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What is Workplace Safety Compliance?

  • Author :
  • TATA AIG Team
  • Last Updated On :
  • 17/09/2024
  • 2 min read

According to an IiAS study, there is a strong link between effective health and safety training and lowered workplace injuries and fatalities. This highlights the importance of prioritising corporate safety compliance and training to foster a safer and healthier work environment.

Depending on the nature of work, there are likely to be strict safety regulations that could apply to a specific industry. However, compliance with safe working practices goes beyond meeting legal obligations; it involves a proactive commitment to create a culture of safety.

Let’s understand everything there is to know about workplace health and safety compliance.

Workplace Safety: Definition and Importance

Workplace safety compliance consists of laws, guidelines and protocols that businesses and industries are expected to adhere to ensure the safety of their employees and customers. It is imperative for organisations and industries of all sizes to abide by these rules to maintain a safe and healthy environment.

There are several benefits when businesses ensure compliance with safe working practices. These include:

  • Protecting employees from being involved in workplace-related accidents, injuries, illnesses and fatalities. This also acts as a cost-benefit because businesses don’t need to pay for medical expenses, workers’ compensation, etc., and indirect costs such as lost productivity and decreased morale can also be avoided.

  • Ensuring compliance with regulatory bodies

  • Helping businesses attract and retain talent, thereby creating a competitive advantage in the marketplace

  • Reduced risk of long-term health concerns for employees. The workforce feels valued and appreciated which in turn improves their performance.

In summary, when workplace safety is prioritised, it improves operational efficiency, reduces costs, and fosters an engaged and more productive workforce which is crucial for the growth and success of any organisation.

Regulatory Bodies Overlooking Industrial Safety Compliance

The regulatory bodies in India play an important role in overseeing industrial safety compliance across diverse sectors. The National Safety Council (NSC) and the Directorate General of Mines Safety (DGMS) are the two key organisations that set and enforce safety standards to protect the workforce and ensure a safe work environment.

Amongst key regulations, the Factories Act of 1948 is pivotal in governing workplace safety. Its enforcement is carried out by state-level factories that are responsible for designing regulations, conducting routine safety inspections and addressing concerns with regard to non-compliance.

They ensure that organisations are following the safety practices, offer guidance where required, and ascertain whether the industry operates within legal safety guidelines.

A recent development to the laws regarding workplace safety is the Occupational Safety, Health, and Working Conditions Code, 2020 (OSH code). This Act replaced the former 13 labour laws mandating a practice for organisations to establish safety protocols.

As safety standards are enforced by laws and regulatory bodies, workplace accidents are reduced and health risks mitigated to create a safe work environment. In addition to securing the well-being of the employees, they also promote fair and consistent safety practices improving safety in industries across India.

Workplace Health and Safety Compliance in India: The Responsibility of the Employer vs. the Employee

The OSH code outlines the duties of the employees and the employers to ensure a safe work environment. Shared responsibility is imperative for ensuring a healthier and more productive workplace where accidents are minimised.

Employer Duties:

It is the responsibility of the employer to ensure that the workplace is free from hazards and that it adheres to the directives outlined by the government and the OSH code.

For a particular class of employees (who are engaged in hazardous processes or work), the employer must provide free annual health examinations and testing.

Organisations are expected to maintain a work environment that is free from any risk to the health of the employees.

Organisations are also required to ensure that employees are not charged for maintaining health and safety at the workplace.

Employee Duties:

  • Employees must take reasonable care to ensure their own health and well-being as well as that of their colleagues.

  • Workers are expected to follow the health and safety guidelines.

  • Employees must cooperate with their employers to ensure that the statutory obligations are met.

  • Employees need to immediately notify the employer or a designated safety officer of any hazards or unsafe working conditions.

  • Employees must make sure that they don’t perform any task that poses a danger to themselves or to other workers.

By following the aforementioned guidelines for corporate safety compliance, employees and employers can collaboratively ensure a secure working environment.

Key Elements of Workplace Safety Compliance

Organisations must establish effective programs to ensure compliance with safety in the workplace. The primary components of these programs are as follows:

Policies: Policies are guidelines that highlight a company’s approach toward safety compliance. In addition to outlining responsibilities, they also show the ramifications of non-compliance. It is important that the policies are clear and easily accessible to employees.

Procedures: Procedures are detailed instructions that explain how to perform certain tasks in a safe manner. It acts as a guide to show employees how they can prevent accidents and injuries. It is important that the procedures are reviewed and updated at regular intervals.

Training: A prominent component of safety is employee awareness through effective training programs. These can equip the employees with relevant knowledge on how to perform their jobs safely and what should be done during emergencies.

Training programs should cover a range of topics, including first aid compliance in the workplace, PPE compliance in the workplace, risk identification, incident reporting, etc.

The Benefits of Corporate Safety Compliance for Businesses and Employees

Compliance with safety protocols is not only beneficial for employees but also offers several benefits to employers. These include:

Improves Morale and Productivity: A key advantage of safety in the workplace is that it improves the morale of the workforce when they are not anxious about dangers in the work environment.

When employees know that the company cares for them, they are more loyal to the organisation, and their job satisfaction and productivity improves.

Reduced Risk of Workmen Compensation: In the event of a worker sustaining an injury (at the workplace), the employer will be required to offer them a leave of absence and hire a replacement. Additionally, businesses are morally and legally obligated to compensate for the medical expenses incurred.

Cost Saving: When safety is prioritised in a workplace, companies are able to mitigate the cost of accidents and reduce the risks of fines and other legal penalties.

Despite these practices, if an accident does occur, the organisation can still prove that all the safety protocols were in place during the event and avoid penalisation.

Improved Reputation: Companies that prioritise safety benefit from an improved reputation. This helps them attract top talent and gives them a competitive edge in the marketplace.

Enhanced ROI: In addition to reduced fines and penalties, companies can ensure improved ROI with better image and employee productivity.

Why Should You Invest in Workmen’s Compensation Insurance Policy?

There are several instances where, despite adherence to safety protocols, accidents have occurred. The severity of the accidents can lead to injuries, disabilities and even fatalities. To assist with the financial impact of these unfortunate eventualities, a workmen's compensation policy becomes important.

The worker’s comp policy is designed to provide financial aid to employees who have been injured at the workplace. Here are some of the key reasons why organisations must invest in a workmen’s compensation policy:

Under a workmen’s compensation insurance policy, the financial obligations of the employer are taken care of by the insurance provider.

Under the Workmen’s Compensation Act of 1923, in addition to financial compensation, workers comp policy also provides aid to assist employers with their legal obligations.

Finally, the workmen’s compensation policy ensures that the employee receives appropriate medical care and compensation for the loss of their income owing to the accident. Not only does this support the injured worker but also secures the organisation from potential financial strain and legal obligations.

Wrapping Up

Ensuring a safe and healthy work environment extends beyond policies and procedures. Yet, strong foundational guidelines such as first aid compliance in the workplace and PPE compliance in the workplace ensure that emergency care practices are in place to mitigate severe accidents.

A robust workmen’s compensation insurance policy complements these efforts by securing the employees and the employers from the financial ramifications of workplace accidents. Small- and medium-sized enterprises can incorporate these elements alongside their SME insurance that not only offers essential coverage but also affords peace of mind.

By combining safety practices with insurance solutions from a provider like TATA AIG, organisations can comply with legal requirements while demonstrating a commitment to the health and well-being of their workforce.

Frequently Asked Questions

What are the primary regulations that oversee workplace safety in India?

Some of the key regulations that govern compliance with safe working practices in India include the Factories Act, of 1948, the Mines Act, of 1952 and the OSH Code, of 2020, among others.

What is a workmen’s compensation insurance policy?

A workers comp policy acts as a financial safety net by providing medical benefits (on behalf of the employer) to employees who sustain illnesses and injuries at the workplace.

What can employees do to contribute to workplace safety?

The most important thing for employees is to adhere to the safety guidelines by taking care of themselves as well as their colleagues.

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