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    • Blog
      Health & Safety

    Cost center to value driver: The hidden ROI of EHS

    Companies are finally connecting the dots and turning solid EHS programs into serious business wins.

    The start of 2025 has already been a bit of a rollercoaster in the environmental, health, and safety (EHS) world. Companies are facing challenges from every direction—shifting workplace safety rules, stricter air quality regulations, growing climate disclosure requirements, and the biggest concern being worker retention and upskilling. And while companies love to say, “our people are our greatest asset,” spending patterns often tell a different story. It's as if they forgot that groundbreaking innovations come from healthy, focused, well-supported employees.

    But why? At first, we thought this budget hesitancy was just pre-election jitters, but here we are, post-election, and organizations are still playing it safe with spending.

    But there is some good news: while companies are stuck in this awkward holding pattern watching to see what's going to shake out with US Environmental Protection Agency (EPA) and Occupational Safety and Health Administration (OSHA) regulations, they’re realizing their stretched-thin EHS teams need a lot of help. And without it, they’re putting their people and their brand at risk.

    As companies push for four-to-five-days-in-office weeks, EHS teams are back in the building making sure returning employees are safe and comfortable. But they’re continuing to play catch-up after years of deferred maintenance on core programs. As a result, there is a renewed interest in management systems like ISO 9001, ISO 14001, and ISO 45001 (ISO 9001 focuses on quality management, while ISO 14001 focuses on environmental management, and ISO 45001 focuses on health and safety management)—something we haven’t seen since before COVID—not necessarily for the fancy certification (at least not in the US) but for the operational backbone these standards provide.

    Why the sudden love for documentation? It's no secret that EHS departments are dealing with a revolving door of talent. As experienced pros walk out with years of knowledge tucked under their arms, companies are realizing they need to get that institutional knowledge down on paper before it's gone for good.

    And let's be real, with budgets frozen and regulatory uncertainty looming, companies are focusing on what they can control.

    I like to say that we find ourselves in a “control the controllables” kind of moment.

    The big questions on everyone's mind: How do we keep our good people? How do we show them we've got their backs? And perhaps most importantly, how do we show senior management that EHS is a business driver?

    The COVID era was a double-edged sword for EHS departments. It put EHS practitioners in the spotlight, but it also created a false impression that EHS was all about personal protective equipment (PPE) and testing. Companies were pouring millions into these immediate needs, from testing protocols to ergonomic home office setups. But while organizations were focused on masks and social distancing, the core EHS responsibilities—you know, the crucial stuff like air permitting, hazard engineering, and basic compliance—got pushed to the back burner.

    Then, 2023 hit, and leadership suddenly had a case of spending fatigue. The mindset was, “We've thrown money at EHS for years now—time to invest elsewhere.” What they didn't realize was that all of those COVID-related expenses weren't actually investing in fundamental EHS programs. It was like buying Band-Aids while ignoring a leaky roof. We saw EHS budgets get slashed below 2019 levels, with companies redirecting funds to research and development (R&D) and innovation to make up for lost time during the remote work era.

    Fast forward to today, and let's talk hard numbers. When workers' compensation costs spike, when stress leave numbers climb, and when turnover rates soar, suddenly, the “squishy” concepts of EHS and employee well-being don't seem so squishy anymore. A solid ergonomics program or structured stress management initiative might cost a fraction of what companies are hemorrhaging through injury claims and lost productivity. We're talking potential savings in the millions for larger organizations.

    Smart organizations are bringing everyone to the table—human resources (HR), facilities, R&D leaders, executive management—to look at employee well-being holistically as part of an EHS strategy. When you get the head of R&D thinking about how reduced injury rates could boost innovation or HR connecting the dots between workplace safety and retention rates, something magical happens. EHS transforms from a compliance checkbox into a strategic business driver. EHS professionals will always focus on risk mitigation to protect the company brand, but our bigger impact that we don’t talk about enough is on protecting and retaining the workforce that drives success.

    The key is changing the conversation from “we have to do this because it's the law” to “we want to do this because it makes business sense.” Simple, cost-effective solutions like ergonomic assessments, structured break programs, or stress management resources can have ripple effects across the organization. Lower injury rates, reduced absenteeism, higher productivity, better product quality—these aren’t just EHS wins; they’re business wins.

    Visit BSI’s Experts Corner for more insights from our industry experts. Subscribe to our Experts Corner-2-Go LinkedIn newsletters for a roundup of the latest thought leadership content: Digital trust, EHS, and supply chain.