WITH HSE fines for material handling infringements averaging £145,000, companies could be forgiven for assuming this is the biggest risk. But you also have the reputational damage to your business, and the costs associated with your staff, all adding up significantly.

Save yourself from reputational damage

With 73% of B2B buyers saying recommendations play the biggest role in choosing which suppliers to consider, word of mouth is key. And that’s the case even more so for the majority of businesses who require workplace machinery inspections.

CFTS director Rob Fisher explains: “With a damaged reputation, it becomes that much harder to convert prospects into new customers. They know they have other options when it comes to getting an inspection, so they take their business somewhere where the operation is working legally. Getting your inspections on time will catch equipment defects early, saving your reputation, and helping to secure new business.”  

Your people are the key to profitability

The cost of lost productivity and staff turnover is far greater in the long term than the majority of HSE fines for a business that skips an inspection.

79% of UK workers saying that they would consider leaving a position due to unsafe workplace conditions. Whilst this is an alarmingly high figure, the costs associated with this amount of staff turnover are even more surprising.

Rob Fisher explains: “Replacing a mid-level employee can costs upwards of £30,000 with employee replacement costs being around 75% of the previous employee’s salary. Even when replacing someone on a shorter-term contract or on a lower wage, it’s going to cost you thousands of pounds.”

Rob Fisher continues: “We see a lot of companies working purely towards a profit margin without realising the underlying costs of not protecting their employees. When people aren’t confident in the equipment they’re using, and the environment they work in, they’re less likely to commit to working for a company for a sustained period.

“My advice to anyone who is thinking of skipping a Thorough Examination is to do the maths first and really consider the long-term financial implications on your business. As well as the costs associated with a damaged reputation and staff turnover, it’s worth remembering that fines from the HSE are frequently 6 or even 7 figures.”

There are now over 800 CFTS-accredited members, making it easier than ever to find a local inspector who can help.

To find your nearest CFTS-accredited company, visit:  https://www.thoroughexamination.org/postcode-search.