Running a business well goes beyond winning on the sales and profitability front. Of course, you must do your best to serve your customers and satisfy them. Employee satisfaction and happiness are equally crucial. But it takes more than high salaries, excellent benefits, and engagement factors to match employee expectations. You have to cover all fronts, including workplace safety. In fact, it matters even more in the new normal when employees see it as a crucial element of the employer’s brand. Businesses must go the extra mile with safety because mishaps have far-reaching implications. Here are the ones every business owner must understand.
Medical Expenses
When an employee sustains an injury at the workplace, the employee is responsible for their treatment. You need not worry much if the injuries are minor as they will probably have minimal financial consequences. But the expense can be massive if the injured person requires complicated medical treatment, surgeries, and hospital bills to address the injury. A lasting one is even more expensive as medical bills may continue to add up for months or even years. Expect them to run in thousands if the victim requires rehab and therapy for recovery.
Worker’s Compensation
Workers’ compensation is perhaps the most daunting financial implication of workplace injuries. An injured employee is legally generally entitled to financial compensation after an injury at the workplace or during the course of duty. Typically, it includes medical bills, lost income, damages, and losses. Experts at Quittance Legal Services recommend prioritizing safety so that you can steer clear of such claims and lawsuits in the long run. The last thing you want to deal with as a business owner is a lawsuit because it is expensive, time-consuming, and stressful.
Loss of Productivity
Workplace injuries can also open the risk of loss of productivity, which can be a massive expense for your business down the line. The injured worker has to go off work until recovery and may not reach the same level of productivity even on returning. But it is only a part of the bog picture. A workplace mishap can hit the productivity of your entire team because they lose confidence and worry about accidents in the future. A loss of morale is another reason they may get less productive at work. You can well imagine how much it can cost your business.
Replacement Costs
Accidents may lead to business disruption as one or more employees have to take leave from work. The only way to get back to the usual is by hiring temporary workers to replace the victims. You may have to retain these temp workers even when the injured employees return with limited potential. Hiring, training, and retaining temp staff can burn a hole in your budget, so you must be prepared for the financial impact of workplace injuries. Other costs like property damage and repair expenses can also increase the bill.
Besides these visible costs, workplace injuries can affect your reputation, both as an employer and business owner. The best way to avoid these painful expenses is by investing in employee safety and preventing mishaps in the first place.
