Thursday, January 9, 2014

Appliance Testing: Major Consequences of Non-Compliance

Businesses are required to follow strict compliance regulations. As per Australia’s Government Legislation, workplaces’ appliances must be subjected to testing and tagging on set frequency. This results to the importance of appliance testing and tagging services for entrepreneurs today in the country.

Nonetheless, several companies take this legislation lightly and won’t subject their appliances for testing. Their reasons for being non-compliant may vary, but contrary to common opinions, serious consequences awaits entrepreneurs who will take tagging and testing for granted like the following.

Fire incident. Fire is very problematic for every company and even for residents. In a business, fire can transform every investment to ashes, which means loss of money. Appliances run on electricity and problematic electrical lines and wiring on these equipment can cause fire. This problem can be detected early through electrical test and tag services extended by professionals.

Voiding insurance coverage. Insurance companies grant coverage for companies as long as clients comply with their set policies. Specific insurance company policies often include meeting safety standards in the workplace. Once insurance providers found out that a company is incompliant with tag and test assessment, they have the right to void insurance coverage, which can compromise the company’s finances in case something went wrong and cost employees’ safety.

Expensive fines. Fines due to non-compliance are very expensive. They can range from thousands of dollars for not meeting tag and test standards. The problem is that settling the non-compliance issue doesn’t end in paying the fine. Other technicalities and procedures revolving around this standard must be met before getting cleared off the issue.

Grave injuries and even death. One short circuit can lead to explosion or fire, which can endanger employees’ life. These accidents can cause a wide array of injuries with different levels and even death. Employers, then, take all the financial burden by dealing with worker’s compensation on something that can be prevented early on. Furthermore, the emotional pain and burden on the conscience caused by the incident can’t be settled by mere payment or compensation.

Decreased productivity. Damaged appliances or equipment don’t work like they used to even after repairing it by yourself. Therefore, they will already affect efficiency and productivity within your company. In addition, they have the tendency to act up again in the future, which can slow down production or service delivery. You can avoid productivity issues once the tag and test expert assessed that some of your appliances have impending problems, which can be solved by appliance replacement.

Ceased business operations. Fines may be nothing, but non-compliance can take your business down. The authorities will close your business, which will require you to start from scratch and lose quite a lot of money in the process.

Non-compliance consequences are not something that you should take lightly. The last thing that you want to happen is to spend a lot of money on fines or lose income due to closing your business. Make that appointment today with a tag and test professional to assess your workplace’s appliances and equipment.

Learn more about the author: David Hall

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