Business Cycle and Occupational Accidents in Korea

Occupational accidents occur for a variety of reasons, such as unsafe behaviors of workers and insufficient safety equipment at the workplace, but there are also various economic and social factors that can impact working conditions and working environment. This study analyzed the relationship between changes in economic factors and the occurrence of occupational accidents in Korea.

Multilinear regression analysis was used as the analysis model. The general to specific method was also used, which consecutively removes statistically insignificant variables from a general model that includes dependent variables and lagged variables of dependent variables.

The frequency of occupational accidents was found to have a statistically significant relationship to economic indicators. The monthly number of cases of occupational injury and disease and fatal occupational injuries were found to be closely related to manufacturing capacity utilization, differences in the production index in the services sector, and commencements of building construction. The increase in equipment investment indicators was found to reduce fatal occupational injuries.

The results of this study may be used to develop occupational accident trends or leading indicators, which in turn can be used by organizations that manage and monitor occupational accidents toward taking administrative action designed to reduce occupational accidents. The results also imply that short-term and mid- to long-term economic and social changes that can impact workers, workplaces and working conditions, and workplace organizations must be taken into account if more effective government policies are to be established and implemented toward further prevention of occupational accidents.