Senior Professional in Human Resources (SPHR) — Question 26

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?

Answer options

• A. Workplace accidents
• B. Turnover
• C. Absenteeism
• D. Drug plan costs

Correct answer: A

Explanation

Workplace accidents often lead to significant financial losses due to medical expenses, legal fees, and decreased productivity. While turnover, absenteeism, and drug plan costs also impact organizational expenses, workplace accidents are typically the largest direct contributor to unforeseen costs, making them the most costly form of workplace stress.