Temporary workers hired through staffing agencies are considered employed by both the agency and the company, although the agency pays the salary.  All of the discrimination and harassment laws which protect workers also apply to temporary personnel.  In addition, temporary workers may be entitled to the same benefits as other employees.  If a company hires a temporary worker directly, they should clearly define what benefits apply to temporary employees versus full-time employees.

Small employers (under 50 employees) should also keep in mind that temporary workers will increase their employee count, subjecting them to comply with other laws, such as the Family and Medical Leave Act, which are imposed on companies with over 50 workers.

Finally, even though the staffing agency usually is responsible for workers’ compensation premiums for its workers, the company should still adequately train temporary personnel.  If they are injured, higher premiums for the agency will be passed along back to companies seeking temporary workers.

From Business Insurance, January 25, 2009 issue, pp. 1 and 20.

Although provisions of the extension are not certain, the 15-month subsidy will likely be extended to workers laid off from March 1 through May 31, 2010.  In addition, there is talk of extending the subsidy to workers whose hours were reduced, causing them to lose group health coverage, then subsequently laid off.  The exact details of this provision are still being worked out.

The current 65% subsidy of insurance premiums has been a huge success to millions of laid-off workers and their families.  Opt-in rates have risen dramatically since the subsidy began a year ago.  From September 2008 through February 2009, an average of 19% of involuntarily terminated employees opted for COBRA.  From March through November 2009, that average more than doubled to 39%.

Unfortunately for employers and administrators, any extension invariably will add another wave of problems.  Beneficiaries will have to be notified and invoicing will need to be revised to reflect whatever changes are made.  But more than administrative issues, another extension will boost employers’ costs, though definitive statistics are not yet available.  This is especially true for employers who have laid off large numbers of employees.

From Business Insurance, February 8, 2010 issue, pp. 1 and 20, and February 15, 2010 issue, pp. 1 and 21.

Employers utilizing such programs can provide significant workers’ compensation savings by expediting closing claims and containing medical costs.  Ideally claims should be closed within a year of the accident.  In addition, companies are able to retain productive and valuable employees.

Employees who participate in these programs are able to focus on recovery and regain confidence that they will be able to return to work.  When possible, on-the-job rehabilitation reinforces the employee’s habit of going to work rather than sitting at home or doing other things which may hinder their recovery.

A successful return-to-work program should clearly define eligibility and establish time frames for providing employees with transitional work duties.  Clearly defining those duties will assist doctors responsible for releasing employees.

From Business Insurance, May 7, 2007 issue, p. 23.

Did the accident occur on the employer’s premises?  A positive reply does not guarantee coverage.  If the employee was injured in a spontaneous recreational activity, even if on company property, s/he would be ineligible for workers’ compensation because the employer was neither benefiting from nor directing the activity.  Simply making recreational facilities available does not make the company liable, nor is it required to compensate for any injuries which might be sustained.

Was the event or team organized by the employer?  Company-sponsored teams competing in leagues may qualify for coverage.  However, several employees deciding to organize a team is different from a team organized by the employer.

Did the employer pay for the activity?  The rules are unclear whether this refers to the entire cost or a subsidy on behalf of the team.  For example, if the league charges $50 per person to participate, and the company pays $40 on behalf of each employee, an argument could be made that the team is still employer-paid or sponsored, with participation encouraged.

Does the employer benefit?  Advertising in the community on team shirts may improve employee morale and promote better teamwork.  An employer may indeed benefit from even such intangible recognition.

From Christopher Boggs’ “The Insurance Professional’s Practical Guide to Workers’ Compensation: From History through Audit” as referenced in Insurance Journal-National Region, Sept. 21, 2009 edition, p. N15.

Employers are prohibited from implementing the following:

· Any group health plan that provides a premium reduction to employees who complete an HRA prior to enrollment that includes questions about family medical history.

· Any group health plan that requests employees to complete an HRA prior to enrollment that includes questions about an individual’s family medical history, but does not offer a reward.

Any group health plan that waives its annual deductible for individuals who complete an HRA after enrollment that does not include any direct questions about family medical history but asks, “Is there anything else relevant to your health that you would like us to know or discuss with you?” the answers to which may divulge genetic information.

However, the following are permissible:

· Any group health plan that requests enrollees to complete two distinct HRAs after and unrelated to enrollment: one that doesn’t include questions about family medical history, but offers a reward, and one that includes family medical history questions, but offers no reward.

· Any group health plan that waives its annual deductible for individuals who complete an HRA after enrollment that includes the question, “Is there anything else relevant to your health that you would like us to know or discuss with you?  In answering this question, you should not include any genetic information.  That is, please do not include any family medical history or any information related to genetic testing, genetic services, genetic counseling or genetic diseases for which you may be at risk.”

· Any group health plan that normally provides coverage for mammograms only for women 40 and older may choose to extend coverage to younger women who demonstrate they are at increased risk of getting breast cancer, such as through genetic testing or a family history of the disease.

· From www.federalregister.gov, reported in Business Insurance, October 12, 2009 issue, pp. 3 and 18.

Consistent support for safety is critical.  Management should take every opportunity to speak about the importance of safety.  However, their actions and decisions must underscore that commitment.  Written policies should detail expectations, responsibilities and consequences.  Safety should be a vital component of all company policies, rather than be limited to a few guidelines.

Hire the best drivers and constantly (re)train them.  Set standards for selecting drivers and keep to them diligently.  Not surprisingly those drivers with no (or very few) moving violations in the past three years are far less likely to be involved in accidents.  Companies may need to get motor vehicle records from multiple states where a potential driver may have worked to get a clear picture.  Even after a driver is hired, periodic checks should be included in annual reviews.  Written and in-vehicle road tests may also be used to verify whether a potential driver is qualified to drive company vehicles along typical routes under a variety of conditions.

Protect your drivers (and passengers) with the right equipment.  When buying vehicles, make sure they have the best safety equipment – anti-lock brakes, air bags, traction and stability control systems – available.  After the purchase, make sure the vehicle is maintained according to the manufacturer’s specifications.  Remind the drivers to inspect the vehicle before they leave, and reporting/resolving any concerns.  If personal vehicles are being used for business, have a manager’s written permission before its use.  Managers may also inspect the vehicle to verify it meets safety and maintenance standards.

Know what happened in event of an accident.  Despite the best precautions, accidents can happen.  It is vitally important to know exactly what happened, who was injured, and the extent of the damage.  Good documentation must be fast and detailed.  Digital photos and video comments from witnesses can manage the financial impact.  The intention is not to place blame, but rather to learn from the event and control the accident’s costs.  In addition, review of the accident may be able to prevent similar occurrences in the future.  Finally, make sure to report the accident to the insurer promptly.

Choose technologies that help manage the fleet.  While a lot of options are available, from in-vehicle cameras to speed monitors and GPS tracking, not everything may be useful for every company or every vehicle.  Analyze the data collected from whatever device is installed to address and improve driver performance.  Not only will this save lives, but it will deliver a return on the investment and possibly reduce or prevent future legal claims.

Improving safety not only protects drivers and the public, but it saves money.

By commercial auto insurance experts for Liberty Mutual, as reported in Insurance Journal, July 6, 2009 issue, pp. N15-N16.

Why?  These programs can supplement their basic insurance package, increasing both employee satisfaction and retention through a variety of custom benefits.  This can include both basic packages, such as dental or vision coverage, or additional coverage to existing policies, such as orthodontics, cancer protection or additional life/disability insurance.  Less traditional offerings, such as identity theft and pet insurance, may also be offered in a voluntary plan.  Employees gain care custom-tailored to their needs at a fraction of what it would cost for an individual policy.

However, communication is a huge key to the success of these programs.  Employees need help understanding benefits and how to make good decisions.  This may be done by email and group meetings – beyond handing out a simple flyer.  Information may also be sent to their homes so spouses and families can review information as well.

If the company already has a health savings plan (HSA or HRA) in place, employees can use it to pay for additional premiums.  Besides gaining the additional protection that the insurance provides, s/he also gains some tax savings.

From Benefits and Compensation Digest, August 2009 issue, pp. 30-32.  Also from Employee Benefit News, June 1, 2009 issue, pp. 29 and 33.

· Establish a business plan to reduce the spread of the flu virus while continuing operations with a reduced workforce.

· Encourage workers to get the seasonal and H1N1 flu vaccines when they become available.

· Consider reassigning jobs duties for more vulnerable employees, e.g. pregnant women and those with certain chronic medical conditions.

· Allow ill workers to stay home without fear of losing their jobs.

· Develop a flexible leave policy to allow workers to stay home to care for sick family members or children if schools or child care programs close due to illness.

Even simple strategies can help.  Make sure commonly touched surfaces (computers, copiers, telephones) are cleaned regularly.  If an employee becomes sick while at work, having surgical masks available will help protect others until s/he can get home.  Increase the physical distance between workers if possible, and consider cancelling business-related meetings.  Workers may also be able to perform their tasks on staggered shifts or from home if necessary.

Sick workers are typically out for 3-5 days.  If they have a sick person at home, encourage employees to closely monitor their own health daily.

From Business Insurance, August 24, 2009 issue, pp. 4 and 21.  Also from www.flu.gov

· Make sure walkways and aisles are kept clear, especially near exits.

· Attach tall and heavy furniture to the wall to avoid having them fall in the event of an earthquake.

· Close drawers, file doors, and pull-out work surfaces when not in use.

· Clean up work areas throughout the day.

· Clean up spills on the floor immediately and clearly mark the area until it is thoroughly dry.

· Store supplies and materials with heavier items on lower shelves.  Make sure a sturdy step stool is available to avoid reaching.

· Examine electrical cords and plugs for wear.

· Avoid using extension cords as a permanent source of power.  Install extra outlets if necessary.

Periodic workplace safety inspections can help keep your office (and employees!) safe.

From State Compensation Insurance Fund’s Safety News, Issue Three 2009, pp. 2-3.

Long term success often combines behavioral, pharmaceutical and/or surgical treatments.  Any one element just is not as effective.  Wellness programs that are fun and open to everyone can be beneficial as well, especially when there’s a teamwork atmosphere and no one feels singled out.  Preventing obesity is as important as reversing it, and it’s certainly much easier to prevent it.

A normal body mass index may not always be the goal.  Sometimes just losing 5-10 pounds can bring real health benefits.  A huge weight loss should not be the criteria of success.

Unfortunately, healthier foods tend to be more expensive than unhealthy, processed foods.  For this reason, cash incentives are often effective for participation in workplace wellness programs.  Information alone is not enough to significantly change behavior.

From Employee Benefit News, February 2009 issue, pp. 34-36.