The Business of Small Business Forum - The Business of Small Business Forum - Part V:Part V:

Occupational Safety and Health AdministrationOccupational Safety and Health Administration

Directorate of Cooperative and State ProgramsDirectorate of Cooperative and State ProgramsOffice of Small Business AssistanceOffice of Small Business Assistance

Safety and Health IssuesIn

Small Construction Firms

May 30, 2007

Business of Small BusinessSafety and Health Issues in Small Construction Firms

Carmen Shafer, CSPCarmen Shafer, CSPCorporate Safety ManagerCorporate Safety Manager

OverviewOverview

• Who We Are• Our Safety Program and Goals• Statistics• Change• Benefits• Safety Mindset• Challenges We Still Face

Who We AreWho We Are

• Founded in 1998• $50MM+ Annual

Volume• 50-60 Employees• Company Focus

– Federal Projects– Heavy Industrial– Transit– Public Facilities– Design-Build/New

Construction

Our Primary GoalOur Primary Goal• Protecting our

employees, our subcontractors and members of the public from harm

New ProgramNew Program

• As the nature G-W’s work changed a new safety plan was developed using ANSI A10.38 and OSHA guidelines as templates

• G-W’s new program includes the use of many OSHA Resources

Grunley-Walsh Man-HoursGrunley-Walsh Man-Hours

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

2000 2001 2002 2003 2004 2005 2006

How We Do ItHow We Do It

• Employee Involvement

• Planning and Follow-Through

• Individual Development

• Continual Improvement

OSHA Resources UtilizedOSHA Resources Utilized

• Training using Susan Harwood Grant Materials– Fall Protection– Steel Erection

• Free safety training through MOSH

• “Quick Cards” for on-site training• OSHA Website• Boilerplate safety plans – BBP

and EAP, checklists, etc.

OSHA Resources UtilizedOSHA Resources Utilized

• Participation in DFWP through AGC as an alliance member

• Attendance at ACCSH to learn of forthcoming regulations

Grunley-Walsh StatisticsGrunley-Walsh Statistics

YearYear 20042004 20052005 20062006 20072007

RIR 2.35(1 fatality)

03.04

(2 injuries, no lost time)

0*To Date

MH 85,235 130,583 131,206 131,000(est.)

EMR 1.03 0.95 1.19 1.07

2008 Projected EMR is 1.03

What Changed?What Changed?

THEN (Pre 2005)THEN (Pre 2005) NOWNOW

Part-Time Safety Consultant and Dual-Role Safety Manager

Full Time, Full Time, Dedicated Safety Dedicated Safety ManagerManager

Drug Free Statement Drug Testing PolicyDrug Testing Policy

Training As Needed for Job Requirements

Targeted Training Targeted Training Schedule and Schedule and GoalsGoals

No Fleet Policy or Driver Training

Formal Fleet Policy Formal Fleet Policy and Driver Trainingand Driver Training

Benefits – Cost ReductionBenefits – Cost Reduction

• Reduced 2006 Insurance Premiums by $40K within 6 months of implementing the new program

• Reduced 2007 Insurance Premiums by $30K

Benefits - Industry RecognitionBenefits - Industry Recognition

• First Place Award in the 100K-300K Man-Hours category at the National AGC Construction Safety Excellence Awards Program in 2006

• Two Quarterly Project Safety Awards (MWAA) in 2006 and 2007

It’s All in the MindsetIt’s All in the Mindset

Don’t think of yourselves as “Small Businesses”, when it

comes to safety, this mindset can hinder development of

your safety program.

MythMyth

• OSHA Fines and Medical Bills are part of the cost of doing business

G-W’s MindsetG-W’s Mindset

• OSHA Fines and Medical Bills are costs that reduce our profit – These costs are indicators that

we are doing something wrong

MythMyth

• Insurance Rates always go up, there’s nothing we can do about that

G-W MindsetG-W Mindset

• We can control our insurance rates through minimizing and managing our risk. – Reduce Accidents and incidents– Reduce Injuries & Manage Cases– Implement effective programs

MythMyth

• If I did everything OSHA says I have to do, I will go out of business

G-W MindsetG-W Mindset• OSHA is the Law and are the

minimum requirements • Doing what OSHA and our

contracts require is the cost of doing business.

• There is Help– OSHA/DOL Provides Free

Resources to help the small business meet many of its requirements at minimal cost

MythMyth

• Construction is Dangerous Work, Accidents Happen

G-W MindsetG-W Mindset

• Construction is Dangerous Work.

• However, these hazards are known and can be minimized – Planning– Training– Follow-Through

Challenges We FaceChallenges We Face

• Locating Resources– Need for quality safety personnel to

staff projects

• Educating our Trades People– Need for Bilingual personnel to assist

with training

• Time– Getting personnel away from the

project to participate in training, committees, etc.

– Convincing Employees & Subs to take the time to plan, train, and do it right the first time…

Challenges We FaceChallenges We Face

• OSHA’s Construction Challenge Program and VPP for Mobile Worksites – Currently working on application

process

Our program is founded on the concept and commitment to create a pre-eminent, world-class safety culture

Aim HighAim High

The Business of Small Businessin

T. A. Loving Company and AGCPresenter

Linwood Smith, T.A. Loving

Associated General Contractors of America

Discussion Items

• T. A. Loving involvement in safety and health

• AGC involvement in safety and health

• How the two are compatible

• How OSHA’s cooperative programs assist the small contractor

• Cooperative programs help the companies bottom line

T.A. Loving

• 80 years of building experience, Establish in 1925

• One of the nation's consistently top-ranked 400 contractors

• Three operating divisions – Building, Utilities, Bridge/Heavy

• Safety and health is a value to the company

• How Safety and health effects our bottom line

Associated General Contractors of America

• Oldest and the largest of nationwide trade associations in the construction industry.

• Founded in 1918 at the request of President Woodrow Wilson• AGC represents more than 32,000 firms in the construction industry in 98

chapters throughout the United States. • 7,000 of the nation’s leading general contractors • More than 12,00 specialty contractors, • 13,000 material suppliers, engaged in the following construction – buildings,

shopping centers, factories, industrial centers, warehouses, bridges, highways, tunnels, airports, water works facilities, multi-family housing, dams, water conservation projects, defense facilities, and municipal utilities.

• Of these firms, 90% are small businesses and most of them are family owned and operated.

T. A. Loving Involvement with AGC• T. A. Loving President is Past President of AGC National

• Recent Past-Chairman of AGC Safety and Health Committee

• Assisted in the growth of cooperative programs participation during chairmanship• Challenge Administrator with participants and 3 graduates

• Member of Roadway Work Zone Alliance and the Drug-Free Workplace Alliance

• Several AGC members are VPP Star

• CHASE Partnership

• Current AGC representative on ACCSH and current committee Chairman

AGC Role in Cooperative Programs

• AGC is a charter Challenge Administrator

• AGC currently has 13 participants

• Three GCs have graduated from Challenge

• C.R. Myer and Sons are the first to have graduated from Challenge and obtain VPP Star

• BSI Constructors graduated and is submitting an application for VPP

Strategic Partnerships• CHASE Partnership (Construction Health and Safety

Excellence )• 1998 partnership charter and was agreed upon on January 9, 2001

• had three award levels, Red (lowest), White (intermediate) and Blue (most stringent)

• decreased serious injuries, illnesses, and fatalities for participating contractors

• improvement of existing safety and health programs

• 2003 – 81 participants and 9,967 employees involved in CHASE

• CHASE expired in October 2004

• AGC now focused on Challenge and VPP-C

Alliances• July 10, 2006 joined the Drug-Free Workplace

Alliance

• Encourage training and education on the benefits of drug-free workplace programs and to raise awareness.

• January 25, 2007 joined the Roadway Work Zone Safety and Health Alliance with ARBTA, NAPA, LIUNA, IUOE, NIOSH and OSHA.

• This alliance was formed to develop hazard awareness training and education programs for highway work zones

• AGC is pleased to be part of these alliances.

North Carolina Cooperative Programs• Partnership Agreements

• Carolina Building Star

• N. C. Dep. Of Labor Safety Awards Program

• Consultative Services

T. A. Loving Support of Cooperative Programs

• Original Purpose and intent of OSHA

• 1991 Hamlet Chicken Processing Plant Fire

• Cooperative Programs Vs. Enforcement

The Business of Small The Business of Small Business Forum – Part V Business Forum – Part V

Presented by: John Masarick Presented by: John Masarick

May 30, 2007May 30, 2007

Independent Independent Electrical Electrical

ContractorsContractors A National Association of Electrical and A National Association of Electrical and

System ContractorsSystem Contractors 73 Chapters Nationwide73 Chapters Nationwide 3500 Members3500 Members 100,000 Electricians100,000 Electricians Providing Training for 10,000 Apprentices Providing Training for 10,000 Apprentices

Construction StatsConstruction StatsFatalities (Construction Fourth)Fatalities (Construction Fourth) Agriculture, forestry, fishing and hunting (32.5)Agriculture, forestry, fishing and hunting (32.5) Mining (25.6)Mining (25.6) Transportation and Warehousing (17.6)Transportation and Warehousing (17.6) Construction (11.0)Construction (11.0)

Injuries and Illnesses (Construction First)Injuries and Illnesses (Construction First) Construction (1,186)Construction (1,186) Transportation and Warehousing(881)Transportation and Warehousing(881) Agriculture, forestry, fishing and hunting (714)Agriculture, forestry, fishing and hunting (714) Government (514)Government (514)

Electrical Contractors Electrical Contractors NAICS 23821NAICS 23821

Injuries and Illnesses (Electrocutions Fourth)Injuries and Illnesses (Electrocutions Fourth) OverextensionOverextension FallsFalls Contact with Objects Contact with Objects ElectrocutionElectrocution TransportationTransportation

Fatalities (Electrocutions First)Fatalities (Electrocutions First) ElectrocutionsElectrocutions TransportationTransportation FallsFalls Contact with objectsContact with objects

Safety on the JobsiteSafety on the Jobsite

If less than 50 workers, employer or supervisor oversees If less than 50 workers, employer or supervisor oversees jobsite safetyjobsite safety

If greater than 50 workers, company hires a safety director If greater than 50 workers, company hires a safety director to oversee safety.to oversee safety.

Smaller Contractors need to access safety material quickly.Smaller Contractors need to access safety material quickly.

How Does Safety Impact your How Does Safety Impact your BusinessBusiness

Cost of InsuranceCost of Insurance Lost TimeLost Time Lost ProductivityLost Productivity Workers are a Valuable AssetWorkers are a Valuable Asset Contractors Compete for WorkersContractors Compete for Workers Shrinking WorkforceShrinking Workforce RetentionRetention Other CostsOther Costs

What Made OSHA’s What Made OSHA’s Cooperative Program Attractive Cooperative Program Attractive

to IECto IEC Many safety committee members also Many safety committee members also

participated in the development of other participated in the development of other regulations.regulations.

Information about OSHA’s new alliance Information about OSHA’s new alliance was found on their web site.was found on their web site.

Other associations in construction had Other associations in construction had partnered with OSHA.partnered with OSHA.

Alliance appeared have advantages.Alliance appeared have advantages. Safety regulations and other information Safety regulations and other information

could be obtained directly from the source.could be obtained directly from the source.

Alliance with OSHAAlliance with OSHA

OSHA & IEC Form an AllianceOSHA & IEC Form an AllianceAugust 30, 2002August 30, 2002

Renew: April 5, 2004Renew: April 5, 2004Renew: Oct. 30,2006Renew: Oct. 30,2006

Sign on the dotted lineSign on the dotted lineIEC was among the first to sign a IEC was among the first to sign a

Construction Alliance.Construction Alliance.

IEC Considered OSHA’s IEC Considered OSHA’s Cooperative ProgramsCooperative Programs

AllianceAlliance PartnershipPartnership Challenge ProgramChallenge Program

What the OSHA/IEC Alliance What the OSHA/IEC Alliance IncludesIncludes

FallsFalls The number one cause of injuries and fatalities in The number one cause of injuries and fatalities in

construction.construction. Material HandlingMaterial Handling

30% of the claims from IEC contractors were 30% of the claims from IEC contractors were related to ergonomics.related to ergonomics.

Fleet AccidentsFleet Accidents Automobile accidents are the second leading Automobile accidents are the second leading

cause of injuries in construction. Our insurance cause of injuries in construction. Our insurance partner recommenced including fleet accidents partner recommenced including fleet accidents because of its high incident rate.because of its high incident rate.

BenefitsBenefits

Reach more Employers and EmployeesReach more Employers and Employees Break down old barriersBreak down old barriers

OSHAOSHA

IECIEC Members participate on Members participate on Implementation Implementation Team with OSHA StaffTeam with OSHA Staff Break down old barriersBreak down old barriers

Outreach SourcesOutreach Sources Inform the Membership Inform the Membership

Association Magazine (IEC INSIGHTS)Association Magazine (IEC INSIGHTS) Safety Newsletter (IEC National Codes & Safety Newsletter (IEC National Codes &

Safety Newsletter)Safety Newsletter) E-mail newsletterE-mail newsletter Web Page (Safety Page)Web Page (Safety Page) Convention and EXPOConvention and EXPO

Outreach / CommunicationOutreach / Communication

Accomplishments of the Accomplishments of the OSHA / IEC AllianceOSHA / IEC Alliance

Quarterly Alliance MeetingQuarterly Alliance Meeting OSHA Attends IEC Safety Committee MeetingsOSHA Attends IEC Safety Committee Meetings Ergonomic E-tool: Solutions for ContractorsErgonomic E-tool: Solutions for Contractors Electrical Contractors Safety and Health Topic Electrical Contractors Safety and Health Topic

pagepage 10 Hour Supervisors Training10 Hour Supervisors Training Attendance at Training Sessions / Shows Attendance at Training Sessions / Shows Participate at RoundtableParticipate at Roundtable Members Form Alliance/Partnerships/ChallengeMembers Form Alliance/Partnerships/Challenge

Continued….Continued…. Construction Challenge Construction Challenge Hot Work ProgramHot Work Program Fleet Safety Written ProgramFleet Safety Written Program Welcome to Electrical Safety Program Welcome to Electrical Safety Program

(Arc Flash)(Arc Flash)

Benefits to the MembersBenefits to the Members

Safety Newsletter Safety Newsletter Safety Web site Safety Web site Monthly Safety Video to ChaptersMonthly Safety Video to Chapters

Quarterly Alliance MeetingQuarterly Alliance Meeting

OSHA Attends IEC Safety OSHA Attends IEC Safety Committee MeetingCommittee Meeting

Ergonomic E-tool Solutions for Ergonomic E-tool Solutions for Electrical ContractorsElectrical Contractors

Developed jointly by OSHA and IECDeveloped jointly by OSHA and IEC

Available Tool SectionAvailable Tool Section

New tools solve old problemNew tools solve old problem

The Physical HazardsThe Physical Hazards

Common hazards for constructionCommon hazards for construction

Some Basic PrinciplesSome Basic Principles

Solutions to problems are offeredSolutions to problems are offered

Electrical Contractors Safety Electrical Contractors Safety and Health Topic Pageand Health Topic Page

Site contains safety standards and Site contains safety standards and industry hazardsindustry hazards

10 Hour OSHA Supervisors 10 Hour OSHA Supervisors TrainingTraining

Chapters were surveyed for desired Chapters were surveyed for desired training.training.

IEC members worked with OSHA to develop IEC members worked with OSHA to develop the course and prepare material.the course and prepare material.

Class to be conducted at 2005 IEC Class to be conducted at 2005 IEC Convention and IEC Electric EXPO.Convention and IEC Electric EXPO.

Training was designed for small businesses Training was designed for small businesses supervisors that are also responsible for supervisors that are also responsible for safety. safety.

Supervisors were issued a 10 Hour OSHA Supervisors were issued a 10 Hour OSHA certificate.certificate.

IEC Web Site, Safety PageIEC Web Site, Safety Page

Hot Work ProgramHot Work Program

Fleet Safety ProgramFleet Safety Program

Electrical Safety in the Electrical Safety in the WorkplaceWorkplace

IEC Exhibits at Compliance IEC Exhibits at Compliance Assistance Training session Assistance Training session

OSHA Attends IEC OSHA Attends IEC Convention and IEC Electric Convention and IEC Electric

EXPOEXPO

Training and ExhibitTraining and Exhibit

Construction Roundtable:Construction Roundtable:Fall Protection and Design for Fall Protection and Design for

Safety WorkgroupSafety Workgroup Workgroups are made up of representatives from Workgroups are made up of representatives from

construction organizations having an Alliance with construction organizations having an Alliance with OSHA.OSHA.

All work together to promote safety.All work together to promote safety. Backgrounds of individuals are varied.Backgrounds of individuals are varied. The workgroup meets three to four times a year.The workgroup meets three to four times a year. The Falls Prevention workgroup have produced The Falls Prevention workgroup have produced

Quick Cards and Fall Prevention Training.Quick Cards and Fall Prevention Training. Design for Safety Workgroup has developed a Design for Safety Workgroup has developed a

web site, a Power Point presentation and 10 hour web site, a Power Point presentation and 10 hour training for Engineers. training for Engineers.

ChallengeChallenge

Three Phase ProgramThree Phase Program Five Companies ParticipatedFive Companies Participated Two Companies have Completed Two Companies have Completed

ProgramProgram Looking for more participantsLooking for more participants

Members Form Alliances, Members Form Alliances, Partnerships and Challenge Partnerships and Challenge

ProgramProgram

Roadmap for forming an alliance came Roadmap for forming an alliance came from a quarterly Alliance meetingfrom a quarterly Alliance meeting

IEC members see the value in working IEC members see the value in working together with OSHA together with OSHA 3 Members formed Alliances 3 Members formed Alliances 2 Partnerships2 Partnerships 5 Challenge participants5 Challenge participants

Assets of the OSHA Assets of the OSHA Cooperative ProgramCooperative Program

News from OSHA for IEC safety newsletterNews from OSHA for IEC safety newsletter

Improved perception of OSHA by constructionImproved perception of OSHA by construction

IEC is informed of OSHA resources including e-tools, quick cards, IEC is informed of OSHA resources including e-tools, quick cards, training programstraining programs

IEC is better informed of upcoming OSHA eventsIEC is better informed of upcoming OSHA events

IEC was able to participate in ChallengeIEC was able to participate in Challenge

IEC members are perusing VPP statusIEC members are perusing VPP status

Increased hits on IEC safety pageIncreased hits on IEC safety page

Questions?Questions?