIC IMPACTS OF S&H Myth: There is a trade-off between safety and cost and productivity Truth: Safety saves money

8. COSTS ASSOCIATED WITH S&H • Direct (insured) costs of accidents, injuries and illnesses • Indirect (hidden) costs – uninsured • Costs associated with company s&h programs Resource allocations for: - Safety director/coordinator - Equipment and supplies - Time (meetings, inspections, etc.)

9. DIRECT COSTS • Workers compensation insurance premiums paid by contractor (mainly for medical bills) • Liability insurance costs • Property related insurance costs.

10. WORKERS COMPENSATION • A no fault insurance paid by the employer as a benefit to the employee WC PREMIUM = MANUAL RATE x EMR • Manual rate is based on type of work, and is expressed in dollars per $100 of payroll (constant for all contractors doing similar type of work in a given state).

11. EXPERIENCE MODIFICATION RATIO (EMR) • EMR depends on contractor’s s&h record and directly impacts premium. Poor s&h : EMR > 1.0 (surcharge) Average s&h : EMR = 1.0 Good s&h : EMR < 1.0 (savings)

12. INDIRECT (HIDDEN) COSTS • Transportation for first aid/medical treatment • Delays resulting from accident • Wages paid to injured worker for time not worked • Loss of crew efficiency • Training new/substitute worker. • Clean-up, equip. repair, stand-by • Rescheduling work • Post accident extra safety supervision • OSHA and civil fines • Legal fees • Cost of administrative time for investigations and reports.

13. S&H LEGISLATION • Bureau of Labor Standards (1934) - first agency with a mandate to promote s&h • Social security act (1935) • Walsh-Healy act (1935) • McNamara - O’Hara act (1966) • Construction safety act (1969) • Coal mine h&s act (1969) • OSH act (1970) - landmark legislation

14. BASIC AIM OF THE OSH ACT To ensure, so far as possible, every working person safe and healthful conditions in the workplace, which must be free from recognized hazards likely to cause death or serious physical harm • Applicable to all employers • Records of illness/injury must be kept by employers with more than ten employees • Not applicable to self-employed and work places covered by other federal agencies

15. AGENCIES OF THE OSH ACT • OSHA (Dept. of labor) - Establish standards and regulations - Enforce the standards and regulations - Provide support to employers • NIOSH (Dept. of health & hum. serv.) • Perform research and education • Develop data, criteria and standards • Serve as a resource to industry • OSHRC (Independent) - Settle disputes between osha and employers.

16. ROLE OF THE STATES • Under the federal OSH Act, each state could have its own OSH Act, as long as it is at least as strict; or it could recognize federal OSHA as the enforcement agency.

17. OSHA STANDARDS • 29 CFR PART 1926 (s&h standards for construction industry) • 29 CFR PART 1910 (s&h standards for general industry) • www.osha.gov

18. OBJECTIVE OF S & H MANAGEMENT • Minimize losses • Avoid injuries • Avoid OSHA fines • Avoid litigation • Development and implementation of a s&h program is key to good management.

19. S&H PROGRAMS S&H programs can be: • corporate level • project level • applicable to owner, designer, contractor • involves planning, decisions, actions, evaluation (on-going).

20. ELEMENTS OF S&H PROGRAMS • Top management commitment • Goal setting and planning • Organization & administration • Project safety rules • Substance abuse program • Emergency management • Safety orientation & training • Accident investigation & recordkeeping • Safety budget • Safety in contracts • Safety program evaluation • TQM integration.

21. ROLES AND RESPONSIBILITIES • OWNER • Establish and implement safe contractor selection criteria • Review and audit contractor’s safety programs • Implement safety incentive programs • DESIGNER • Incorporate safety to planning and design • Consider worker safety issues in the context of project design • Site concerns for own employees.

22. ROLES AND RESPONSIBILITIES (cont.) • CONTRACTOR / SUBCONTRACTOR • Establish and supervise s&h program • Designate safety professional and personnel to coordinate s&h program • Provide resources for s&h program • Establish and supervise safety orientation and training • Evaluate s&h program • Establish safety criteria for selection of subcontractors.

23. SUMMARY • Accidents can be tragic and costly • Safety and health programs prevent injuries and fatalities, and save money • Effective program organization and implementation will help achieve OSHA compliance and lead to success at corporate and project levels.