Need for safety

1. Cost Saving: Two type  of costs  are incurred by the management  when an accident  occurs. There are the  direct  costs in the  form  of compensation payable to  dependents  of he victim  if the accident  is fatal and medical  expenses  incurred in treating  the patient if the accident  is non fatal. The management, however is not  liable to meet  the direct costs if the victim is  insured under  the ESI scheme. When  the victim  is uninsured, condensation  and medical  expenses  are the  responsibility of the  management. Here is the  cost  of risk  management  which  he management  must  bear.

More  serious  than the  direct  costs  are  the direct of hidden costs  which he  management  cannot  avoid.  In fact the  indirect costs  are three  to four  times  higher  than the  direct  costs. Hidden  costs  includes  loss on  account of down time  of operators, slowed up production  rate  of other workers  materials spoiled and labor  for cleaning  and damages to equipment.

2. Increases Productivity: Safety  plant are efficient  plans. To  a large  extent, safety promotes  productivity. Employees in safe plants can devote more time  to  improving  the quality and quantity of  their  output and spend  less  time  worrying about  their  safety  and well  being.

3. Moral: Safety  is important  on human  grounds too. Managers must  undertake accident  prevention measures  to minimize   he  pain  and suffering the injured worker and his her family are  often exposed  to as  a result  of the accident. An employee is a worker in the  factory and  the  bread  winner  for his her family.  The happiness of his her  family  depends  upon  the  health and  well being  of he worker.

4. Legal: There are legal  reasons too for  undertaking  safety measures there are laws covering  occupational health and safety and penalties  for non  compliance  have been  quite  severe, the  responsibility extends to the safety  and health  of the surrounding community too.