Economics of Ergonomics

When a person is missing from work becauserequired benefits, including Social Security,
they are experiencing an illness or have beenMedicare, unemployment insurance, and workers'
injured, the employing firm has a reducedcompensation, which averaged $2.25 per hour (7.9
workforce, which leads to a lower level of outputpercent); paid leave benefits (vacations, holidays,
and less revenue. Traditionally, people havesick leave, and personal leave), which averaged
thought that the cost associated with the$1.99 (7.0 percent); and supplemental pay which
absence of an employee was merely equal toaveraged 76 cents (2.7 percent).
that employee's wage earnings per the number ofInjured workers' compensation claims are another
missed workdays. Yet, it is important to take intocost that employers need to be mindful of. The
account other areas in the workplace that mayU.S. worker's compensation system provides
be affected by a particular person's absence, suchbenefits to workers injured on the job, regardless
as if they are a part of a team whose ability toof fault. The costs of compensation claims and
complete the day's tasks will be lessened withoutmedical coverage for injured employees added to
that person being present. The identification oflost productivity in business operations compound
potential risk factors and the planning ofthe severity of the impact employers experience
workplace injury prevention are considered bywhen a worker becomes injured while on the job.
many in management type positions to be anWorkers' compensation costs have compelled
expensive process. However, an estimation of theemployers to find ways of making job
level of decreased productivity a firm wouldaccommodations for injured workers in order to
experience due to injured workers could do muchbring down productivity losses and the number of
in helping management weigh the costs associatedworker's compensation claims.
with incurring losses, or making improvements toErgonomically designed work equipment is an
the work environment. In many cases, there isexample of an accommodation that can be made
potential for the price employers pay for thefor an injured worker. By increasing the use of
missed workdays of their employees, due toergonomic equipment in the work place injuries
injury or illness, to be greater than the wagescan be both avoided or if an injury has already
those employees would collect for those particularoccurred, they can help aid the injured worker.
days.Ergonomic accessories have successfully been
Total compensation (wages and salaries andproven to help reduce common work injuries that
benefits) for civilian workers averaged $28.48 peroccur from repetitive tasks over years of wear
hour worked in June 2008. Wages and salaries,and tear such as straining eye sight, back pain,
which averaged $19.85, accounted for 69.7Carpal Tunnel Syndrome, neck pain, and head
percent of these costs, while benefits, whichaches. An investment in ergonomics can lead to
averaged $8.64, accounted for the remaining 30.3savings in the number of sick days employees
percent. In addition to retirement and savings thetake. The next time your company is considering
other benefit categories were: life, health, andhow to save money in the long run, consider
disability insurance benefits, which averaged $2.39ergonomics.
(8.4 percent of total compensation); legally