Benefits of a Workers’ Compensation Return to Work Program
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BENEFITS OF A WORKERS’ COMPENSATION RETURN TO WORK PROGRAM
Workers injured on the job cannot perform their duties, but often times they can be medically cleared for modified work. Some employers ask, "Why would I pay them if they cannot do the job?" Successful employers say, "I need them to return to work as soon as possible."
A Return to Work Program proves to be extremely cost effective based on the number of days "Saved". Employers that have a Return to Work Program typically have significantly lower Experience Modifications than those employers that don’t. Indemnity payments (lost wages) are approximately 50% of the direct cost of claims. To get an employee back to work within four days will mean that in most states the claim is within the waiting period thus no indemnity payment is required, reducing your Experience Modification.
Further cost savings will result from the elimination or reduction in fraudulent claims. Employees involved in a fraudulent claim want time off from work. When you offer them modified duty, they are disappointed. If they refuse approved modified duty, lost wages are not required to be paid.
A Return to Work Program is also important to avoid the negative consequences that result when employees are out of work for a long time, such as:
•Employees become physically "Deconditioned" and lose employment skills.
•Employees become psychologically, "Disemployed" and disassociate from their identity as employees.
•Out of work employees can become clinically depressed.
•The employee’s routine changes to one that is no longer a regular work routine.
•Indemnity payments increase and claims become more expensive causing the employer’s Experience Modification to increase.
•Attorneys become involved.
•Employees are afraid of being re-injured.
•Permanent disability awards are likely to be higher.
Create a "Job Bank" list of those projects every company has and that no one gets around to. Keep adding to this list with modified duty in mind. How about sending your employee to work with your favorite not for profit organization?
A Return to Work Program can include any job medically approved. In fact, one of our major retailers developed the position of "Greeter" in their store to create a modified duty position and return employees to work.
You will reduce your costs by creating a Return to Work Program with a goal of returning 90% to 100% of employees to work within four days after injury.
For more information on controlling Workers’ Compensation costs please contact:
Dan Centoni
Executive Vice President
Andreini & Company
800-969-2522
