Fatalities resulting from ground workers colliding with objects and construction equipment accounted for approximately 18% of the total construction fatalities experienced in 2010. Current injury and fatality measuring methods have proven to be inadequate due to their use of passive measures of safety rather than a more active approach, such as the use of leading indicator data (also called near misses) of hazardous proximity situations between ground workers and heavy equipment on construction sites. The objectives are to create and evaluate the effectiveness of a reliable algorithm for collecting and analyzing the resulting leading indicator data from hazardous proximity situations. Numerous experiments emulating typical interactions between workers-on-foot and heavy equipment are used to evaluate the proximity sensing and detection technology. Safety leading indicator data (also called near misses) generated by the proximity sensing and detection technology during the experimental trials are used to create and assess the resulting algorithm. Results from the experiments indicate that leading indicator data generated from these systems can be processed and analyzed to identify hazardous proximity situations and incidents on construction sites.