Personal and corporate liability
If it is established that necessary safety measures were neglected, the people responsible come under legal scrutiny. Particularly if it is perceived that accidents were knowingly accepted. In such cases, a court decides whether the Management Team or responsible employees are held personally liable. Such proceedings are often lengthy and costly, potentially resulting in considerable burdens for the people responsible.
Criminal consequences and fines
When duties of care are significantly neglected and lead to a work-related accident, the result may be negligent bodily harm or even manslaughter. Whether company owners, managers or involved employees are prosecuted depends on the case in question. The question of how responsibility was delegated is also crucial in this regard. Even minor violations of accident prevention regulations can result in the company or its managers being fined.
Intensive inspections
Following a work-related accident, authorities may carry out more intense inspections of workstations, machinery and equipment. The competent employer’s liability insurance association can make recommendations to the affected company or demand that specific measures be implemented to prevent future accidents. In the worst-case scenario, the company is shut down until the relevant safety shortcomings are eliminated.
Good reputation at risk
A good reputation is priceless for companies. Work-related accidents and, in particular, court proceedings can be extremely damaging to a company’s reputation – especially among potential new employees. So negative media coverage and problematic posts on social media may not only lead to loss of customers and business partners, but also make recruitment more difficult too. This particularly applies to court proceedings where work-related accidents are regularly reported on over extended periods of time.