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PHR · Question #49

Stress is often a significant issue in workplaces. Author Ravi Tangri asserts that stress costs organizations up to $300 billion per year. Which one of the following stresses is the largest contributo

The correct answer is A. Workplace accidents. This question addresses the relative cost impact of stress-related outcomes in organizations, identifying workplace accidents as the single largest cost driver according to Ravi Tangri's research.

Employee and Labor Relations

Question

Stress is often a significant issue in workplaces. Author Ravi Tangri asserts that stress costs organizations up to $300 billion per year. Which one of the following stresses is the largest contributor to organizational cost of waste?

Options

  • AWorkplace accidents
  • BTurnover
  • CAbsenteeism
  • DDrug plan costs

How the community answered

(62 responses)
  • A
    73% (45)
  • B
    16% (10)
  • C
    6% (4)
  • D
    5% (3)

Why each option

This question addresses the relative cost impact of stress-related outcomes in organizations, identifying workplace accidents as the single largest cost driver according to Ravi Tangri's research.

AWorkplace accidentsCorrect

Workplace accidents are identified as the largest stress-related organizational cost because they carry both direct expenses (medical treatment, legal liability, equipment damage) and substantial indirect costs (lost productivity, investigation time, coworker impact, and regulatory penalties). These compounding costs make accidents more financially damaging than any other single stress outcome. Tangri's research specifically ranks accidents at the top of the organizational cost hierarchy.

BTurnover

Turnover, though expensive due to recruiting and training replacement employees, represents a smaller total share of stress-related organizational costs than workplace accidents.

CAbsenteeism

Absenteeism contributes meaningfully to stress costs but ranks lower than workplace accidents in total financial impact on the organization.

DDrug plan costs

Drug plan costs tied to stress-related health conditions are a relatively minor component of overall organizational stress costs compared to accidents.

Concept tested: Stress-related organizational cost categories and ranking

Source: https://www.shrm.org/topics-tools/tools/toolkits/managing-workplace-stress

Topics

#workplace stress#organizational costs#workplace accidents#HR metrics

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