Environmental Health & Safety

Less Than Half of Companies Meet GHS Compliance Deadline

By Chemical Processing Staff

Oct 02, 2015

Loftware, Inc. releases a report highlighting the state of readiness in the chemical industry for the Globally Harmonized System of Classification (GHS) and OSHA’s Hazard Communication Standard (HCS). GHS, which was first adopted in 2002 by the United Nations, was designed to ensure safe production, transport, handling, use and disposal of hazardous materials. OSHA introduced HCS to bring U.S. regulations into alignment with the international guidelines. Loftware’s survey, which polled approximately 150 professionals from global chemical companies including regulatory, supply chain, operations and IT, was conducted to determine whether companies are meeting requirements for the labeling of chemicals and chemical products defined by the GHS.

The report reveals that of all the companies impacted by GHS regulations, less than half (45%) were able to meet the recent June 1, 2015 deadline for compliance, according to Loftware. Additionally, 65% need at least another 6 - 12 months before they will be able to meet compliance.  The survey indicates this is largely due to a lack of awareness regarding the specific requirements, with over 43% of those polled reporting awareness as a major obstacle in meeting GHS labeling requirements.

Now that the deadline has passed, businesses continue to face obstacles, according to Loftware. Nearly two-thirds (59%) of respondents answered that they are still not able to meet all six of the necessary elements of a GHS label. And, the results of non-compliance are considerable with 72% of those surveyed believing the inability to meet these standards may result in loss of customers, regulatory and customer fines, disruptions to their business and delays in the supply chain. Of those respondents that have yet to complete their requirements, 35% report a need to still configure their barcode labeling software solutions; 32% need to ensure enterprise applications have the necessary data and 24% have yet to finalize their business plans for GHS labeling.

For more information, visit: www.loftware.com