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Independent Audits Can Further Worker Health and Safety

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Safety at work is a bare minimum for workers’ dignity. Yet, far too often, it is at risk. In June 2022, the International Labor Organization (ILO) recognized a safe and healthy work environment as a universal labor right, adding it to the core ILO fundamental principles of rights at work.

In practice, a safe and healthy work environment involves physical and mental safety, keeping a workplace free of hazards, providing training and equipment and offering reasonable expectations for workers’ hours and capacity. That way, people can go to work each day and come home safely. This proxy season, there are several proposals – at Dollar General, Dollar Tree and Amazon – asking for independent audits around workplace health and safety. It's a critical time to encourage progress on this issue. Fines and scrutiny from regulators are mounting. Workers are becoming more vocal as well, calling for changes. This also has widespread economic implications, with an estimated $176 to $352 billion lost each year due to job injuries and illnesses.

Dollar General has 19,000 stores throughout the United States, providing access to affordable products in rural and remote communities. Yet there are concerns that this low-cost model operates at the expense of its workforce.

The U.S. Occupational Safety and Health Administration (OSHA) recently identified Dollar General as a severe violator. OSHA found repeat offenses of fire hazards and blocked aisles and exits – often a result of stacked boxes from a shipment arriving without enough staff or space. Understaffing and cash transactions also create a dangerous environment for workers and customers, with frequent incidents of gun violence and robberies. Not to mention the low wages: 92 percent of Dollar General employees earn less than $15 per hour.

Dollar General has hotlines and surveys to gather feedback from workers, but these don’t seem to be capturing the safety risks or enabling the right solutions. Workers know the day-to-day hazards and what changes are needed – this is why the latest shareholder proposals aim to have workers and community members participate in the independent audit. Some workers have taken to social media and the press about the risks at work. Another group of dollar store workers has a clear set of demands that they’ve shared with the companies and investors, including safety managers; store infrastructure improvements in layout or lighting; adequate staffing so workers aren’t alone, vulnerable, or over-stretched; support to heal after a violent work incident; and training and a safety code.

Meeting the needs of workers and providing a safe space will be good for these companies, reducing staff turnover and helping to attract and retain talent. It also will reduce fines from regulators. Further, it is important that communities feel like dollar stores and distribution centers will make positive contributions to their community, so they won’t organize against new stores being built and undercut the company’s growth potential. Findings from the requested audits will help address critical issues and maintain workforces that are respected, stable and safe.

Mary Beth Gallagher
Director of Engagement, Domini Impact Investments