Training Can Reduce Workers' Comp Costs

Prepare for a Work-Place Accident

Work place accidents are a fact of business life. No matter how well you train your staff on safety, the chance of an employee experiencing a work-related injury or illness is always possible. And if it happens, the costs hurt your company’s profitability in ways you may not have imagined.The best you can do is put a program in place that minimizes the cost. A good return-to-work policy (which can be administered by a PEO) helps both your company and your employee recover. 

Did you know these Workers' Comp Facts?

Consider these points about return-to-work programs from the American Society of Safety Engineers:

  • Research shows that companies with a proactive return-to-work program experience a 25% to 50% reduction in time loss payments and lost days due to workplace injuries. This translates to an $8-to-$10 savings for every dollar invested.
  • Productivity losses are estimated at double to triple total workers’ compensation costs. An injured employee costs the company 28% in direct losses (such as time loss payments, medical expenses, and benefits) while indirect expenses comprise the remaining 72% (such as work productivity losses, replacement worker costs, and training).
  • Employees who are on disability for 6 months only return to work 50% of the time. 
  • A return-to-work program reduces the indirect cost of injuries and keeps an injured employee contributing to your organization.
  • A return-to-work program helps you manage your experience modification factor (e-mod) and, in turn, your workers' compensation premium.
  • Offering an employee a good-faith return-to-work option in a different capacity or different location helps you avoid or reduce litigation and settlement costs.
  • Finding medical providers who cooperate with return-to-work programs and take time to understand your business and job description functions saves you money.

Don’t Let These Costs Destroy Your Company’s Profitability!

Call us for ways to prepare yourself and your business. Not only do we offer excellent safety programs to minimize your risk to begin with, we also offer return-to-work programs to mitigate your costs, if it does happen. To learn more, contact us or login for a description of our training programs.

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The information contained in this article was obtained from sources that to the best of our knowledge are authentic and reliable. Fortune Industries makes no guarantee of results, and assumes no liability in connection with either the information herein contained, or the safety suggestions herein made. Moreover, it cannot be assumed that every acceptable safety procedure is contained herein, or that abnormal or unusual circumstances may not warrant or require further or additional procedures. Mention of any product, service or company is not an endorsement from Fortune Industries.