Here is what OSHA claims the cost savings will be for the “Globally Harmonized System” (GHS) for the revised HazCom Standard. Not sure I am buying these “cost savings”.
The proposed modifications in its NPRM concerning the HCS are expected to benefit employers in two primary ways. First, the harmonization of hazard classifications, safety data sheet (SDSs) formats, and warning labels will also yield substantial savings to businesses. On the producer side, fewer different SDSs will have to be produced for affected chemicals, and many SDSs will be able to be produced at lower cost due to harmonization and standardization. Second, for users, OSHA expects that they will see reductions in operating costs due to the decreased number of SDSs, the standardization of SDSs that will make it easier to locate information and determine handling requirements, and other factors related to simplification and uniformity that will improve workplace efficiency. Finally, OSHA estimates that the revisions to the HCS will result in reductions in the cost of training employees on the HCS in future periods because standardized SDS and label formats will reduce the amount of time needed to familiarize
employees with the HCS and fewer systems will have to be taught since all producers will be using the same system. OSHA’s preliminary estimate is that establishing a harmonized system for the classification and labeling of chemicals will create a substantial annualized savings for employers ranging from $585 million to $798.4 million. The majority of these benefits will be realized through increases in productivity for health and safety managers as well as for logistics personnel with savings ranging from $472 million to $569 million. Simplifying requirements for hazard communication training are estimated to provide savings up to $285.2 million. Additionally, establishing uniform safety data sheets and labels will save between $16 million and $32.2 million. OSHA plans to finalize the NPRM in by the end of the year.