By: Suresh Tanwar, Senior Head of Audit and Consultancy, British Safety Council, India
In the recently announced Union Budget for 2025-26, Finance Minister Nirmala Sitharaman outlined several key steps to strengthen the country’s manufacturing sector. With initiatives such as Make in India and the Production Linked Incentive (PLI) scheme already underway, India’s manufacturing landscape is undergoing rapid evolution. The sector, which currently accounts for around 17% of the country’s GDP, is expected to continue growing.
However, with this growth comes the increasing need for a robust safety framework. As more industries scale up and job creation accelerates, the safety of workers within the sector becomes a pressing issue that requires attention. Currently, the situation remains far from ideal, with many manufacturing units in India still grappling with inadequate safety measures.
The Urgent Safety Crisis in India’s Manufacturing Sector
Over the years, accidents in India’s factories have resulted in the loss of lives and severe injuries at an alarming rate. According to the Ministry of Labour and Employment’s Directorate General of Factory Advice Service and Labour Institutes (DGFASLI), an average of three workers die, and 11 are injured every day due to accidents in registered factories.
These statistics are even more concerning when considering the informal and unorganized sectors, which remain outside the purview of strict safety regulations. In total, India experiences approximately 48,000 work-related deaths annually, and these figures point to the urgent need to embed safety as a core value in the manufacturing culture.
One key factor contributing to this alarming situation is that many workers are inadequately trained, especially those in smaller enterprises and unorganized sectors. Due to the high turnover of daily wage workers, employers often neglect to invest in proper safety training. This gap in safety practices leads to an environment where workers face higher risks of injury and death due to unsafe working conditions.
Additionally, the health hazards faced by these workers extend beyond physical risks. Workers in manufacturing plants are often exposed to long-term health issues such as musculoskeletal disorders caused by manual handling, respiratory diseases like silicosis from exposure to dust, and other chronic conditions due to unsafe working conditions. These health risks, combined with workplace accidents, create a perfect storm that can have devastating long-term effects on both workers and the business.
The Business Case for Workplace Safety
Given this background, investing in workplace safety is not just a moral or legal imperative. It is a strategic business decision that can lead to significant growth.
The financial and operational impact of workplace accidents can be significant. Injuries and fatalities lead to increased healthcare costs, compensation claims, legal fees, and the disruption of production schedules. The time spent managing these situations detracts from productivity, which in turn affects a business’s bottom line. Furthermore, workplace accidents frequently harm employee morale and the company’s reputation.
On the other hand, companies that prioritize safety often see improved productivity. When workers feel safe and secure, they are more focused, engaged, and motivated. Additionally, a positive safety culture fosters a more attractive workplace, making it easier for businesses to recruit top talent.
Good safety management also leads to a more sustainable business. When workers are adequately trained in safety protocols and encouraged to report hazards, organizations are less likely to experience costly accidents. Businesses that prioritize safety can also avoid legal repercussions and compliance penalties.
Creating a Safety-First Culture
A safe workplace is not merely about providing protective gear or maintaining machinery. It is about creating an overall culture where safety is prioritized at every level.
This starts with leadership. Senior management must champion safety initiatives and communicate their importance to all levels of the workforce. Regular safety meetings, feedback sessions, and safety audits should be integral parts of company operations. Encouraging employees to report hazards and participate in safety programs can help build a sense of ownership and responsibility for their well-being.
Behavior-based safety is another practical approach to achieving this culture. It involves observing and analyzing worker behaviors to identify unsafe practices before they lead to accidents. By reinforcing safe behaviors and addressing unsafe ones through training and feedback, companies can reduce incidents and injuries. This proactive approach not only helps in preventing accidents but also instills a sense of personal responsibility in workers.
Another essential element in workplace safety is the implementation of safety audits. Regular audits help identify potential hazards, assess the effectiveness of safety measures, and provide valuable feedback for improvement. Safety audits are essential for maintaining compliance and ensuring that safety protocols are consistently followed. Audits also help businesses refine their safety programs, providing valuable insights into areas that require attention, such as additional training, equipment upgrades, or procedural adjustments.
One more step towards nurturing a safety-based culture is to ensure that safety programs are comprehensive and adaptable. This means providing ongoing training to employees, reinforcing safety procedures, and adapting to changing industry standards. Safety programs also need to be inclusive, addressing both physical and psychological well-being. Employees should feel comfortable voicing safety concerns and reporting hazardous conditions without fear of retribution.
Safety is also about continuous improvement. As new technologies and processes emerge, so do new risks. Regular reviews and updates to safety protocols ensure that organizations can adapt to these changes and remain proactive in preventing accidents. The need is to embrace innovation not only in production processes but also in their safety practices by adopting new methodologies to enhance safety management.
To Sum it Up
Workplace safety is integral to the success of the manufacturing sector, particularly in countries like India, which aims to become a global manufacturing powerhouse.
The government’s push for increased industrial growth presents numerous opportunities, but safety measures must evolve in tandem with this growth. By prioritizing safety, organizations in this sector can protect their workers, enhance productivity, and build a reputation for being responsible, compliant, and employee-centric.