Work injuries are an unwelcome byproduct of economic activity. In part, they are random events, but they are also, to some extent, under the control of workers and employers. Employers can reduce the number of workplace injuries and illnesses by investing in safer technologies, providing workers with personal safety protective equipment, training workers and their supervisors; workers can avoid accidents by following safe work practices and by taking greater care on the job (1).
Both parties incur costs when an accident occurs. Workers' costs include potential loss of income and medical expenses associated with treatment and rehabilitation as well as intangibles, such as pain and suffering and disability that reduce the ability to enjoy life. Employers' costs include interruptions in production and damage to capital equipment and physical plant (1)