Occupational Health and Safety (OHS) Market Size, Share, Analysis, Trends, Growth, Forecasts, 2032

Occupational Health and Safety (OHS) Industry Prospective:

The global occupational health and safety (OHS) market size was worth around USD 4,834.60 Billion in 2023 and is predicted to grow to around USD 8,593.70 billion by 2032 with a compound annual growth rate (CAGR) of roughly 6.60% between 2024 and 2032.

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Occupational Health and Safety (OHS) Market: Overview

Occupational health and safety (OHS) is a field of study that deals with the management of health, safety, and overall welfare of people in a work environment. It is obligatory science that every company employing people in exchange for monetary & non-monetary perks must adhere to ensure overall employee well-being. The exact protocols of occupational health and safety may differ depending on region and internal company laws; however, the end goal is to prevent any form of physical, mental, and sexual exploitation of employees. This in turn helps the companies maintain and enhance the company's brand value. OHS is in alignment with initiatives related to workplace health promotion.

In most cases, regulations related to occupational health and safety are primarily addressed under common law duty which is laid down by the judicial system of the country. In addition to this, state laws may provide additional benefits depending on the requirements of the regional employed force. The rules under occupational health and safety are a relatively new phenomenon as more attention was paid to employee’s well-being after labor movements gained momentum during the industrial revolution. During the forecast period, the OHS industry is likely to witness a high growth rate especially encouraged by the emergence of industrial revolution 4.0.

Key Insights:

• As per the analysis shared by our research analyst, the global occupational health and safety (OHS) market is estimated to grow annually at a CAGR of around 6.60% over the forecast period (2024-2032)
• In terms of revenue, the global occupational health and safety (OHS) market size was valued at around USD 4,834.60 billion in 2023 and is projected to reach USD 8,593.70 billion by 2032.
• The market is projected to grow at a significant rate due to the increasing number of factories and corporate houses along with the rising employment rate
• Based on service type segmentation, the examination services segment was predicted to show maximum market share in the year 2023
• Based on on-site location segmentation, the on-site segment is projected to swipe the largest market share.
• On the basis of region, Europe is expected to dominate the global market during the forecast period.

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Occupational Health and Safety (OHS) Market: Growth Drivers

Increasing number of factories and corporate houses along with the rising employment rate to drive market growth rate

The global occupational health and safety (OHS) market is expected to grow owing to the number of factories and several forms of corporate houses across the globe. Protocols related to OHS are a primary facet of industries and workplaces employing people. These laws are especially applicable to facilities for work deemed hazardous. For instance, chemical manufacturing units, mining centers, wood or other forms of concrete cutting stations, and other units. Occupation health and safety-related rules and systems allow employers to ensure employee safety.

As per a November 2023 report by the International Labor Organization, more than 3 million people globally die every year due to work-related diseases or incidents. Over 395 million sustain serious injuries due to negligence or the absence of safety protocols. This has led to governments and international healthcare organizations emphasizing the need to draft and implement practical safety systems for preventing occupational hazards.

For instance, OHS rules in India mandate employers in the chemical industry to conduct regular medical check-ups of the employees. Facilities should be equipped with sufficient decontamination facilities and maintain hygiene at all times. As more factories continue to be built globally, the implementation of OHS and related technology or services is likely to continue growing. In November 2023, Vink Chemicals, a Germany-based chemical company, initiated the construction of a new chemical facility in the region. This will help in creating around 45 new job roles across roles.

Rising number of OHS consultants globally will impact market implementation

The global market for occupational health and safety is further projected to gain higher momentum due to the growing number of OHS consultancy service providers. Since occupational health and safety rules are highly dynamic, companies require the help of regional experts who understand the protocols thoroughly and can help companies navigate through the complex web of changing OHS rules.

In January 2024, J. J. Keller & Associates Inc., a US-based consultancy firm, announced the launch of 4 new onsite consulting services especially for the healthcare sector.

Occupational Health and Safety (OHS) Market: Restraints

Lack of transparency shown by employers and corruption within the system may restrict market growth trends

The global occupational health and safety (OHS) industry is expected to be restricted due to the lack of implementation showcased by profit-inclined companies. Several reports have emerged on a global scale indicating the lack of any concern for employee safety at the workplace.

Employers do not follow the procedures and fail to deliver transparency in terms of measures taken to implement mandatory OHS-related rules. The infamous sweatshops in China are an indication of the lack of OHS implementation. Such forms of inhumane working conditions have been regarded as the prime reason for an increase in the suicide rate of workers in Chinese sweatshops.

Occupational Health and Safety (OHS) Market: Opportunities

Growing initiatives by regional governments to promote workplace safety are essential for industry players

The global occupational health and safety (OHS) market will be driven to new heights as governments across developed and emerging nations have initiated multiple programs to promote occupational safety. For instance, employees are protected against sexual harassment in the workplace in Africa under the Sexual Harassment of Women at Workplace Act of 2013.

Additionally, in India, non-compliance with the provisions associated with the Prevention of Sexual Harassment (POSH) can lead to a penalty of up to INR 50,000 which may be doubled in situations of repeated offenses. On the other hand, OHS regulations are an integral part of the European Legislation. They are linked with standardization in Technical Committees.

Rising integration of information technology (IT) tools in OHS management will generate higher profits

The global occupational health and safety (OHS) industry is steadily digitizing. The introduction of new digital tools for employees and employers improves compliance rates. For instance, the National Institute for Occupational Health and Safety (NIOSH) provides access to several software programs drafted for employees and employers. In April 2022, the Bokaro Steel Plant (BSL), India, announced the launch of ‘Kavach’. It is an application meant to assist in reducing the number of workplace accidents.

Occupational Health and Safety (OHS) Market: Challenges

Limitations in terms of implementation policies will challenge the market growth rate

The global occupational health and safety (OHS) market will be challenged by the lack of sufficient implementation policies. Even after the introduction of several mandates, an increasing rate of workplace accidents has been reported globally. Employees are unaware of their legal rights and can be easily manipulated in the favor of the corporation, especially in regions with weak judicial systems. Stricter implementation processes are required to ensure a higher market adoption rate.

Occupational Health and Safety (OHS) Market: Segmentation

The global occupational health and safety (OHS) market is segmented based on service type, end-user, site location, and region.

Based on service type, the global market is segmented into drug & alcohol testing services, healthcare services, disease screening services, examination services, health risk assessment, and others. In 2023, the highest revenue was generated in the examination services. Since COVID-19 companies have adopted a comprehensive approach to employee health thus including mental and physical health as essential parameters to employee wellbeing. In 2022, Indian corporations lost INR 1000 billion due to the poor mental health of the regional employees.

Based on end-users, the global occupational health and safety (OHS) market is divided into large enterprises and small & medium enterprises.

Based on On-site location, the global market is segmented into off-site, on-site, and telehealth services. In 2023, the highest growth rate was registered in the on-site segment. Most OSH service providers offer on-site services since they provide a measure to practically witness the dangers of the work environment and thus provide more efficient consultation. In Australia, more than 147 people died due to workplace accidents in 2023.

Occupational Health and Safety (OHS) Market: Report Scope

Occupational Health and Safety (OHS) Market: Regional Analysis

Europe will witness the highest rate of adoption during the forecast period

The global occupational health and safety (OHS) market is expected to witness the highest revenue in Europe. The region is home to some of the world's most stringent labor laws. Countries such as Belgium, Austria, Germany, Finland, and Denmark are often reported as the world’s best countries with laws related to employment. Most European countries have employee-oriented regulations. The Occupational Safety and Health Act (Arbeitsschutzgesetz) regulating Germany’s work environment provides rights to the employees for regular assessment of physical and psychological hazards associated with their work. Companies are liable to take appropriate prevention measures and showcase transparency with the employees.

Breaches of Section 25 of the Safety and Health at Work Act can result in fines of up to 25000 euros. North America is a prominent market in terms of OHS. The US and Canada regions boast of stringent regulations related to workplace safety. Higher employee awareness further helps the region. The judicial system of the countries has announced strict implementation policies and penalties in case of negligence or non-compliance. The introduction of digital tools for better management of OHS-related regulations will promote regional market revenue.

Occupational Health and Safety (OHS) Market: Competitive Analysis

The global occupational health and safety (OHS) market is led by players like:

• Integrity Health
• Cerner Corporation
• Sapphire Health Solutions
• Kareo
• Holistic HealthWorks
• AdvancedMD
• COPE Occupational Health Service Ltd
• Mobile Health Consumer Inc.
• Optum. Inc.
• And Others

The global occupational health and safety (OHS) market is segmented as follows:

By Service Type

• Drug & Alcohol Testing Services
• Healthcare Services
• Disease Screening Services
• Examination Services
• Health Risk Assessment
• Others

By End-user

• Large Enterprises
• Small & Medium Enterprises

By Site Location

• Off-Site
• On-Site
• Telehealth Services

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa