Holden Associates – Accountants & Business Advisers Blog

During the current economic downturn businesses across the UK are looking to cut their costs in any way possible. Trades unions and business groups have all warned that the recession cannot be a reason to cut back on health and safety.

Recently there has been a spate of significant health and safety cases, many of which have resulted in large settlements in favour of the employees.

There is concern that the financial pressures on companies brought on by the current downturn will result in a reduction of vital safety measures, and an increase in the number of accidents.

The Institute of Occupational Safety and Health ‘IOSH’, which represents 35,000 health and safety professionals worldwide, has stressed the importance of ensuring that safety standards are maintained during the recession, suggesting that the consequences of scrimping in this fundamentally important area are likely to be severe.

The IOSH was recently addressed by Lord McKenzie, a Department for Work and Pensions minister with responsibility for ‘Health and Safety at work’. Lord McKenzie stressed that economic pressures would not be considered a valid excuse by the Health & Safety Executive for slipping standards, saying: “There’s been little change in the injury and deaths rates over the last six years and we cannot allow the difficult economic circumstances to drive things back. Health and safety is not an optional extra”.

Health and safety can have an important impact on your company’s bottom line. Employees who feel safe are likely to work harder, more inclined to be productive knowing their employer is paying attention to their health and safety. As such, employers who continue to take proactive steps to improve working conditions are likely to be rewarded by a more productive, more efficient workforce.

It is important to note that every employer has a set of health and safety responsibilities that they have a legal obligation to fulfil. Remember, health and safety is not optional, it is a vital part of any business’s operation, and must form the bedrock of your management strategies.

As a business owner you must make sure that you are fulfilling your duties under health and safety law, and that you have sufficient employers’ liability insurance – another important legal responsibility.

Health and safety must continue to be a top priority for all businesses. While the recession has resulted in severe financial pressure for many companies, employees’ safety is a sacrosanct area that must not be the subject of dangerous cost cutting.