Operator exposure milling equipment

Most OSHA standards require firms install specific types of safety equipment or institute specific safety programs. Besides specification standards OSHA also uses performance standards to set maximum levels of exposure to particular hazards. Both specification and performance standards impose considerable financial burdens on firms. The National Association of Manufacturers calculated OSHA standards cost about 103,000 (1993 dollars) for an average firm with 1-100 employees and 1,026,000 for an average firm with 501-1,000 employees (Smith 1976). Within certain industries the costs are even larger. The 1978 cotton dust standard, for instance, increased operating expenses in the textile mill products industry by more than 50 million per year (Viscusi 1992). Clearly, only if regulations are backed by financial penalties for noncompliance will firms install the safety equipment or institute the safety programs dictated by OSHA. 

---