Safest Subcontractors of the Southwest

Subcontractors face many issues in the field, but one of the most important is safety. Safety directors use many techniques, from offering training courses to halting work at unsafe jobsites. But most say that caring for your fellow employees is the best way to promote safety.

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With subcontractors busier than ever, many have increased productivity of existing employees while hiring new employees to keep up with the ever-increasing demand.

While this may sound like the recipe for accidents, the specialty contractors profiled here have found it possible to increase their bottom line at the same time as providing their employees with some of the safest work environments in the industry.

"The most important asset to a company is the people that are working for it, and if we don't have those people, we aren't going to be successful," said Mark Klingensmith, director of safety with Tri-City Mechanical in Chandler, Ariz., a division of Houston-based Comfort Systems USA. "So much of this industry has been focused on productivity. We feel you also have to take into account quality work and safety, and all three have to be equal. If any one of those is lacking, you aren't going to be successful."

Tri-City Mechanical reported an Experience Modification Ratio of 0.47, one of the lowest EMR's in the Southwest among firms who participated in our survey.

The EMR is an industry factor used in Worker's Compensation Insurance, and is based on the employer's claim history and determined by the claims paid and reserved in the previous three years along with the audited premiums paid. The EMR is considered a fairly accurate reflector of a company's safety record, and is often used as a factor for prequalification by some owners during a project's bidding process.

However, since the EMR can be affected by the size of the company's payroll as well as the type of specialty work the contractor does, company's can have similar safety records but have different EMR numbers.

"The most important thing is the company's belief in its people, and the employees' knowledge that the company doesn't want them to do anything unsafe," said Guy Albanese, corporate safety director for TDIndustries, a Dallas-based mechanical and plumbing contractor. "It's that culture which is the hardest thing to grow. Lots of companies provide safety training, but it's got to be in conjunction with having the culture that the employee really believes that we don't want them to get hurt."

That can mean spending money on safety equipment even though the job is losing money, or going to a general contractor and stopping work because the job is unsafe, Albanese said. "I've shut down jobs before. Our people know that regardless, we want them to do it in a safe way."

TDIndustries reported a 0.17 EMR, the lowest in this year's survey.

A & B Environmental, a Las Vegas-based environmental contractor, achieved an EMR of 0.60. "Our industry is highly regulated, so there's not much room for screwing up," said Kristal Slough, managing member of the firm. "We are in a field where we could get inspected on every single job we file a permit for."

Jack B. Henderson Construction Co. takes a holistic approach to safety. The firm achieved the lowest EMR in New Mexico with a 0.61, and was also one of the safest firms in Southwest Contractor's general contractor rankings in April.

"A true safety program followed by everyone is a behavior-based program," said Kerry Soileau, the firm's environmental health and safety director. "If you aren't safe outside of work you won't be safe inside. If you can change the fundamental behavior of an individual, they are on the right path to the ultimate goal of keeping everyone safe."
In New Mexico, teamwork among safety directors from both general and subcontractors is important, according to Leonard Otero, safety director with Albuquerque-based Yearout Mechanical. This philosophy led to the creation of the Construction Health and Safety Excellence partnership (CHASE) between the New Mexico Building Branch, AGC and New Mexico Occupational Health and Safety Bureau in 2001.

"The program recognizes and rewards those contractors who adhere to strong safety practices to protect their employees in their everyday work activities in the high hazard construction industry," said Dennis Roberts, director of industry relations and safety for the AGC branch.

Participating contractors, which include both Yearout and J.B. Henderson, are selected through review of their active safety programs and safety records, as evidenced by incident rates. "Being accepted in the CHASE partnership helps validate the hard work which the contractors have put into making their safety programs effective over an extended period of time," Roberts said.

Keeping the lines of communication with employees open is one of the most important aspects to the job of safety director, Klingensmith said. "This position has developed over the years to be less of a safety 'cop' and more of a safety resource."

"Get to know your employees and what their skills and weaknesses are," Slough advised. "You want to know who is working for you, and use the gifts of that person."

Albanese advises other safety directors to believe in their safety message, and have their actions support that message. "People know when you really care about whether they get hurt or not, or whether you just care about the bottom line."

Even if it means saying 'I'm going to shut that job down,' Albanese added.

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