1. Medical and rehabilitation
If you have too many accidents, your COID tariff can be increased and the Compensation Commissioner may not pay. This means that you will be liable to pay for medical costs out of your own pocket!
2. Pensions and other payments
If your employee is incapacitated, you might have to pay out a large lump sum of money and put him/her on an early pension.
You may have to pay an injured employee while he/she is recovering. Also, you may have to pay a temporary employee who is filling the injured employee's position.
4. Death benefits
You will have to pay death benefits to your employee's dependants if he/she dies because of an accident.
5. Long-term disability
If your employee is off work for a long time due to an accident, you may still have to pay him/her.
6. Legal fees
If the DoL takes you to court for the accident, you may have to pay a huge amount of money on top of paying for legal representatives.
7. Penalties and fines
The Dol can fine you for allowing the accident to happen.
You may have to pay large settlements.
9. Union grievances
Your union members may go on strike because of an accident.
10. Product replacement
If equipment is damaged during an accident, you will have to replace it.
11. Ambulance costs
If an employee is injured, you can end up paying for the ambulance costs for transporting the injured employee to the hospital.
12. Investigators time
You will have to carry out an accident investigation. This could affect production as well as down-time.
Avoid making the biggest mistake employers make when conducting their incident investigations
If you miss just one point in your incident investigation, COID will deny your compensation claim.
And worse, if the DoL asks for your report, and you can't give him one, you'll be facing criminal prosecution too.
So don't take chances. Make sure you and your investigation team knows how to properly investigate all accident and incidents at your workplace.
13. Cleanup and salvage
After the accident, you will have to spend resources such as time and money in cleaning up and attempting to salvage as much as you can in trying to reduce the cost.
14. Repairs, replacing, renting equipment
If machinery is damaged, you will have to pay for repairs. You might have to completely replace the equipment. You might even have to temporarily rent equipment until purchasing new machinery which will add a bigger dent to your pocket.
15. Decreased efficiency of replacements
A replacement may not be as experienced as your injured employee. This could lead to a decrease in efficiency.
If employees have to work overtime
in order to even out production due to an accident, you will have to pay overtime
. Also, employees may become very unhappy because of this.
17. Loss of customers, product rejects and returned products
If you salvage a product, resell it and the customer is unhappy with it because it is damaged, you will have to replace it. Also, you may lose your reputation in the eyes of your customers.
18. Light duty costs
If a doctor sends an injured employee back to work, but only to perform light duty work, you will have to find light-duty work for him whilst paying for a replacement until the injured employee recovers.
19. Emergency supplies and cleaning up materials
You may have to use cleaning specialists to clean accidents that involved, for example, spilled chemicals. You will also have to use your spill kit, after which you will have to purchase another one.
20. Setup/start-up costs
If the accident involved a machine, you will have to pay for setup and start-up costs.
21. Process/material downtime
Accidents lead to downtime which leads to a loss in production.
22. Consultant fees
The DoL can make you hire a health and safety consultant to guide you in complying with the Occupational Health and Safety Act.
23. Public relations
If the accident becomes known to the public, you may have to take some steps to control any spins in the media.
24. Transportation costs for victims
You will have to pay for an injured employee to get to and work, the hospital etc. if he/she doesn't have transport.