Progress Since Our Last Report
In 1999, Ford began a Safety Leadership Initiative aimed at making our workplaces safer. In the eight years since, we have seen dramatic results, with key injury rates dropping to nearly a tenth of their previous levels. The practices established in this initiative are now so fully a part of how we run our business that we've dropped the term "Initiative" and now simply call it "Safety Leadership."
This past year, two major safety indicators – global lost-time case rates and severity rates – continued their trend of steady and marked improvement. In 2006, these two measures dropped 31 and 39 percent over 2005, respectively. Since 2000, these indicators have decreased 78 and 80 percent, respectively.
Our serious injury and fatality rates, however, reached unacceptable levels in 2006. Tragically, we experienced six fatalities, including four direct Ford Motor Company employees, one contractor, and one joint venture employee. We also experienced 64 serious injuries. In most of the cases, the causes were known, existing high-risk focus areas for us, including issues relating to pedestrian safety in plants, energy control and power lockout, and lifting and rigging.
Ford of Europe, which experienced four of the six fatalities, underwent a corporate review in which all of the causes contributing to the fatalities were assessed. In addition, we have increased the frequency of corporate safety reviews in all of the various regions globally. We have also strengthened our governance of workplace safety by reviewing key health and safety indicators more frequently with senior management.
Also in 2006, we have been implementing a strategic approach to managing health and wellness issues. A standard set of global workplace health indicators is expected to be approved in 2007. A new safe driving policy was approved in March 2006.