To avoid a financial loss, include these six unexpected costs in your health and safety budget

Ashley Churchyard, Fsp Business, 15 Dec. 2014

Tags: health and safety budget, health and safety, safety budget, health and safety expenses, unexpected health and safety expenses

If an unexpected expense suddenly crops up and you haven’t budgeted for it, it could lead to financial losses in your business.

After all, if you already put all your money into one area of your business, you won’t have enough to cover new expenses.

This is a common problem in health and safety.

Even worse, health and safety is normally very costly. This means you could make a huge loss.

That’s why you should always include these six unexpected costs in your health and safety budget so your company doesn’t lose profit…

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21 Items you should have in your Occupational Health and Safety Budget
Click here to find out what they are…

Your health and safety budget should always include these six unexpected costs

1. The cost of repairing broken machinery
Machines can break at anytime. Because this can be very dangerous, fix any broken machinery and equipment as soon as it shows signs of damage. 
Even if your machinery doesn’t break, consider using this money to maintain it to stop it breaking in the future.
2. DoL instructions
If a DoL inspector comes to your workplace to inspect it, he may instruct you, for example, to replace your employees’ PPE
You have to comply with these instructions. This means you have to spend that money. These instructions can be very costly so put money aside to cover any unexpected DoL instructions.
3. First aiders or health and safety representatives leaving your company
If your first aider or health and safety rep leaves your company, quickly appoint and train someone else. 
This can take a lot of time and cost quite a bit. Put extra money aside for training in case this happens.
*********** Hot off the press  ************
Do you want to be fined, jailed or have a criminal record for life?
If an accident occurs in your workplace, and the person dies, you could be charged with culpable homicide, charged penalties of R100 000 or 2 years in jail! The CEO or Owner of a company is personally accountable for health and safety at work. 
Click here for the three things you must prove to establish your innocence.
4. Incidents and accidents
Incidents and accidents mean you have to investigate what happened. If you hire someone else to help you with the investigation, it’s quite expensive. You also have to budget for the expense of training your other employees to help you with the investigation. 
5. Changes in laws and legislations
If there’s a sudden change in health and safety laws you didn’t know about, you’ll need to spend money to comply with it quickly. 
If you ignore these new laws, it could lead to fines and penalties later on. Rather just budget enough money to implement changes as they happen.
6. Missing PPE
Because your employees can take their PPE off and accidently leave it somewhere, it’s easy for them to lose it. You can’t make your employees pay for any PPE they lose, so you have to budget for these expenses. 
The great thing about budgeting for these unexpected expenses is if you end up not paying them, you’ll have money left over. 
You can use this money to improve your health and safety programme. Or you can just add it into your profit. 
That’s a much better situation to end up in than losing money on unexpected expenses. 
PS. Your health and safety budget must also include all the legal health and safety requirements you need to put in place. Check out the Health and Safety Budget to find out what these are. 

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