Achieving Safety and Health Excellence Through the Voluntary Protection Programs (VPP) Susan Jordan Sikes, OSHA Regional VPP Manager

OSHA Origin, Mission, and Functions 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’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: Cost Savings: 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 3/20/03

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

VPP in State Plan States WASH OREG CALIF NEV WYO UTAH ARIZ N. MEX AK MINN IOWA MICH IND KY TENN VA NC SC VT MD NY CT ME NH MASS RI PA NJ OHIO WV IDAHO MONT N. DAK S. DAK NEBR COLO KANS WIS ILL MO OKLA TEXAS ARK LA MISS ALA GA FLA HI Federal Comprehensive State Plan State Plan Public Sector Only States with VPP Puerto Rico

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

Three Programs Merit 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

Three Programs Demonstration Must meet Star requirements Alternative safety and health methods Current Demos: Short-term Construction Mobile Workforce Federal Contractor

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 VPPPA Mentoring Special Government Employees

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.