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Is workplace safety everybody's business? Experimental evidence on prevention information, accidents and compensating wage differentials in SMEs

Subject

Strategy and Entrepreneurship

Publishing details

Authors / Editors

Brahmy F;Lafortunez J;Tessada J

Biographies

Publication Year

2022

Abstract

We randomly distributed safety information to SMEs –three different sets to managers and one to workers. Only prevention information provided to workers reduced accidents and increased prevention, specially the type underscored by our treatment. Results are substantial and long-lasting. We find larger impacts for firms with more pre-intervention manager involvement, suggesting that making safety “everybody’s business” is critical. We also document lower wages in firms where prevention information was given to workers and used the experiment to estimate a compensating wage differential, which is larger than those from hedonic studies.

Series

Working Paper

Available on ECCH

No


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