The Four Financial Reasons Why Contractors Need Safety

Owning or managing a construction company, chances are you have a lot on your mind, from hiring employees to managing projects to paying bills. One thing that probably isn’t top on your list is implementing safety policies and procedures. While no one would blame you for overlooking safety, that doesn’t mean it is a good idea. When you fail to put safety measures in place at your business, you run the risk of losing everything you have spent so many years to build. That’s because one on-the-job accident can end up costing you a tremendous amount of money, not to mention how costly it could be to one or more of your employees.

So how can you keep your jobsite safe when you know little to nothing about implementing safety procedures? While you may believe you cannot afford such an investment, here are some important reasons why you cannot afford NOT to:

1.  Even small injuries cost big money.
According to the Department of Labor, if an employee has a lost time accident on the job, the business owner can be facing nearly $100,000 in direct and indirect costs.

2.  Insurance doesn’t cover everything.
If you are counting on your insurance plan to pick up the tab, think again. Insurance carriers usually cover only a portion of the costs associated with on-the-job injuries.

3.  Worker compensation costs skyrocket after just one injury.
If you think worker compensation insurance is high now, just wait until you have an accident. Just one claim can cause a huge spike in your premium.

4.  Injuries hurt more than an individual.
A good reputation is something that takes years to build, but only seconds to destroy. When persons are injured at your site because you didn’t do what was necessary to keep them safe, you can bet people are going to question your judgement.

Perhaps most importantly — and  not on the list — is the fact that all of us in the construction industry have a moral obligation to protect ourselves and each other to ensure that anyone who sets foot on a jobsite, does so in the safest manner possible.

By Don Moen

Recommended Articles
Safety (articles and papers)


The importance of taking heart health seriously in the construction industry and steps that can be taken to minimize it.
Management (articles and papers)


Five rapidly growing types of financial fraud (and four quick and easy solutions)
Wisconsin Contractor Blog


Joint Employer Rule must be withdrawn or overturned