Health and Safety for 1-4 Employees

If you employ between 1 and 4 people, congratulations - you are part of the most common business size in the UK. Around 5.5 million businesses have no employees at all, and the vast majority of those that do employ people have fewer than 5 staff.

The good news? Health and safety requirements for very small businesses are proportionate and manageable. You do not need expensive consultants, complex systems, or mountains of paperwork. But you do have legal duties, and ignoring them can lead to fines, prosecutions, and real harm to your team.

This guide tells you exactly what you must do, what you do not need to do, and how to get it right without overcomplicating things.

What is legally required with 1-4 employees

Let us be clear about what the law actually requires. These are not optional extras - they are legal duties.

1. Employers' Liability Insurance (MANDATORY)

This is non-negotiable. If you employ anyone - even one part-time person - you must have Employers' Liability (EL) insurance.

The requirements:

• Minimum cover of £5 million (most policies provide £10 million as standard)
• Display the certificate where employees can see it (or provide electronic access)
• Keep certificates for 40 years after they expire
• Cover must be in place from day one of employment

The penalties:

• Up to £2,500 per day without insurance
• Criminal prosecution
• Personal liability for any employee injury claims

Cost: Typically £100-300 per year for low-risk businesses with 1-4 employees. Shop around, but do not skip it.

2. Risk Assessment

You must assess the risks in your workplace and decide what measures are needed to protect people. This applies to every employer, regardless of size.

The key point for 1-4 employees: You do not need to write it down. The legal requirement to record risk assessment findings only applies if you employ 5 or more people.

However, you still need to:

• Think through the hazards in your workplace
• Identify who could be harmed and how
• Decide what precautions to take
• Put controls in place to manage significant risks

For most small businesses, this is common sense. What could cause someone to get hurt? What are you doing about it?

3. Safe workplace and equipment

You must provide:

• Safe premises - floors, stairs, lighting, heating, ventilation
• Safe equipment - properly maintained, suitable for the task
• Safe systems of work - sensible ways of doing things that minimise risk

This does not mean wrapping everything in cotton wool. It means thinking about obvious hazards and doing something about them.

4. Information and training

You must:

• Tell employees about hazards in their workplace
• Explain safe working practices for their role
• Provide training where needed (e.g., how to use equipment safely)
• Update them when things change

This does not need to be formal classroom training. For many small businesses, it means showing someone how to do something safely and making sure they understand.

5. First aid provision

You must have adequate first aid arrangements. For 1-4 employees in a low-risk environment, this typically means:

• Appointed person - someone designated to take charge if there is an injury and to look after the first aid kit
• First aid kit - a basic workplace kit (costs £15-30)
• Information - employees know who the appointed person is and where the kit is

Note: An appointed person does not need formal first aid training. They just need to know their responsibilities and when to call 999.

For higher-risk workplaces (even with few employees), you may need a trained first aider. Assess your specific situation.

6. Report serious accidents (RIDDOR)

If a serious accident happens, you may need to report it to the HSE under RIDDOR (Reporting of Injuries, Diseases and Dangerous Occurrences Regulations).

You must report:

• Deaths
• Specified injuries (fractures other than fingers/toes, amputations, loss of sight, etc.)
• Injuries keeping an employee off work for more than 7 consecutive days
• Certain occupational diseases
• Dangerous occurrences (near-misses with serious potential)

You do not need to report:

• Minor injuries
• Cuts and bruises that do not meet the criteria
• Accidents to members of the public unless they are taken to hospital

Report online at HSE's website or call the Incident Contact Centre for fatal/major incidents.

What is NOT required with fewer than 5 employees

Understanding what you do not need to do is just as important as knowing what you must do. These exemptions exist because the law recognises that micro businesses need proportionate requirements.

Written health and safety policy

If you employ fewer than 5 people, you are exempt from having a written health and safety policy. This is the document that larger businesses must have, setting out their general approach, responsibilities, and arrangements.

However: You still need to manage health and safety in practice. The exemption is from writing it down, not from doing it. Many small business owners choose to write something simple anyway because it helps with consistency and may be required by clients or insurers.

Written risk assessment

Similarly, you do not need to write down your risk assessment findings if you employ fewer than 5 people.

However: You still need to conduct the assessment - think through your hazards and controls. Writing it down is often helpful even if not required, especially when tendering for contracts or dealing with inspectors.

Formal health surveillance

Unless your employees are exposed to specific risks that require monitoring (certain chemicals, noise levels, vibration), you do not need formal health surveillance programs.

Most office-based, retail, and service businesses with 1-4 employees will not need this.

Safety committee

You do not need a formal safety committee. These are typically found in larger organisations. With 1-4 people, you can simply have conversations about safety issues as needed.

Dedicated health and safety officer

You do not need to hire or appoint a dedicated health and safety manager. You do need a "competent person" to help you manage health and safety, but for a very small low-risk business, that person can be you - provided you have enough knowledge and understanding to do it properly.

Practical steps to comply

Here is a straightforward checklist for health and safety compliance with 1-4 employees:

Step 1: Get Employers' Liability Insurance

Do this before your first employee starts. Contact your existing business insurer, use a comparison site, or speak to a broker. Make sure:

• Cover is at least £5 million (most are £10 million)
• It covers all your employees
• You can display the certificate

Time needed: 30 minutes to an hour

Step 2: Think through your risks

Walk around your workplace. Consider:

• What could hurt someone?
• Who might be affected?
• What are you already doing to prevent it?
• Is that enough?

For a typical office, this might include: slips and trips, computer workstation setup, fire, electrical equipment, manual handling (deliveries, moving furniture).

For a retail shop: slips and trips, manual handling (stock), customer aggression, lone working, fire.

For a workshop: machinery, tools, substances, manual handling, fire, noise.

Write a simple list if it helps you think it through, even if you are not required to.

Time needed: 30 minutes to 2 hours depending on your workplace

Step 3: Put sensible controls in place

For each significant risk, decide what you will do about it. This is usually common sense:

• Keep walkways clear
• Train people to lift properly
• Maintain equipment
• Have fire extinguishers and test alarms
• Store chemicals safely

You do not need to eliminate every possible risk - just manage the significant ones sensibly.

Step 4: Brief your staff on hazards

Tell your employees:

• What the main hazards are
• What they should do (and not do) to stay safe
• What to do in an emergency (fire, accident)
• Who to tell if they spot a problem

This can be a 10-minute conversation for a low-risk workplace. Document that you have done it if possible.

Step 5: Set up first aid

• Buy a basic first aid kit (£15-30 from any safety supplier or chemist)
• Designate someone as the appointed person
• Make sure everyone knows who it is and where the kit is

Consider whether anyone should have first aid training. For very small, low-risk businesses, an appointed person without training may be adequate. For anything involving hazards, consider at least Emergency First Aid at Work (1-day course, around £80-150).

Step 6: Know when to report accidents

Familiarise yourself with RIDDOR requirements. If something serious happens:

• Report it online (HSE website)
• Keep a record of what happened
• Learn from it and prevent recurrence

For minor incidents, you do not need to report to anyone - but keeping your own records is good practice.

Common mistakes small employers make

Mistake 1: Assuming you are too small to worry about it

The law applies from your very first employee. HSE and local authorities do inspect and prosecute small businesses. Being small is not a defence.

The fix: Take your duties seriously from day one. It does not take much effort for a small business.

Mistake 2: Not getting EL insurance

Some first-time employers do not realise it is compulsory, or they delay getting it. This is illegal and exposes you to enormous financial risk.

The fix: Get it before your first employee starts. It costs a few hundred pounds a year - far less than the fines or a compensation claim.

Mistake 3: Thinking paperwork equals safety

Some small business owners buy template policies and risk assessments, file them away, and tick the box. But never read them or implement anything.

The fix: Paperwork is not the point. Actually thinking about hazards and doing something about them is what matters. A documented system you ignore is worse than useless.

Mistake 4: No induction for new employees

New employees are most at risk. They do not know your workplace, your equipment, or your procedures. Throwing them in without explaining hazards is dangerous and illegal.

The fix: Spend 10-15 minutes on the first day covering emergencies, key hazards, and who to ask for help. It can be informal but should happen.

Mistake 5: Ignoring near-misses

"Nobody got hurt so it's fine" is dangerous thinking. Near-misses are warnings - what nearly happened today might cause injury tomorrow.

The fix: When something almost goes wrong, ask why and fix it. Do not wait for actual harm.

When you grow to 5 employees - what changes

The threshold of 5 employees triggers additional requirements. Plan for these as you grow:

At 5+ employees you must:

1. Write down your health and safety policy - a document covering your general approach, responsibilities, and arrangements

2. Record your risk assessment findings - document the significant hazards, who is at risk, and what controls you have in place

3. Display the written policy or make it available to employees

The content does not suddenly become more complex - you just need to put it in writing. Many businesses prepare for this by documenting things earlier, which also helps with client requirements and insurance.

Sector-specific considerations

While the core requirements are the same, different types of small businesses face different hazards.

Office-based businesses

Main hazards: Slips, trips, and falls; display screen equipment (DSE); fire; electrical equipment; stress

Key actions:

• Keep cables tidy and walkways clear
• Set up workstations properly (chairs, screens, keyboards)
• Have fire extinguisher and tested smoke alarms
• PAT test electrical equipment periodically
• Do not overwork your small team

Typical risk level: Low. An appointed person for first aid is usually adequate.

Retail shops

Main hazards: Manual handling (stock, deliveries); slips and trips; customer aggression; lone working; fire

Key actions:

• Train staff on lifting techniques
• Keep floors clean and clear
• Have a procedure for dealing with difficult customers
• Establish check-in procedures for lone workers
• Ensure fire escape routes are clear

Typical risk level: Low to medium. Consider EFAW training for at least one person.

Workshops and light manufacturing

Main hazards: Machinery and tools; manual handling; hazardous substances; noise; fire

Key actions:

• Maintain and guard machinery properly
• Provide appropriate PPE (gloves, safety glasses, hearing protection)
• Store chemicals safely and provide information (COSHH)
• Control noise exposure if significant
• Keep work areas tidy

Typical risk level: Medium. At least one trained first aider is recommended.

Mobile and service-based businesses (trades, delivery, care)

Main hazards: Driving; working at height (if applicable); lone working; manual handling; client premises risks

Key actions:

• Maintain vehicles and avoid driving when tired
• Use appropriate equipment for working at height
• Establish lone worker check-in procedures
• Assess risks at client premises before starting work
• Train on manual handling

Typical risk level: Medium to high depending on activities. First aiders and detailed risk assessment are important.

Cost-effective compliance - you do not need expensive consultants

Let us be realistic about what health and safety compliance actually costs for a 1-4 employee business.

What you probably need to spend

Total first year: £300-900 depending on your choices

Ongoing: £150-400 per year (mainly insurance)

What you probably do NOT need to spend on

• Expensive consultants: For a simple, low-risk business with 1-4 employees, you can manage health and safety yourself with basic training and free HSE guidance
• Fancy software: A spreadsheet or even a piece of paper works fine at this scale
• Accreditations: ISO 45001 and similar are overkill for micro businesses
• Comprehensive audits: Not needed unless you have complex or high-risk activities

Free resources you can use

HSE website (hse.gov.uk):

• Free guidance for every industry
• Risk assessment templates
• Example policies and procedures
• Sector-specific advice

Trade associations:

• Often provide free templates and guidance
• Helplines for members
• Industry-specific risk assessments

When to get professional help

Consider paying for a consultant if:

• Your work involves significant hazards (construction, chemicals, complex machinery)
• You are winning contracts that require professional health and safety support
• You have had an incident and need to review your approach
• You are simply not confident doing it yourself

Even then, a single consultation (£200-500) to review your arrangements and provide templates may be all you need - not an ongoing retainer.

Frequently asked questions

Summary: Your health and safety checklist for 1-4 employees

Use this as your quick reference:

Must do:

• Get Employers' Liability Insurance (display the certificate)
• Assess your workplace risks (does not need to be written down)
• Provide a safe workplace with safe equipment
• Tell employees about hazards and safe working
• Have first aid provision (kit + appointed person minimum)
• Report serious accidents under RIDDOR

Do not need:

• Written health and safety policy
• Written risk assessment records
• Formal health surveillance (unless specific risks)
• Safety committee
• Dedicated H&S officer

Good practice (but not legally required for under 5 employees):

• Write down your risk assessment anyway
• Document your inductions and training
• Review your arrangements annually
• Learn from near-misses

You are running a small business, not a multinational corporation. Health and safety for 1-4 employees should take hours to set up, not weeks. Get the insurance, think through your risks, brief your people, have a first aid kit, and use common sense. That is most of it.

Related articles:

• Health and Safety Guide for Small Businesses
• Do I Need Employers' Liability Insurance?
• Do I Need a Written Health and Safety Policy?
• Comprehensive Risk Assessment Guide

Useful tools:

• Small Business Health and Safety Checker
• Quick Risk Assessment Tool
• First Aid Calculator