Occupational Health and Safety Effects on Productivity in a Garment Factory Using Structural Equation Modeling

Abstract

An industry goal is to create a product to make a profit. Development of human resources is one important thing for a company to consider. Companies have an opportunity to increase work productivity by the rules of OHS (Occupational Health and Safety). This study aimed to: (1) Partially determine the influence of work safety on employee productivity. (2) Partially determine the influence of health on employee productivity. (3) Simultaneously determine the influence of health and safety on employee productivity simultaneously. (4) Determine that variables that have a major influence on employee productivity. A questionnaire was used to collect data from 200 respondents. Results of SEM showed that safety did not have an effect on productivity (p=0.467). However, occupational health effected productivity (p=0.002). Thus, health has a significant influence on work productivity.