Sodium ethyl xanthate has moderate oral and dermal toxicity in animals and is irritating to eyes and skin. It is especially toxic to aquatic life and therefore its disposal is strictly controlled. Median lethal dose for (male albino mice, oral, 10% solution at pH~11) is 730 mg/kg of body weight, with most deaths occurring in the first day. The most affected organs were the central nervous system, liver and spleen. 
Since 1993, sodium ethyl xanthate is classified as a Priority Existing Chemical in Australia, meaning that its manufacture, handling, storage, use or disposal may result in adverse health or environment effects. This decision was justified by the widespread use of the chemical in industry and its decomposition to the toxic and flammable carbon disulfide gas. From two examples of sodium ethyl xanthate spillage in Australia, one resulted in evacuation of 100 people and hospitalization of 6 workers who were exposed to the fumes. In another accident, residents of the spillage area complained of headache, dizziness, and nausea. Consequently, during high-risk sodium ethyl xanthate handling operations, workers are required by the Australian regulations to be equipped with protective clothing, anti-static gloves, boots and full-face respirators or self-contained breathing apparatus.