Oil Palm Industry Economic Journal Vol. 19 (1) March 2019 p. 17-28
DOI:

The Cost Components of Occupational Accident in Oil Palm Plantations in Malaysia

Azizah Ahmad*; Mohd Rafee Baharudin**; Anita Abd Rahman**; Salmah Muhamed≠; Izreen Supa’at≠≠; Aidalina Mahmud**; Samsul Bahari Mohd Noor± and Anne Noor Sri Juwaneeta Jamaludin±±
Received:    Accepted:    Available Online:

ABSTRACT:

The cost of accident has a major impact on the company’s financial performance. This article concerns on the cost of occupational accidents incurred planters during an accident in a plantation. It proposes a method to identify the accident cost based on harvest delays by using timeline penalty. The research objective is to develop a method for identifying the accident cost by using empirical data based on case studies. The results showed that the output loss was the highest contributor to the accident cost calculation. However, the cost may vary due to the situation and condition of the injured workers, such as temporary disability (TD), permanent disability (PD) and death (D). These cost components can be useful parameters for cost benefit analysis of accident prevention plan. This research aims to help companies improve their awareness of accident prevention, develop cost of accident analysis skills, implement a future plan in managing safety risk and actively participate in global safety and health issues. This study offers to bridge the significant gaps between research knowledge in current policy and practice, the collaboration of trade unions and employer’s representative, demand for public health services and other welfare agencies and increase the safety awareness of employers.

Keywords: accident cost, agriculture, palm oil plantation, timelines penalty

About Post Author

Keywords:

* Department of Health Sciences,
Faculty of Engineering and Life Sciences,
Universiti Selangor,
40000 Shah Alam, Selangor, Malaysia.


** Department of Community Health,
Faculty of Medicine and Health Sciences,
Universiti Putra Malaysia,
43400 UPM Serdang,
Selangor, Malaysia.


≠ Department of Accounting and Finance,
Faculty of Economic and Management,
43400 UPM Serdang,
Selangor, Malaysia.


≠≠ Department of Health Sciences,
Faculty of Engineering and Life Sciences,
Universiti Selangor,
40000 Shah Alam, Selangor, Malaysia.


± Department of Electrical and Electronic
Engineering, Faculty of Engineering,
43400 UPM Serdang,
Selangor, Malaysia.


± ± Department of Epidemiology and Public
Health Medicine, Perdana University-
Royal College of Surgeons in Ireland,
43400 Serdang, Selangor, Malaysia.

E-mail: azizah@unisel.edu.my