Industrial Safety and Health for Goods and Materials Services - Chapter 2 doc

2 Wholesale TradeThe wholesale trade 42 sector comprises establishments engaged in wholesaling merchandise, generally without transformation, and rendering services incidental to the sal

2 Wholesale Trade

The wholesale trade (42) sector comprises establishments engaged in wholesaling merchandise, generally without transformation, and rendering services incidental to the sale of merchandise The wholesaling process is an intermediate step in the distribution of merchandise Wholesalers are organized to sell or arrange the purchase

or sale of (1) goods for resale (i.e., goods sold to other wholesalers or retailers), (2) capital or durable nonconsumer goods, and (3) raw and intermediate materials and supplies used in production Wholesalers sell merchandise to other businesses and

and business establishments In the economy as a whole, wholesale trade represents about 4.4% of all employment and 7.1% of all establishments BLS estimates show that wholesale trade employment averaged 5,749,500 during 2005

The composition of the wholesale trade in the North American Industry Classi-fication System (NAICS) breakdown is as follows:

Wholesale trade (42)

Merchant wholesaler, durable goods (423000)

Motor vehicle and motor vehicle parts and supplies merchant wholesalers (423100)

Furniture and home furnishing merchant (423200)

Lumber and other construction materials merchant wholesalers (423300)

Goods and materials are delivered by the wholesaler to the retailer

Profes siona l and co mmercia l equipm ent a nd supplies merchant whole-saler s (423400 )

Meta l and min eral (except petro leum) merc hant wholesal ers (42350 0) Electr ical and electroni c goods merc hant wholesalers (423600 )

Har dware an d plumbing and heating e quipment and suppl ies merch ant wholesal ers (423700 )

Machi nery, equipment , and suppl ies merc hant wholesalers (423800 ) Farm and garden machi nery and equipment merc hant wholesale rs (423820 )

Mis cellaneous durabl e goods merc hant wholesal ers (423900 )

Merch ant wholesal ers, nondura ble goods (424000 )

Pa per and paper product merc hant whol esalers (424100 )

Appa rel, piece goods, a nd noti ons merc hant wholesalers (424300 ) Gro cery and relate d product wholesal ers (424400 )

Fa rm product raw mat erial mercha nt wholesal ers (424500 )

Che mical and allie d product s merchant wholesal ers (424600 )

Pe troleum and petro leum product s merc hant whol esalers (424700 ) Beer, wine, and distilled alcoholic beverage merchant wholesalers (424800) Mis cellaneous nondura ble goo ds merc hant whol esalers (424900 )

Who lesale electroni c mark ets and agents and broker s (425000 )

Whole sale elect ronic mark ets and agents and broker s (425100 )

The whol esale secto r is characteri zed by most workplace s being small,

sales, or trans portation and mat erial-m oving occupat ions Whil e some jobs requi re a

When consumers purchase goods, they usually buy them from a retail estab lish-ment, such as a supermarke t, depart ment store, gas station, or Internet sit e When

they norm ally buy them from wholesal e trade estab lishmen ts (Figur e 2 1)

manufacturer who purchases steel tubing, wire cables, and paint Customers may

clips, or computers, or for resale to the public, as does a department store that

for sale, perhaps all made by one manufacturer, or they may offer thousands of items produced by hundreds of different manufacturers Some wholesalers sell only a narrow range of goods, such as very specialized machine tools; while others sell a broad range of goods, such as all the supplies necessary to open a new store,

accounting ledgers, and perhaps even some merchandise for resale

Wholesale trade firms are essential to the economy They simplify product,

and the customer They store goods that neither manufacturers nor retailers can store

They provide businesses with a nearby source of goods made by many different manufacturers; they provide manufacturers with a manageable number of customers, while allowing their products to reach a large number of users; and they allow manufacturers, businesses, institutions, and governments to devote minimal time

manufacturers otherwise would have to perform

There are two main types of wholesalers: merchant wholesalers and wholesale electronic markets, agents, and brokers Merchant wholesalers generally take title to the goods that they sell; in other words, they buy and sell goods on their own account They deal in either durable or nondurable goods Durable goods are new or used items that generally have a normal life expectancy of 3 years or more Establishments in this sector of wholesale trade are engaged in wholesaling goods, such as motor vehicles, furniture, construction materials, machinery and equipment (including household appliances), metals and minerals (except petroleum), sporting goods, toys and hobby goods, recyclable materials, and parts Nondurable goods are items that generally have a normal life expectancy of less than 3 years Establish-ments in this sector of wholesale trade are engaged in wholesaling goods, such

as paper and paper products, chemicals and chemical products, drugs, textiles and textile products, apparel, footwear, groceries, farm products, petroleum and

FIGURE 2.1 Wholesalers process and deliver goods utilizing smaller trucks in most instances

petroleum products, alcoholic beverages, books, magazines, newspapers, flowers and nursery stock, and tobacco products The merchant wholesale sector also

and marketing of their products

Firms in the wholesale electronic markets, agents, and brokers subsector arrange for the sale of goods owned by others, generally on a fee or commission basis They act on behalf of the buyers and sellers of goods, but generally do not take ownership

of the goods This sector includes agents and brokers as well as business-to-business electronic markets that use electronic means, such as the Internet or electronic data interchange (EDI), to facilitate wholesale trade

considered part of wholesale trade As a marketing ploy, many retailers that sell mostly to the general public present themselves as wholesalers For example, wholesale price clubs, factory outlets, and other organizations are retail establish-ments, even though they sell their goods to the public at wholesale prices

Besides selling and moving goods to their customers, merchant wholesalers may

and technical support, marketing services such as advertising and promotion, tech-nical or logistical advice, and installation and repair services After customers buy equipment, such as cash registers, copiers, computer workstations, or various types

of industrial machinery, assistance may be needed to integrate the products into the

cus-tomers, install or repair equipment, train users, troubleshoot problems, or advise on

Working conditions and physical demands of wholesale trade jobs vary greatly Moving stock and heavy equipment can be strenuous, but freight, stock, and material movers may make use of forklifts in large warehouses Workers in some automated warehouses use computer-controlled storage and retrieval systems that further reduce labor requirements Employees in refrigerated meat warehouses work in a cold environment and those in chemical warehouses often wear protective clothing

for much of the workday and may spend a considerable amount of time traveling

On the other hand, most management, administrative support, and marketing staff

Overall, working conditions are relatively safe in wholesale trade In 2003, there were 4.7 work-related injuries or illnesses per 100 full-time workers, as against 5.0 per 100 for the entire private sector However, not all wholesale trade sectors are equally safe Occupational injury and illness rates were considerably higher than the national average for wholesale trade workers who dealt with lumber and construction materials (7.1 per 100 workers); motor vehicle and motor vehicle parts and supplies (6.2 per 100 workers); groceries (7.5 per 100 workers); and beer, wine, and distilled beverages (10.9 per 100 workers)

Most workers put in long shifts, particularly during peak times, and others, such as produce wholesalers who start work before dawn to receive shipments of vegetables and fruits, work unusual hours

2.1 PROFILE OF RETAIL WORKERS’ DEATHS, INJURIES,

AND ILLNESSES

2.1.1 DEATHS

There wer e 204 occupat ional ly related deaths to retail wor kers in 2005 The

the percent of those dea ths from each major catego ry

2.1.2 INJURIES

There wer e 178,760 reported injuries for retail wor kers in 2004; this was 21% of the total injuries (850,93 0) for the service indus try The distrib utions for the natur e, body part, source , and exposur e (acciden t type) for the 178,760 injuries a re presen ted in

Tables 2.2, 2.3, 2.4, and 2.5, respec tive ly

2.1.3 ILLNESSES

In the whol esales secto r, 7100 cases of occupat ional illne ss wer e reported; this is 5%

breakdown of the illnesses

2.2 HAZARDS FACED BY WHOLESALE WORKERS

The hazards of working with all types of products and the handling of these products

as well as the assurance that the products are delivered accurately and in good condition contribute to the hazards faced by wholesale workers

The hazards covered in this book are the primary ones that affect wholesale workers in processing and warehousing facilities In most cases, the most frequent hazards faced by wholesale workers are as follows:

2.3 OCCUPATIONS

Many occupations are involved in wholesale trade, but not all are represented in

part of the indus try The activities of these wholesal e trade firms comm only center on storing, selling, and transport ing goods As a resul t, the three large st occupat ional

whom wor k in invent ory manag ement ; sales and related workers; and workers in transport ation and mat erial-m oving occupat ions, most of whom are truck drivers and material movers In 2004, 70% of whol esale trade wor kers were concent rated in these three groups Comm on occupat ions in the whol esale secto r are bookkeep ing,

repairers; order clerk s; purchas ing manag ers, buyers , and purchas ing ag ents; sales

TABLE 2.1 Occupat ional Death Caus e by Pe rcent for Wholes ale Sector

Cause Wholesale Sector (%) Highway 44

Homicides 2 Falls 8 Struck-by 13 Source: From Bureau of Labor Statistics, U.S Department

of Labor National Census of Fatal Occupational Injuries in 2005 Available at http: ==bls.gov

TABLE 2.2

Natur e of Injury by Numbe r and Percent

fo r the Wholes ale Sec tor

Nature of Injury Number Percent

Sprains =strains a 35,700 44

Fracturesa 6,310 7.8

Cuts =punctures a 6,320 7.8

Bruisesa 7,100 8.8

Heat burns 490 0.6

Chemical burns 310 0.3

Amputations 470 0.6

Carpal tunnel syndrome 800 1.1

Tendonitis 130 0.2

Multiple trauma a 2,950 3.6

Back pain only 3,300 4

Source: From Bureau of Labor Statistics, U.S Department of Labor.

Workplace Injuries and Illnesses in 2004 Available at http: ==bls.gov

a Five most frequently occurring conditions.

TABLE 2.3

Body Part Injure d by Numbe r and Percent

for the Wholes ale Secto r

Body Part Injured Number Percent Head 4,580 5.7 Eyes 1,810 2 Neck 1,330 1.6 Trunka 32,370 40 Backa 22,260 27 Shoulder 4,570 5.6 Upper extremitiesa 14,290 17.6 Finger 5,530 6.8 Hand 2,850 3.5 Wrist 2,740 3 Lower extremities a 20,410 25 Knee 6,340 7.8 Foot and toe 5,660 7 Body systems 460 0.6 Multiple body parts a 7,240 8.9 Source: From Bureau of Labor Statistics, U.S Department of Labor Workplace Injuries and Illnesses in 2004 Available at http: ==bls.gov a

Five most frequently injured body parts.

TABLE 2.4

Sou rce of Injury by Numbe r and Pe rcent f or the Wholes ale Sector

Sources of Injuries Number Percent Parts and materialsa 9,730 12 Worker motion =position a 12,940 16 Floor, walkways, or ground surfacesa 13,100 16 Hand tools 2,590 3 Vehiclesa 12,040 15 Health care patient 0 0 Chemicals and chemical products 690 0.9 Containersa 15,260 19 Furniture and fixtures 1,980 2.4 Machinery 5,080 6 Source: From Bureau of Labor Statistics, U.S Department of Labor Workplace Injuries and Illnesses in 2004 Available at http: ==bls.gov

a Five most frequent sources of injury.

enginee rs; sales repres entat ives, whol esale and manuf actur ing; shipp ing, receiving,

workers

diploma, and some relat ed experien ce or additional school ing is an asset As in most industri es, many secret aries and adminis trative assi stants; bookkeep ing, accounting, and auditing clerks; and ge neral of fice clerk s are employed in wholesal e trade Most of the other adminis trative suppor t wor kers are needed to control invent ory Sh ipping,

TABLE 2.5

Expo sure=Acc ident Ty pe by Numbe r and Percen t for the

Who lesale Sector

Type of Accidents Number Percent

Struck by object a 11,750 14

Struck against object 5,080 6

Caught in or compressed or crushed 4,100 5

Fall to lower level 5,800 7

Fall on same levela 7,690 9

Slips or trips without a fall 3,280 4

Overexertiona 21,350 39

Lifting a 13,290 16

Repetitive motion 2,190 2.7

Exposure to harmful substance or environment 1,950 2.4

Transportation accidenta 6,270 7.7

Fires and explosions 160 0.2

Assaults=violent acts 390 0.4

Source: From Bureau of Labor Statistics, U.S Department of Labor.

Workplace Injuries and Illnesses in 2004 Available at http: ==bls.gov a

Five most frequent exposures or type of accidents that led to an injury.

TABLE 2.6

Occup ational Illn esses by Numbe r of Cas es an d Pe rcent

fo r the Wholes ale Sec tor

Illness Type Number Percent

Skin diseases and disorders 1500 21

Respiratory conditions 700 10

Poisoning 0 0

Hearing loss 600 8

All others 4300 61

Source: From Bureau of Labor Statistics, U.S Department of Labor.

Workplace Injuries and Illnesses in 2004 Available at http: ==bls.gov

receiving, and traffic clerks check the contents of all shipments, and verify condition, quantity, and sometimes shipping costs They use computer terminals or barcode

large, decentralized wholesaler These workers take and process orders, and route them to the warehouse for packing and shipment Often, they must be able to answer customer inquiries about products and monitor inventory levels or record sales for the

them in the appropriate warehouse sections They also retrieve from stock the appro-priate type and quantity of goods ordered by customers In some cases, they also perform tasks similar to those performed by shipping and receiving clerks

typi-cally do not need postsecondary training, but many employers seek applicants with prior sales experience Generally, workers in marketing and sales occupations try to

sales workers, outside sales workers, and sales worker supervisors

customers They are also increasingly performing duties such as problem solving, solicitation of new and existing customers, and handling complaints Outside sales workers, also called sales representatives or sales engineers, are the most skilled workers and one of the largest occupations in wholesale trade They travel to places

with current customers or to attract new ones They make presentations to buyers and management or demonstrate items to production supervisors In the case of complex equipment, sales engineers often need a great deal of highly technical knowledge, often obtained through postsecondary training As more customers gather information and complete orders through the Internet, outside sales workers are devoting more time to developing prospective clients and offering services to existing clients such as

coordinate the work of the sales staff and often do outside sales work themselves

Transportation and material-moving workers move goods around the warehouse, pack and load goods for shipment, and transport goods to buyers Laborers and freight, stock, and material movers manually move goods to or from storage and help

to load delivery trucks Hand packers and packagers also prepare items for shipment Industrial truck and tractor operators use forklifts and tractors with trailers to transport goods within the warehouse, to outdoor storage facilities, or to trucks for loading Truck drivers transport goods between the wholesaler and the purchaser or between distant warehouses Drivers of medium and heavy trucks need a state

unload goods, set up retail displays, and take orders for future deliveries They are

Sometimes these workers visit prospective clients, hoping to generate new business

Management and business andfinancial operations workers direct the operations of

workers and ensure that operations meet standards and goals set by the top

To provide manufactured goods to businesses, governments, or institutional customers, merchant wholesalers employ large numbers of wholesale buyers and purchasing managers Wholesale buyers purchase goods from manufacturers for resale, based on price and what they think customers want Purchasing managers coordinate the activities of buyers and determine when to purchase what types and quantities of goods

Many wholesalers do not just sell goods to other businesses, they also install and service these goods Installation, maintenance, and repair workers set up, service, and repair these goods Others maintain vehicles and other equipment For these

mechan-ically inclined individuals who can be trained on the job

2.4 APPLICABLE OSHA REGULATIONS

Another way to gather an understanding of the hazards faced by retail workers is to see the types of violations that the Occupational Safety and Health Administration (OSHA) has found during their inspections of retail establishments These violations provide another way of targeting hazards that have the potential to cause injury, illness, and death of workers As can be seen from the 50 most frequently cited violations, OSHA cites this industry under the general industry standard (29 CFR 1910) and the recordkeeping standard (29 CFR 1904) (Table 2.7)

With the hazards faced by this sector, it is imperative that safety and health be an

employees

TABLE 2.7

Fifty Most Frequent OSHA Violations for the Wholesale Sector

CFR Standard Number Cited Description

1910.178 379 Powered industrial trucks (forklifts)

1910.1200 277 Hazard communication

1910.147 189 The control of hazardous energy, lockout =tagout 1910.305 181 Electrical, wiring methods, components and equipment 1910.303 141 Electrical systems design, general requirements 1910.23 126 Guarding floor and wall openings and holes

1910.134 114 Respiratory protection

1910.157 114 Portable fire extinguishers