Canadians underestimate 31 billion dollar workplace accident costs

Canadians drastically underestimate the financial losses which workplace accidents and injuries inflict on the economy, according to a survey released February 8, 1996 by the Industrial Accident Prevention Association (IAPA).

In the IAPA's poll of 2,000 Canadians, 61 percent of the respondents estimated the annual cost of an industrial accident in Canada to be half or less than half the projected figure of $78,000*. Meanwhile, 26 percent of those questioned could not even provide an estimate of the average financial loss caused by workplace mishaps.

Maureen Shaw, President and Chief Executive Officer of the IAPA, the largest safety and health consulting association in Canada says: "Government, labour and business have to better communicate the fact that workplace accidents exact an enormous toll on the Canadian economy _ a conservative estimate is 31 billion dollars a year. We also need to better educate Canadians about how they can collaboratively eliminate workplace accidents and injuries and the staggering personal, financial and emotional losses those accidents bring."

Source: IAPA Workplace Accident Prevention Study, December '95 and January '96.

The IAPA survey (conducted in two waves in December, 1995 and January, 1996) found that while most Canadians don't know the financial cost of workplace accidents, they do recognize the value in preventing them. More than 85 percent of Canadians agreed that more employees taking training courses or reading educational material on how to prevent such accidents would be helpful or very helpful for Canadian companies. The respondents believed it would be just as helpful for employers and managers to take training courses as it would be for workers.

However, 52 percent of all respondents said they are not very knowledgeable or not at all knowledgeable about the health and safety laws and regulations in their province. Only a bare majority of employed Canadians said they know the health and safety laws; 48 percent said they don't.

"Just as traffic laws apply to all drivers," says IAPA's Shaw, "health and safety laws apply to all employed or self-employed Canadians. This survey has confirmed the fact that in order to reduce the accident toll there must be greater awareness of workplace safety." The overall survey results can be considered to be representative of the Canadian public, within 2.2 percent, 19 times out of 20 (most conservative estimate).

The Industrial Accident Prevention Association has a membership of more than 120,000 businesses.

For additional information, contact Peter Nixon, Industrial Accident Prevention Association, Tel: (416) 506-8888.

* Based on Workers Compensation Board payouts, lost productivity, equipment damage and other related accident costs. Information provided by the Ontario Ministry of Labour and Human Resources Development Canada.