Risk-Based Analysis of Occupational Safety and Health Financing: A Case Study of Small-Scale Construction in Bandung City

Abstract

The financing of Occupational Safety and Health (OSH) is frequently neglected in Indonesian small-scale construction, despite evidence that project scale does not mitigate accident risks. This study aims to identify work-related risks using Job Safety Analysis (JSA), evaluate current OSH implementation by contractor "X" in Bandung, and determine the necessary budget allocation based on risk levels. Utilizing a descriptive-quantitative approach, the research benchmarks field practices against Minister of PUPR Regulation No. 10/2021 regarding the Construction Safety Management System. Findings reveal that while basic measures exist, critical gaps remain in Collective Protective Equipment, specifically safety signage and fall protection. Quantitative analysis shows current OSH expenditure accounts for only 0.64% of the total project value, falling significantly below the mandated 1.0%–2.5% range. The study identifies a "Safety Gap" in high-risk phases (Risk Score = 12), where the Cost-to-Risk Ratio is zero. It concludes that an additional budget of IDR 4,480,000.00 is required to achieve a safe OSH proportion of 1.53%. By aligning OSH costs with actual risk profiles through JSA-based budgeting, small-scale contractors can fulfill regulatory requirements and enhance worker safety without compromising project viability.