Legal action impact

Insurance does not cover all costs associated with the loss. Losses from personnel time in firefighting operations, environmental impact, loss of company reputation, loss of customers, and finally the cost of potential legal actions may not be covered. 

Some managers are hesitant to terminate employees because it can be a difficult circumstance for all involved. For the terminated employee, it can have a tremendous impact on self-esteem, reputation, and personal finances. For the manager, it can be an emotionally charged event that results in an unpleasant confrontation. It also can lead to legal action for the business and individual manager. Therefore, some managers avoid... 

Legal action also had impact because it was so infrequent ... 

One director made it clear that he did not consider that legal action was always fair, but he nevertheless considered that it had a great impact even though the guy who is punished often isn t responsible . 

Union officials were altogether more supportive of legal action and thought it should be more frequent. This was because they felt that it put safety into focus and because they felt that it had a great impact on everyone. One union official explained that the prosecution of one of his members had a tremendous effect on the rest and the malpractice involved had apparently stopped for a long time afterwards. 

Legal action was judged on its merits on a case-by-case level, and where it was regarded as unfair it had less impact on the corporation. 

---