Recently, I received an email from “Ivan,” a young university graduate with a business degree and IT specialization. He and several friends from college established an IT service company in the Midwest, with an eye toward emulating “the relaxed work-should-be-fun image that many tech companies in Silicon Valley portray.”
“My father is a CPA,” Ivan wrote, “and tells me this would be risky and that no one talks about the fun factor’s share of work-related injuries while scaring away visiting clients. What is your recommendation? I think all employees need to enjoy their workday, and some horseplay is healthy. Thanks, Ivan.”
Sure, some horseplay at work is healthy, but a concussion isn’t. We’ve all seen images of a happy, playful workplace presented by tech companies — employees dashing around on Rollerblades, basketballs hurling through the air, an atmosphere more like an elementary school playground than a serious business enterprise. Indeed, more than one business writer has asked, “Where is the adult supervision? Doesn’t anyone among these young start-up CEOs care about workplace safety?”
I checked in with Marinor Ifurung, a senior human resources consultant with KDG Law in Southern California. “There are real consequences when a work environment invites accidents,” she said, “and that’s something HR consultants are critically aware of. Zooming around the office on Rollerblades — accidentally knocking a co-worker to the floor — or someone getting hit in the head by a basketball thrown by an employee encouraged to make the workplace a fun place predictably results in injury, medical costs, time off work and financial loss to the employer.”
She added, “HR is often faced with the human side — the emotional side — of workplace safety not being taken seriously, from mom-and-pops to the largest corporations. Often, it is the last thing newly formed companies spend much time” thinking about.
Ifurung and her colleagues Tiffany Cutler and AnduAlem Yohannes talked with me about the nuances of these issues.
Maintaining a safe work environment is legally required
Cutler: In all states, OSHA requires employers to have measures in place to establish a safe work environment: Work must be accomplished in a safe manner, the worksite itself must be a safe environment. What safe is, or what is required to meet that definition, is occupation-specific and often modified by various state laws.
It is one reason that anyone going into business who plans on hiring employees should obtain guidance from an employment lawyer or an HR consultant who works with new businesses.
So often, people who start their own businesses discover the hard way that safety violations are costly.
Yohannes: OSHA’s mantra, “A Safe Workplace is Sound Business,” recognizes that safety is an investment in an employer’s most valuable asset — its employees. Prevention of injury and illness is simply good business, and this requires a dedication of resources — not just to keep the business owner out of trouble — but to encourage a culture of safety on the job.
Glaring safety failures and consequences
Ifurung: One of the most disturbing situations we see are employers not carrying workers’ compensation insurance. Most people would think workers’ comp is a given, but you would be surprised at those who feel they don’t need it. The excuse is often, “We’re too small and don’t need it, but if we do, then we’ll get it.”
The consequences of their failure (or frugality or even lack of concern for their employees) can dwarf the cost of the insurance. They can include the employer being held personally responsible for the cost of medical care, including future treatment, lost wages, penalties into the thousands of dollars, and, in some cases, actually going to prison.
Also, a “stop order” may be issued in some states that prevents the company from functioning until it has obtained workers’ comp insurance.
Surprise safety visits by state or OSHA investigators who are looking for noncompliance issues often result in fines. Also, employees are encouraged to anonymously report safety violations to OSHA.
Lack of safety training and reporting
Ifurung: A lack of safety training is a well-documented factor in workers’ comp claims. Employees are told to “work safely,” but are not trained in how to use potentially dangerous equipment. Safety training should never be a “one-shot” deal; it should be continuous.
Cutler: Senior managers and line managers should have the same goals, and workers’ safety should be seen as mission-critical. Companies could develop reward systems, and then safety would become continuous, and people would not become complacent.
Yohannes: A clear policy for reporting injuries — or even closes calls — needs to be established so employees know what their obligations are and who they should go to. It is essential to make clear that there will be no retaliation or discrimination just because a worker reported a workplace injury or safety risk.
How to become informed of your obligations
How can entrepreneurs with no prior experience with workplace safety issues become informed?
Ifurung: There are many workplace safety consultants that provide training and facilitate compliance with safety regulations with the aim of reducing the risk of accidents and injuries. Most workers’ compensation insurance companies conduct seminars and free webinars. These resources have a large online presence, so that’s a good place to begin.
Concluding our discussion, she added, “Safety is everyone’s job. According to OSHA, 80% to 90% of serious injuries are caused by human error that can be prevented by giving site safety training. More than 99% of all accidents are preventable.”
Dennis Beaver practices law in Bakersfield, Calif., and welcomes comments and questions from readers, which may be faxed to (661) 323-7993, or e-mailed to Lagombeaver1@gmail.com. And be sure to visit dennisbeaver.com.
