Construction Safety Considerations for Project Owners

Tim "The Tool Man" Taylor generates a lot of laughs each week on the popular TV show, "Home Improvement," often as the result of comical accidents. But in the real world, there's nothing comical about accidents or injuries.

For construction project owners, special care must be paid to the risks of personal injury, property damage or death arising from construction work. These kinds of risks are addressed in the American Institute of Architects' Document A201, General Conditions of the Contract for Construction.

Checking the Builder's Safety Record
Considering the types of tools, equipment, vehicles, supplies and work required on a construction site, it's easy to understand why construction is among the most hazardous of occupations. The leading causes of construction injuries and fatalities are falls, being pinned between or hit by objects or equipment, and electrocution.

In addition to allocating risk in a fair manner, the owner can limit exposure to safety risks by hiring a builder with a good safety record. A poor record may indicate that a company is cutting corners somewhere.

The following questions can help owners identify builders who are serious about safety:

• Does the company have an active safety program? Is it in writing?
• Is a key executive specifically responsible for the program? Does the company promote safety on a daily or routine basis?
• Does it have a safety training program?
• Has the company been cited for safety violations?
• What is the company's claim rate for worker's compensation?

This last question can be quantified by the company's "Experience Modification Rate" (EMR), an insurance industry rating used to determine worker's compensation insurance premiums.

An EMR of 1.0 specifies the average claim rate for a given industry Beyer Construction's EMR is 0.65, or 35% below the construction industry average. We take pride in our record, but we are dedicated to continuous improvement.

As part of a contractor's overhead, the company's cost for worker's compensation insurance is passed along to the customer. The less the contractor spends on worker's comp, the less is needed to pass along.

In short, the EMR is a cost control factor. But a good safety record also says a lot about a company: about its management policies and effectiveness; the teamwork and morale of its employees; and the company's dedication to keeping its operating costs low. Taken individually, or as a group, all these factors can benefit the project owner's final costs.