Question

In: Operations Management

When the Act was signed in the 1970's, the US economy differed then from current times....

When the Act was signed in the 1970's, the US economy differed then from current times. Do you think that there is still a need for OSHA? What sort of impact will the current Administration have on occupational safety and health law? Will the way OSHA operates change in your opinion? Please provide your thoughts to the group about if OSHA law (rules and standards) still is needed or not. Don't forget to include supporting documentation, i.e. case studies and/or industry/OSHA examples that support your position.

Solutions

Expert Solution

The OSHA or the Occupational Health and Safety Administration is a branch of the Department of Labor that sets standards for workplace safety by laws and regulations,

along with the right interpretation for those laws and regulations. Yes I do think that there's still a need for the OSHA for the following reasons.

  • Large Workforce : The OSHA laws and regulations were primarily built for the blue collar work force. However it covers all areas of work and employment when it comes to health and safety. Although there are far fewer blue collar workers in the United States today than they were in the 1970's as a % of the workforce, as of 2020 the total number of employees Americans stands at 158.13 million. It's important to take care of such a large workforce since it'll have a direct impact on the economy and the health and safety of the country. To put the into context, the total population of the United States is around 330 Million. Which means that 50% of the country's population is actively employed. The population of the United States in 1970 was around 220 Million. Which means the the country has added an extra 110 million citizens.

The impact of the current administration on the occupational health and safety laws

  • The current administration in the United States has done little for the occupational health and safety of the American work force. While the current administration has been fairly successful in creating a successful Marco economic environment where businesses could thrive and grow like never before thanks to the tax cuts, which lead to the lowest unemployment rate in 10 years. The US unemployment rate in the 2010 was around 10 %, while the current unemployment rate (pre covid19) was between 2 - 3 %. However, when it comes to the health and safety of its work force, the current administration has done more harm than good. This is primarily because the current administration doesn't have a health care plan for the US workforce nor does it mandate employers health care like the previous administration.

However I do think that the way the OHSA operates will change in the wake of the coronavirus pandemic. This is because combating this pandemic will require cooperation at both the state and the federal level along with bipartisan support at the congressional level. A good example of this was the $ 2 Trillion stimulus package which will deliver a $1200 check for all Americans who's income is below $ 75,000 in order to help support families which are forced to quarantine at home due to the Covid19 virus.

Sources on Employment and Unemployment data : Trading Economics & Statista

Sources on the stimulus bill : Politico, Investing, Forbes, CNBC


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