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FAST FACTS: SMEs



                     here are an estimated 400 million
                     small and medium-sized enterprises
                     (SMEs) worldwide (National Action                           24%
                     Plans on Business and Human
                                                                                 have public
                     Rights, 2023), contributing around
                                                                                 liability insurance
               T50% of global employment. In the
               US, over 99% of the nation’s 28.7 million
               organisations are SMEs (JP Morgan Chase,
               2023). And across the European Union,
               there are approximately 24.4 million small
               businesses, most of which are micro-sized   1 in 3                                   41%
               firms employing fewer than nine people

                                                           don’t have a risk                        have paid more
               (Renew Europe, 2023).                       assessment policy in                     than £10,000 in
                 In the UK, there are 5.5 million small    place – and only 16% plan                compensation in the
               businesses, employing 16.7 million people and   to implement one in the              past year as a result
               accounting for around half of private sector   next 12 months                        of public injuries
               turnover (Federation of Small Businesses
               (FSB), 2023). As that increases – the number   Source: Hiscox, 2023 (figures correct at the start of 2022)
               of UK small businesses grew by 60% from
               2000 to 2022 (FSB, 2022) – looking after
               their people is big business.
                 But research has shown that without the                               ‘The biggest struggle for SMEs is knowing
               abundant resources  of bigger corporate   MANY SMEs ARE               where to start,’ Caroline adds. ‘Making
               organisations, many SMEs are failing to   FAILING TO INVEST IN        use of free resources such as the HSE [GB
               invest in even the most basic OSH practices.                          Health and Safety Executive] website is
                                                   EVEN THE MOST BASIC
               Almost one in three small businesses don’t                            useful to find simple, practical steps but can

               have a risk assessment policy in place. Of the                        often lead to them feeling overwhelmed
               1500 small business leaders questioned in   OSH PRACTICES             about the number of priorities.’
               a poll, 25% said health and safety was not a
               priority (Hiscox, 2023).            their business rather than managing   Spinning plates
                                                   health and safety. If they can afford to pay   The pressures of juggling many and


               Limited resources                   a consultant to help them, that’s fine – but   varied responsibilities can also be a
               Caroline Graham, an independent OSH   for many, this could fall down the priority   challenge for small businesses. This in turn
               consultant, isn’t surprised by the fi ndings.   list,’ Caroline explains.  has an impact on the health and wellbeing
               ‘For many small organisations, they are so   According to a report by the Money   of its people. Rebecca Lewis, SHEQ director
               focused on the day-to-day running of their   Advice Trust (2023), the cost-of-living   at UK-based Green Frog Connect, a low-
               business, it can take several years for them   crisis is taking its toll on small businesses,   carbon grid infrastructure specialist, has
               to realise they need to do a risk assessment,’   making meeting OSH requirements even   seen the workforce grow from four to 37


               she says. ‘It’s only when they start to grow   more difficult. Around a third of callers to   since she joined 10 years ago. She says
               and recruit people, and they require HR   the Business Debtline reported turning   those working for an SME are often under
               support, that this raises questions about   to credit in the last 12 months to cover   more pressure than those working for
               how they’re meeting health and safety   essential costs like council tax or energy.   bigger organisations.
               requirements.                        Research by the International Labour   ‘There probably aren’t another five people

                 ‘Then time and money are big factors.   Organization (2020) found that these   doing the same job as you,’ she says. ‘Quite
               Once they have a risk assessment in place,   constraints, together with ‘a low level of   often you have to wear many hats; you have
                                                   awareness of and compliance with OSH
                                                                                     more than one role – that’s when people
               they are often surprised by how much work
             ILLUSTRATION: ISTOCK  they need to do to meet compliance. They   standards’, mean that to be successful,   can start to feel overwhelmed and stressed.
                                                                                     Similarly, we don’t have a dedicated HR
               don’t have the time or understanding to
                                                   OSH initiatives must be low cost or free
               do this and they want to focus on running
                                                                                     manager, so it falls to me and my team to
                                                   and easy to access.
                                                                                                             IOSH MAGAZINE 57

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