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Module 1: Main Page     Cost of Accidents       Cost calculator   Reducing the costs of accidents             Cost Calculation Worksheet I. ESTIMATED ANNUAL ACCIDENT COSTS   Enter   Results Annual number of occupational deaths × = $  Annual number of lost workday cases × = $  Annual number of reportable cases without lost work days × = $  Total estimated annual cost of occupational deaths, injuries and illnesses = $  *Using National Safety Council average costs for 1998, includes both direct and indirect costs, excludes property damage. II. IMPACT OF ACCIDENTS ON PROFITS AND SALES (Compare accident costs to company profits) Sales Volume: $ (Enter) Profit Margin: % (Enter) Sales Volume × % Profit = Annual Profits: $ (Result) Accident Costs (Estimated or Actual): $ (Result or Enter) Accident Costs as a Percent of Profits: % (Result) **Amount of Sales Needed to Replace Lost Profits: $ (Result) (If profit margin is 5%, then it takes $20 of sales to replace every dollar of loss) ** Not all indirect costs will impact a company's bottom line on a dollar for dollar basis. Therefore, using all indirect costs within the calculation overestimates the amount of sales needed to replace lost profits. Likewise, only using direct costs in this comparison would underestimate the amount of sales needed. Actual costs will be somewhere in between the two figures. III. CALCULATE INJURY AND/OR ILLNESS INCIDENCE RATES: How Do You Compare to National Injury and/or Illness Rates for your Industry? 1. Determine the total number of hours worked, and from your OSHA Recordkeeping logs determine the number of injuries and/or illnesses. NOTE:  Employee hours must reflect all full-time and part-time workers, including seasonal, temporary (including temporary contract workers if supervised by company personnel), administrative, supervisory, clerical, and overtime. 2. How do I calculate incidence rates?   Enter            N =    Number of Recordable Injuries and/or Illnesses in One Year           EH =    Total Number of Hours Worked by all Employees in One Year 200,000 = Equivalent of 100 Full-Time Employees Working 40 Hour Weeks                  50 Weeks Per Year   Incidence Rates are calculated  (N/EH) x 200,000 =  Result Total Incidence Rate per year 3.  How do I calculate Lost Workday Incidence Rates? Lost Workday Incidence Rates are calculated  Enter     LWD =     Number of  Injuries and/or Illnesses Resulting in Lost Workdays                     or Restricted Work Activity         EH =     Total Number of Hours Worked by all Employees in One Year  LWDI Rate =            #LWD cases  x  200,000      =                                 #Employee Hours Worked Result Lost Workday Incidence Rate per year | Home | Safety and Health Payoffs | Management System and S&H Integration | | Doing a Safety and Health Check-Up | Creating Change | User Guide | References | Credits |

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