Health and Safety Performance Detail
Baxter uses a risk-based approach to health and safety management that identifies and prioritizes hazards, and acts to correct and prevent them. All employees are accountable for safety. The EHS organization reports safety performance to Baxter senior leadership monthly. The company tracks three main indicators in this area, which are integrated into many managers' annual performance management objectives, and impact annual compensation.
In 2006, Baxter improved its performance in two of the metrics:
- Recordable case rate. All work-related injuries or illnesses requiring medical attention beyond first aid, including cases with days lost. The 2006 rate improved 11 percent from 2005.
- Days lost rate. Number of days lost due to work-related injuries and illnesses. The 2006 rate improved two percent from 2005.


In contrast, Baxter's cases with days lost rate performance worsened by three percent compared to 2005. This metric describes work-related injuries or illnesses that cause an employee to lose at least one full day after the date of the incident. Performance suffered most in North America, where cases increased 29 percent. Two particular operations in this region influenced performance the most:
- The Renal Home Patient Delivery business saw a 45 percent increase in cases due to a shortfall in employee resources combined with a surge in business activity, as well as incidents of unsafe worker behavior.
- U.S. and Puerto Rico Medication Delivery saw a 26 percent increase in cases due to a lack of attention on prevention.

Baxter's safety team is addressing the company's 2006 performance challenges noted above as follows:
Reengineering Baxter's hazard identification and risk assessment process. These activities help facilities prevent occupational injuries and illnesses by identifying work-environment hazards, assessing risks and prioritizing action plans to address those risks. EHS audits for the past few years have revealed systemic weaknesses in the company's risk assessment process and deployment. Current efforts focus on the following areas of concern:
- Educating employees at all levels on the distinctions between risk, hazard and control;
- Reducing Baxter's overall risk profile through process improvements; and
- Engaging facility-level employees and supervisors to establish their accountability for the process.
Developing a companywide communication campaign to strengthen the safety culture at the facility level. Each Baxter facility has unique cultural characteristics, informed by its history, its management style and its employees. These characteristics influence employees' choices and behaviors with respect to safety – and these behaviors collectively define the facility's "safety culture." Baxter has historically taken a decentralized approach to setting the tone for safety, and so safety cultures vary by facility. The communication campaign, to be introduced during the second part of 2007, will start with a pilot that will target the greatest risks at the 10 sites demonstrating the most need.
Serious Injuries and Fatalities
Although Baxter demonstrated strong safety performance in several areas in 2006, four employees were seriously injured. In addition, one contractor was killed when hit by an unsecured wall while working on a facility construction project. Baxter regrets these unfortunate events, and is working to prevent similar accidents in the future.
View a comparison of Baxter to average occupational injury and illness rates for several related industries.
See a list of Baxter's Great Health and Safety Performers in 2006.


