Safety and Health at Work

Occupational Safety and Health Research Institute, Korea Occupational Safety and Health Agency (산업안전보건연구원)
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How Effectively Safety Incentives Work? A Randomized Experimental Investigation

  • Ahmed, Ishfaq (Hailey College of Commerce, University of the Punjab) ;
  • Faheem, Asim (College of Business Administration, Imam Abdul Rehman Bin Faisal University)
  • Received : 2019.03.25
  • Accepted : 2020.08.11
  • Published : 2021.03.30
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Abstract

Background: Incentive and penalty (I/P) programs are commonly used to increase employees' safety outcomes, but its influence on employees' safety outcomes is under-investigated. Moreover, under developed economies lack safety culture and there is dearth of literature focusing on empirical studies over there [1]. Based on these gaps, this study attempts to see the impact of I/P programs on safety outcomes in a developing country. Methods: The study was carried out in three stages, where Stage I revealed that selected 45 organizations were deficit of safety culture and practices, while only three firms were found good at safety practices. At Stage II, these three firms were divided in two clusters (groups), and were probed further at Stage III. At this stage group, one was manipulated by providing incentives (experimental group) and employees' responses in terms of safety motivation and performance were noticed. Results: It was observed that the experimental group's safety motivation and performance had improved (both for immediate and 1-month later performance). The results were further probed at Phase 3 (after 3 months), where it was found that the benefits of I/P programs were not long lasting and started replenishing. Conclusion: Findings of the study helped researchers conclude that safety incentives have only short-term influence on safety outcomes, while a long-term and permanent solution should be found.

Keywords

Acknowledgement

Authors acknowledge the contribution made by editorial team members and reviewers who made constructive comments to improve this article. They are also thankful to workers and contractors who helped them in data collection and accepted their repeated visits, open heartedly, at the work sites.

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