NAFA Workplace Security Experts Advise CA Businesses on SB 553 Compliance
Planning customized for your company’s specific safety challenges
Quite often we hear companies advertise that “Our people are our greatest asset.” This might well be the case, if a company has selectively hired quality individuals, trained them thoroughly, and provided the necessary incentives to ensure consistently professional performance. But rarely, if ever, does a company really treat its rank-and-file employees like high-value business assets. When it comes to security measures, most businesses are more focused on safeguarding merchandise, sensitive data, trade secrets, and a thousand other inanimate assets. Unfortunately, laxity towards employee protection has made incidents of workplace violence far too common. Whether it’s a disgruntled employee acting out over perceived injustice, a domestic conflict that finds its way into the workplace, “direct action” from protest groups, or seemingly random attacks, businesses throughout the United States have become staging grounds for acts of violence. In California, the state legislature has said, “Enough is enough,” and has enacted SB 553, requiring businesses to adopt safety protocols to mitigate the risks of workplace violence.
Effective July 1, 2024, SB 553 will require virtually every California employer to implement a comprehensive workplace security plan. This plan must be specific to individual worksites and the risks of their particular industries. Creating a custom-tailored security plan is a daunting task, but the security experts at North American Forensic Accounting are prepared to help.
The awful toll of workplace violence
Business leaders should be incentivized to create safety plans, even without SB 553. It’s been estimated that violence in the workplace costs the U.S. economy as much as $56 billion annually. But these are only the direct financial costs of workdays missed, medical benefits paid out, etc. There is also the damage done to an organization whose people have undergone extreme trauma at their place of work. Violent incidents can destroy a company’s culture, as traumatized workers lose their focus and drive, or leave the company altogether. It is estimated that one in five workers will be assaulted on the job. Assault is now the fifth-leading cause of death in the workplace. The huge number of direct victims should prompt business leaders to act. But the rippling consequences to indirect victims is incalculable.
SB 553 might not be the perfect solution and might even be burdensome to many small businesses. But it is a well-intentioned attempt to deal with a pervasive, destructive problem. So, now is the time for businesses to go beyond lip-service and show they truly value their employees by making their workplaces as safe as possible.
Key provisions of SB 553
There are four key provisions to the new law, as follows:
Workplace Violence Prevention Plan — Companies must develop a comprehensive WVPP that entails four elements:
- Periodic, regular assessments of risks for workplace violence
- Violence prevention procedures, including emergency response and threat-reporting protocols
- Employee training on risk recognition, emergency response, de-escalation techniques, and reporting mechanisms
- Incident reporting and investigation procedures
Statement of employee rights and protections — Under the new law, employees have the right to:
- Refuse work due to a reasonable belief it might expose them to a risk of workplace violence
- Protection from retaliation for the exercise of protected rights, such as reporting concerns about potential violence
- Confidentiality, as far as is practicable, in matters related to workplace violence
Recordkeeping and reporting — Employers must maintain detailed records of qualifying incidents and report annually to the California Division of Occupational Safety and Health.
Enforcement through Cal/OSHA — Cal/OSHA shall enforce SB 553 through inspections and audits to ensure compliance, and by imposing penalties for noncompliance.
How your company can benefit by compliance with SB 553
Clearly, SB 553 creates additional costs for doing business in California. However, businesses that comply with the new law may realize some valuable benefits in the form of improved company culture and greater worker productivity. Briefly, these are the fruits of enhancing the safety of your employees:
- Reduced tension in the workplace — If workers are confident in the safety of the workplace, they can relax. Work becomes a safe haven, where they can put life’s worries aside and concentrate on the tasks at hand.
- Improved morale — Workers feel better about being at work. The job itself becomes more enjoyable.
- Greater productivity — When workers can focus on job tasks, they can work more quickly with fewer errors that come from distractions.
- Less deviant behavior — Conduct that is detrimental to the organization includes chronic lateness, insubordination, interference with coworkers’ labors, and theft of business assets. This misconduct flourishes when leadership ignores the importance of organizational culture. Being proactive about worker safety is a step in the direction of positive culture. Allowing workers to report safety risks signals that they too have a role to play in building a positive company culture.
- Greater loyalty to the organization — When workers perceive that the company cares about them, they start to care a bit more about the company. The sense of safety in the workplace is an element that can contribute to employee retention, so you don’t have to worry about constant “churn” and the need to continuously recruit and train workers.
At NAFA we put great stock in “culture” as a force for good in an organization. We provide training at all levels to help business leaders turn around negative cultures. Helping you develop a workplace safety program fits within our greater mission to build better businesses through ethics training.
The time to implement your SB 553 program is now!
California businesses are required to be SB 553 compliant by July 1, 2024. Penalties for noncompliance start at $18,000 per infraction, so you must act swiftly. Our NAFA security experts are ready to provide the personalized assistance your company’s leadership needs to draft a comprehensive, effective, and practical plan that meets all the requirements of the new law.
Contact NAFA today to discuss your SB 553 workplace safety program
The workplace security experts at North American Forensic Accounting are ready to help you draft and implement your unique SB 553 safety program. Call us at 347-286-4860 or contact one of our offices online to schedule an appointment.