Achieving Safety and Health Excellence Through the

Voluntary Protection Programs (VPP)

Susan Jordan Sikes, OSHA

Regional VPP Manager

• 1970: Occupational Safety and Health Act passed• 1971: OSHA Began Inspections• Mission: Ensure safe and healthful workplaces by:

– Developing and enforcing standards– Assisting and encouraging the States – Providing for research, information, education and training– Encouraging employers and employees in their efforts to

reduce hazards, institute new, and perfect existing programs

OSHA Origin, Mission, and OSHA Origin, Mission, and FunctionsFunctions

OSHA’s Tool KitOSHA’s Tool Kit

• Standards

• Enforcement

• Education, Training, and Outreach

• Cooperative Programs– Voluntary Protection Programs– Consultation Program and SHARP– Strategic Partnerships– Alliances

What is VPP?

• A process for achieving safety and health excellence by implementing safety and health management systems

• Labor – Management - Government Cooperation

• Official recognition of excellence

• Began in 1982

Why Pursue VPP?… To Prevent Accidents and Save Money!

• The average lost-time injury cost $30,000!….. (The National Safety Council)

• Each heavy construction injury or illness equals 8-9 lost workdays!…….(U.S. Bureau of Labor Statistics)

• Work injuries cost Americans $131.2 billion in 2000, exceeding the combined profits of the top 13 Fortune 500 companies!….. (The National Safety Council)

Why do workplace injuries cost so much?

• Direct Cost:– Out of pocket expenses not expected under

normal cost of doing business

• Indirect Cost:– Those cost not directly related to the injury, but

which occur as a result of the injury

Accident Costs and Impact on Sales

Type Avg. Avg. Total$ Sales Needed

Injury Direct$ Indirect$ 3% 5%

--------------------------------------------------------------------------------------

Amputation $21,718 $23,890 $45,608 $1,520,260 $912,156

Burn $ 3,846 $ 6,154 $10,000 $ 333,320 $199,992

Carpal T. $ 8,305 $ 9,966 $18,271 $ 609,033 $365,420

Foreign Body $ 317 $ 1,427 $ 1,744 $ 58,177 $ 34,870

Laceration $ 1,101 $ 4,955 $ 6,056 $ 201,850 $121,110

Safety Delivers a Return on Investment!Liberty Mutual Survey

• Survey shows 61 percent of executives say $3 or more saved for each $1 invested in workplace safety

• 95 percent of executives surveyed believe workplace safety has a positive impact on a company's financial performance

Why Pursue VPP?

• Reduced Illnesses and Injuries:– On average injury and illness rates at VPP sites

are 54% below National averages

• Cost Savings: – VPP sites avoided 5,638 injuries in FY2000 – Total cost savings approximately $152 million

Other Incentives…VPP Benefits Business

• Decreased turnover and absenteeism

• Increased productivity

• Exempt from programmed OSHA inspections

• Networking with the best• Community recognition• Models of excellence

• Competitive Edge

VPP Benefits Workers

• Go home safe

• Involvement in S&H

• Pride in work

• Improved morale

VPP Benefits OSHA

• Partners in excellence• Accomplishes OSHA’s mission• More successful than compliance alone• VPP partners serve as models for their

industries• Helps OSHA promote value of safety and

health • Leverages resources

VPP is a Win-Win-Win Relationship!

• Trust and cooperation

• Elimination of fear

• Achievement of a common goal….to prevent worker injuries, illnesses and deaths

• Improved relations between labor, management, and government

Who’s in VPP? Federal & State

As of 3/20/03As of 3/20/03

Union Sites & NonUnion

Who’s in VPP? Join the ranks of such employers as……

– BP Chemical – BF Goodrich Aerospace– Delta Airlines– Dow Chemical– Duracell Global– Exxon-Mobil– Frito-Lay– General Electric– Georgia-Pacific– IBM Corporation – International Paper– Lockheed Martin– Motorola

– Nabisco– NASA– NutraSweet– Occidental Chemical– Rockwell Automation– Sherwin-Williams– Solutia– Space Gateway Services– Texaco– Tropicana– Tobyhanna Army Depot– United Space Alliance– US Postal Service

VPP Eligibility

• Available in all industries and federal agencies where OSHA has jurisdiction

• Also available in States with their own VPP

Puerto Rico

WASH

OREG

CALIF

NEV

WYO

UTAH

ARIZ

N. MEX

AK

MINN

IOWA

MICH

IND

KY

TENN

VA

NC

SC

VT

MD

NYCT

ME

NH

MASSRI

PANJ

OHIO

WV

IDAHO

MONT N. DAK

S. DAK

NEBR

COLOKANS

WIS

ILL

MO

OKLA

TEXAS

ARK

LA

MISS ALA GA

FLA

HI

Federal

ComprehensiveState PlanState Plan Public Sector Only

States with VPP

VPP in State Plan States

Growth of VPPGrowth of VPP((State Plan States)State Plan States)

Principles of VPP

• Focus on individual worksites

• Performance-based criteria

• Beyond compliance

• Self-Sufficient

• Continuous Improvement

• Effective safety and health management systems

Elements of a Comprehensive Safety and Health

Management System

• Management Leadership and Employee Involvement

• Worksite Analysis

• Hazard Prevention and Control

• Safety and Health Training

Where do I sign up?VPP Application Process

• Companies submit an application that includes:– Management assurances

– Written union support

– Injury and illness rates

– Description of safety and health management system

• Application reviewed for completeness• Company’s previous OSHA history verified• OSHA and the site prepare for the onsite review

Onsite Evaluation

• An OSHA Team visits the site• Typically lasts 4-5 days• Evaluation consists of:

– Opening Conference– Document Review– Walkthrough of Worksite– Employee and Management Interviews– Closing Conference

• Draft Report and Team’s Recommendations for one of three programs

Three Programs

• Highest level of recognition• All VPP requirements met• System operating at least one year• Rates are below the National Average

Star

Three Programs

• Elements and sub-elements in place• Systems may not all be at Star quality • Rates may be above the National Average• Limited to one 3-year term

Merit

Three Programs

• Must meet Star requirements• Alternative safety and health methods • Current Demos:

– Short-term Construction– Mobile Workforce– Federal Contractor

Demonstration

Celebration!

• New approvals by Assistant Secretary

• Re-approvals at Regional Level

• VPP Ceremony

Continuous Improvement

• Annual Self-Evaluation

• On-going dialogue

• OSHA re-visits the site every three to five years. (12 –18 months for Merit sites)

VPP Sites Stay Involved!Program Innovations

Mentoring

Special Government Employees

VPPPA

Additional Assistance

• Web Sites:– www.osha.gov– www.vpppa.org

• Publications– VPP Policies and Procedures Manual– Federal Register Notice– Brochure

• Training– OSHA Training Institute- Course #245.– Special Government Employees Course-if you qualify.