Waste Management (WM), a $90 billion company, is prioritizing safety investments that may not immediately impact the bottom line, according to CEO Jim Fish. This strategic focus comes as the company aims to reduce its total recordable injury rate (TRIR) by 3% annually, targeting a TRIR of 2.0 by 2030.

Fish emphasized the importance of understanding the operational side of the business, drawing on advice from his late father-in-law. He regularly attended 1 a.m. safety briefings, which allowed him to connect with line workers and gain valuable insights beyond pure financial analysis. "It was so valuable to me in terms of learning the business and learning the people," Fish told Fortune. "Part of what I learned—I was always a finance guy—was that it's not always just dollars and cents."

The company's commitment to safety is reflected in its recent performance. In the past year, Waste Management reduced overall injuries by 5.8% and lost-time injuries by 2.4%, as detailed in its sustainability report. Achieving the 2.0 TRIR target would mean a rate of two recordable injuries per 100 employees per year, or per 200,000 hours worked.

Waste Management's focus on safety comes amid increasing scrutiny of workplace conditions across various industries. Investors are paying closer attention to environmental, social, and governance (ESG) factors, including worker safety, when making investment decisions. Companies with strong safety records may attract more investment and face less regulatory risk.

Waste Management, a leader in the waste management industry, provides collection, recycling, and disposal services to residential, commercial, and industrial customers. The company's performance is closely tied to economic activity, as waste generation tends to increase during periods of economic growth.

Looking ahead, Waste Management's ability to achieve its safety goals and maintain a strong ESG profile will likely be a key factor in its long-term success. The company's investments in safety and its workforce could lead to improved employee morale, reduced turnover, and enhanced operational efficiency, ultimately benefiting shareholders.