The dismal state of the nation’s economy has many employees so stressed that they are losing sleep over it. For people who are their own bosses, anxieties driven by the recession are keeping them up at night as well.

Today’s troubled economy can be especially stressful for small-business owners, who are working harder than ever to overcome the myriad challenges posed by the recession. They are carefully evaluating cost structures and working to enhance operational efficiencies, which, of course, is smart business no matter the economic climate.

There is no doubt that a strong work ethic is a great, if not critical, trait for small-business owners to possess. Unchecked, however, it can consume entrepreneurs. When that happens, an ambitious and driven CEO can turn into a burnt-out workaholic paralyzed by stress.

A new survey conducted by Nevada-based workers’ compensation insurance firm EMPLOYERS reveals that nearly two-thirds (65 percent) of 500 small-business executives say that worries about their businesses keep them awake at night. According to the small-biz decision makers polled across the United States, their top worries are the economy, growing and maintaining their business, meeting operating expenses and their business closing.

So what can small-business owners do to control their stress levels?

One area on which to focus is cost control related to employee safety. In small businesses, injuries and illnesses can exact a hefty toll, the National Institute for Occupational Safety and Health says.

According to the National Federation of Independent Business, workers’ compensation costs now rank among the top 10 most important problems for small-business owners.

For the owner, ensuring his or her business’ workers are protected can reduce stress while simultaneously minimizing costs.

The following are three basics steps EMPLOYERS offers small-biz owners to help control the costs associated with workers’ compensation insurance:

Make the right hires. Employees can make or break a small business. Employers should take time to find and hire the right employees for the workplace, not simply the best ones, for the long run. Not looking for a good fit within the position, the firm and the future is one of the top hiring mistakes made by small businesses.

Establish a safety program and enforce safety rules. Develop policies, procedures and rules, and provide employees with the necessary training, proper tools and personal protective equipment to do the job safely. Businesses should routinely remind employees to work safely through the use of workplace audits, safety meetings, toolbox talks and annual training.

Report injuries, provide medical care and investigate accidents. All injuries should be reported to the insurance carrier within 24 hours of the incident. Ongoing communication with the injured employee and claims adjuster is crucial. Also, prearrange medical facilities for employees in the event of a workplace injury, and be prepared to provide transportation for non-emergency injuries. Businesses should review accidents to assess what happened and take necessary steps to make sure it does not occur again.

Small businesses, which often operate as a family concerned about protecting employees from on-the-job harm, today have added anxieties created by the troubled economy. By ensuring that the firm remains productive and safe, small-business owners can benefit from protecting the safety and health of his or her employees with reduced operating costs and stress. Despite the challenges they face, entrepreneurs have the potential to squeeze out opportunity from this current economic environment.

Earlier

Americans Losing Sleep Over Economy

Not Enough Hours in the Day?

How to Cope with Stress

On-the-Job Stress Tips

Making the Right Hire

Top Hiring Mistakes Made by Small Businesses

The Many Faces of Safety & Health

Resources

Sixty-five Percent of Small Business Leaders Report Business Worries Keep Them Awake at Night
EMPLOYERS, May 11, 2009

Safety and Health Resource Guide for Small Businesses
National Institute for Occupational Safety and Health

Small Business Problems & Priorities
National Federation of Independent Business, June 2008

Entrepreneurs Say Managing Through Recession Makes Them Sharper Business Owners…
American Express OPEN Small Business Monitor, April 15, 2009

Staples Small-Business Survey Reveals People are Constantly Working, Even While They Sleep
Staples, Inc., Jan. 3, 2008