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The Tension Between Worker Safety and Organization Survival

Author

Listed:
  • Mark Pagell

    (Michael Smurfit Graduate School of Business, University College Dublin, A94 XF34 Dublin, Ireland;)

  • Mary Parkinson

    (College of Public Health and Human Sciences, Oregon State University, Corvallis, Oregon 97331;)

  • Anthony Veltri

    (Fisher College of Business, The Ohio State University, Columbus, Ohio 43210;)

  • John Gray

    (Fisher College of Business, The Ohio State University, Columbus, Ohio 43210;)

  • Frank Wiengarten

    (Esade Business School, Universitat Ramon Llull, 08172 St. Cugat, Spain)

  • Michalis Louis

    (Michael Smurfit Graduate School of Business, University College Dublin, A94 XF34 Dublin, Ireland;)

  • Brian Fynes

    (Michael Smurfit Graduate School of Business, University College Dublin, A94 XF34 Dublin, Ireland;)

Abstract

This research addresses the fundamental question of whether providing a safe workplace improves or hinders organizational survival, because there are conflicting predictions on the relationship between worker safety and organizational performance. The results, based on a unique longitudinal database covering more than 100,000 organizations across 25 years in the U.S. state of Oregon, indicate that, in general, organizations that provide a safe workplace have significantly lower odds and length of survival. Additionally, the organizations that would, in general, have better survival odds benefit most from not providing a safe workplace. This suggests that relying on the market does not engender workplace safety.

Suggested Citation

  • Mark Pagell & Mary Parkinson & Anthony Veltri & John Gray & Frank Wiengarten & Michalis Louis & Brian Fynes, 2020. "The Tension Between Worker Safety and Organization Survival," Management Science, INFORMS, vol. 66(10), pages 4863-4878, October.
    • Handle: RePEc:inm:ormnsc:v:66:y:2020:i:10:p:4863-4878
    DOI: 10.1287/mnsc.2020.3589
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    References listed on IDEAS

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