The EU is seeking to reduce red tape and boost its competitiveness. How much simplification, though, can be tolerated in occupational safety and health? The German Social Insurance (DSV) has published a position paper explaining why Europe’s high safety standards must not be compromised in the drive to reduce bureaucracy.
The European Union faces a twofold challenge in the current legislative term: of making Europe more competitive, and at the same time of deepening the Single Market. The European Commission’s key objectives for the EU include reducing bureaucracy, increasing innovation and reducing external dependence. The “Omnibus proposals” are an important tool for attaining these objectives. They have the purpose of grouping multiple legislative amendments and simplifying regulatory procedures. How far, though, should simplification be allowed to go? This question is being addressed by the German Social Insurance (DSV) in its position paper, Efficient regulation: Without compromising occupational safety standards.
Simplification must be proportionate
The DSV’s core message is clear: far from being mutually exclusive, high occupational safety standards and a strong European economy are in fact mutually dependent. Good working conditions are a key factor for Europe continuing to be a good business location. They contribute directly to productivity, capacity for innovation and the retention of skilled workers. Occupational safety and health must not therefore be seen as a cost factor, but as an investment. Companies benefit from healthier employees, fewer working days lost due to illness or injury, and higher motivation. Effective occupational safety and health also eases the burden on social security systems and enhances overall economic stability.
For over 30 years, the European occupational safety and health directives have provided a reliable basis for assuring safe working conditions. They define minimum standards and clear responsibilities, whilst at the same time providing Member States with sufficient freedom in their implementation. This combination of binding requirements and flexibility is the reason why the regulatory framework has remained viable to this day and is able to respond to new developments, such as the digital and ecological transformations. At the same time, the regulatory framework must keep pace with change: new forms of work, psychosocial stress, changes in technology and risks posed by climate change all present a need for judicious updating of existing regulations.
In this context, the European Commission’s efforts to make regulatory processes more efficient should not aim to simplify occupational safety and health across the board, but to modernise it selectively where change is actually needed. Furthermore, simplification is not synonymous with deregulation. The body of rules and regulations governing occupational safety and health has contributed significantly to improving working conditions in Europe, and not every regulation is necessarily burdensome. A sound regulatory framework that is geared to the situation in the field leads to dependable planning and legal certainty. Nor should the existing participatory structures be watered down in the quest for simplification and the cutting of red tape: regulatory arrangements that are of high quality and suitable for application in the field can be created only by the involvement of all relevant stakeholders from an early stage. Besides the European social partners, these stakeholders include the social insurance institutions. Not only do they contribute expertise, they can also draw upon an extensive body of data and practical experience in implementation of the regulations. This is crucial, particularly in occupational safety and health, for ensuring that regulations are developed that are effective in the field and meet with wide acceptance.
Harnessing the potential of prevention and digitalisation
A further key aspect is the economic benefit of prevention. Studies have shown that investments in occupational safety and health pay for themselves many times over: on average, a euro invested today will yield an economic benefit of €2.20. Even so, occupational accidents and diseases continue to cause significant costs in the EU, amounting to around three per cent of gross domestic product. Prevention is therefore imperative not only as a social policy, but also for economic reasons. The success of preventive activity in Europe is well documented: the number of occupational accidents is falling, as is the number of fatal accidents. This trend shows that existing measures are effective and should be stepped up.
The DSV also sees considerable potential in digitalisation. Digital technologies and artificial intelligence can help to make occupational safety and health more efficient, to target it better, and to increase its focus on prevention. Analyses of data, for example, can reveal risks at an early stage and enable suitable advice on prevention to be provided. At the same time, digital methods can simplify administrative processes and relieve the burden on skilled workers. However, it is crucial that digitalisation is not used solely to increase efficiency, but is embedded within a modern culture of prevention. Used correctly, it can make an important contribution to strengthening occupational safety and health and competitiveness in equal measure.
Implementation remains crucial
The debate on reducing bureaucracy and enhancing competitiveness will continue to shape EU policy in the coming years. Simplification is an important goal here, but not at any cost.
Besides further development of the regulatory framework, it is crucial that existing regulations be implemented systematically. Occupational safety and health is effective only if rules are actually applied and their observance is monitored. The DSV continues to see a need for action in this area. Clear rules alone are not enough: sufficient resources, purposeful support and Europe-wide programmes are also needed to ensure that rules are implemented effectively in all Member States. At the same time, the objectives of the EU’s occupational safety and health strategy, in particular Vision Zero, should be underpinned by measurable progress. Workplace accidents can be reduced significantly if preventive activity is stepped up systematically.
Stephanie Kohl
stephanie.kohl@dsv-europa.de