It is widely recognized that every occupation carries inherent risks.
Risk can be expressed as a function of two variables: frequency and consequences, often represented mathematically as R = f x c, as illustrated in the accompanying diagram for clarity.
The arrow in the diagram signifies the Risk Reduction Factor (RRF), which indicates the efforts made to mitigate risk levels; a longer arrow corresponds to a higher RRF value.
For instance, if Position A is categorized as having a medium risk and is reduced to a safe or low risk at Point B, the RRF is relatively modest, with an assumed value of 10.
Conversely, Job C, which presents significant and frequent hazards (high risk), requires a substantially larger RRF to decrease the risk to Point D, with an assumed value of 100.
Job E, characterized by extremely high risk, necessitates an even greater RRF to lower it to Point F, with an assumed value of 1000.
When we equate the RRF with salary and benefits, it becomes evident that compensation is directly proportional to job risk. The higher the risk associated with a position, the greater the salary offered.
Thus, if a job presents minimal risk yet offers a substantial salary, it may indicate a personal connection with management. Conversely, if a position entails significant risk but provides limited salary and benefits, this scenario is not uncommon.