Five reasons all retailers should conduct regular risk assessments

The importance of regular risk assessments in retail

In the retail sector, the wellbeing of employees, customers and the general public should be a top priority. Risk assessment – the systematic process of identifying, evaluating, and prioritising potential hazards to implement effective control measures and minimise risks – is crucial to achieving this goal.  

Despite this, in 2024, more than a quarter of retail workers report inadequate risk assessments in their workplace, potentially putting employees and businesses at risk.

Here are five reasons all retailers should conduct regular risk assessments:

1. Ensuring legal compliance
   
   Conducting a risk assessment is a requirement under UK law, namely the Health and Safety at Work Act 1974 (HSWA) and the Management of Health and Safety at Work Regulations 1999 (MHSWR).
   
   The HSWA places a general duty on employers to ensure, as far as is reasonably practicable, the health, safety, and welfare of their employees while at work. This duty extends to protecting non-employees, such as customers or visitors who might be affected by the work activities.
   
   The MHSWR builds on the HSWA by requiring employers to:
   
   - Conduct a “suitable and sufficient” assessment of risks, including identifying hazards, evaluating their likelihood and severity, and implementing control measures;
   
   - Record the significant findings of the risk assessment and any groups of employees identified as being particularly at risk (if the business has five or more employees); and
   
   - Review and update risk assessments regularly, particularly when there are significant changes to work practices, or after an accident or incident occurs. 
   
   Non-compliance with these requirements not only jeopardises employee safety but also exposes your business to potential legal and financial liabilities.
   
   
2. Preventing accidents and injuries
   
   Retail environments can present numerous hazards, from wet floors and poorly stacked shelves to electrical equipment and heavy lifting tasks.
   
   According to latest HSE statistics, 561,000 workers sustained non-fatal injuries in 2022/23. Slips, trips or falls on the same level (32%) and handling lifting or carrying (17%) were the two most prominent causes, with acts of violence (8%) also featuring in the top 5. Given these risks are prevalent in retail, it’s perhaps not surprising that the sector has a statistically significantly higher rate of non-fatal injury compared to the all-industry average.
   
   Risk assessments help employers to proactively identify these hazards and implement controls to reduce the risk of accidents and injuries. This not only protects employees but also minimises business disruption given that 3.7 million days were lost to non-fatal injuries in 2022/23 and 22% of injuries (124,000) resulted in absence of over seven days.
   
   
3. Avoiding financial repercussions
   
   Accidents and injuries in retail can result in significant financial repercussions, including fines and penalties from the HSE for criminal breaches of health and safety law, compensation awards made following civil personal injury claims, and of course costly legal fees incurred.  Conducting regular health and safety risk assessments can reduce these costs by preventing incidents before they occur.
   
   In addition, a strong safety record, supported by regular risk assessments, can lead to lower insurance premiums, providing direct financial benefits to the retailer.
   
   
4. Preserving reputation and building trust
   
   A safe shopping environment helps to maintain customer trust and protect your business’ reputation. Conversely, serious accidents or safety failures can lead to negative publicity, damage to your brand image, and potential personal injury claims. 
   
   Regular risk assessments are vital for identifying and addressing issues such as uneven flooring, obstacles, or hazardous materials. By preventing such incidents, you not only safeguard your brand's reputation but also enhance the shopping experience, encouraging repeat business and fostering customer loyalty.
   
   A commitment to health and safety is equally important for employees. When retailers prioritise risk assessments and implement effective safety measures, they demonstrate a genuine concern for employee wellbeing. This approach builds trust and loyalty among staff, leading to a more engaged and motivated workforce, fewer absences, and reduced turnover.
   
   
5. Promoting continuous improvement
   
   Health and safety risk assessments should be an ongoing process rather than a one-time task. As retail environments continuously evolve, regular assessments are crucial for adapting to these changes and maintaining effective safety measures. 
   
   This continuous approach ensures that emerging risks are promptly identified and managed, whether they arise from changes in store layout, the introduction of new equipment, or shifts in customer behaviour.
   
   Employers should revisit and update risk assessments at least annually, or more frequently if there’s reason to suspect they may no longer be sufficient.

How to conduct a risk assessment in 5 simple steps

1. Identify hazards: Spot potential dangers in the workplace or activity.
2. Assess risks: Evaluate the likelihood and severity of harm resulting from each hazard.
3. Implement controls: Introduce measures to mitigate or eliminate the identified risks.
4. Record findings: Document the risks and the steps taken to address them.
5. Review regularly: Update the assessment periodically or when changes occur.

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