How Tariffs Are Reshaping Occupational Health and Safety for the Global Workforce — Occupational Health & Safety
How Tariffs Are Reshaping Occupational Health and Safety for the Global Workforce
Tariffs on steel, aluminum, and other imported goods are driving up costs and altering global supply chains—pressuring industries to cut back on safety investments and exposing workers to new occupational hazards.
Introduction
The Trump administration’s decision to raise tariffs on steel and aluminum imports to 50% has had profound effects on the manufacturing and construction industries (This action was taken under Section 232 of the Trade Expansion act and went into effect on June 4.) While the intention was to bolster domestic production, the immediate consequence has been a surge in input costs. The effects of these global tariffs can be felt across other industries such as agriculture and maritime.
Tariffs—taxes on imported goods—can have both direct and indirect impacts on occupational health and safety (OHS) in the United States and globally. While tariffs are designed to protect domestic industries, overall their consequences can be complex and uneven. Implementing tariffs on global imports can have a much more profound effect on the economy and society at large.
Industry Shifts and Job Composition
Tariffs are intended to stimulate the economy and domestic production in certain industries (e.g., steel, manufacturing), potentially creating more jobs. However, these industries often involve higher-risk work environments, increasing demand for strong OHS protections. Worldwide, reduced demand for exports in affected countries can lead to job losses, increased informal or unregulated work, and deterioration in workplace conditions.
Another concern is the financial cost and timeline to find and acquire land, construct large industrial plants, acquire the necessary machinery, equipment, technology, and supplies, and train a workforce. For most industries to avoid these tariffs, it may take several years, and yet, some parts may not be domestically available as witnessed in the automobile and electronics industry.
Cost Pressures and Safety Investments
Companies facing higher input costs due to tariffs may try to offset expenses by cutting spending in other areas, including OHS training, equipment maintenance, or hiring of health and safety personnel. International suppliers under pressure to reduce prices may lower labor standards, disregard quality inspections, or bypass OHS protocols, heightening risks for their workforce.
Supply Chain Disruption
Tariffs can alter supply chains, pushing companies to find cheaper or less-regulated suppliers. These shifts may introduce new OHS hazards if materials or components are of lower quality or if the origin countries have weaker OHS standards. In lower-income countries, this can exacerbate exploitation in unsafe, informal sectors lacking labor protections.
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