Protecting the Bottom Line and Increasing Productivity with a Successful IDM Program

As the use  of integrated disability management increases, best practices, or keys to program success, are emerging.  A careful review of the following issues can help you decide whether an IDM program is an option worth pursuing for your organization. 

1.  Senior Management Support 
Implementing  an IDM program can be a resource-intensive initiative, and senior management should be firmly behind it before any making any commitments.  An IDM program needs to be part of the overall corporate culture.

2.  Cross-Functional Team Approach 
Integrated disability  management requires interdepartmental cooperation and communication to be successful.  Everyone must share the same goals and objectives in order for IDM to succeed!  It is also important to designate an IDM program manager or advocate who will oversee the entire process.

3.  Centralized Claim Reporting
A unified claim  intake system for all disability claims (WC, short-term disability (STD), long-term disability (LTD) and Family and Medical Leave Act (FMLA), protects your company against potential duplicate claims, and it simplifies the reporting process for your employees.

4.  Common Claim Management Protocols 
Despite the  differences in processing occupational and non-occupational disability claims, there should be common claim management guidelines such as:  
a.  24 hour  contact with employer
b.  On-going  contact with employee
c.  Early  intervention by nurse case manager or claim rep
d.  Subrogation  identification
e.  Transitional  work program

5.  Consistent Non-Occupational and Occupational Return-To-Work Programs
Bureau of Labor Statistics  indicate if an employee is off work for six months due to occupational injury or illness, there is only a 50% chance the worker will ever return to work.  If the employee is off for one year, there is less than a 25% chance of returning to work, and after two years, there is virtually no chance of ever returning to work, due to a phenomenon called "psychological dis-employment" – the worker becomes "used to" not working and "enjoys" being at home – possibly collecting work comp or disability payments for an extended period of time.

A primary objective  of IDM is to return an injured or ill employee to work and productivity as quickly as possible.  This requires a strong commitment from management to a "return-to-work" culture, with formalized RTW program and resources, for both non-occupational and occupational injuries and illnesses.

6.  Integrated Data Capture And Retrieval System
Integrated data  allows you to benchmark and track the results of the IDM program.  It also allows you to objectively report program results to senior  management and your operating units, essential for their continued support and buy in.  (workersxzcompxzkit)

7.  Frequent, Clear Communications To Employees
Poor communication  can be the undoing of an IDM program!  Clearly communicating benefit policies and procedures will help avoid confusion among employees. 

  \Author Rebecca Shafer, Consultant/Attorney, President, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers’ Compensation costs, including airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. Contact:  RShafer@ReduceYourWorkersComp.com   or 860-553-6604.

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Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers' comp issues.

©2010 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com 

1.      Private industry workers access to paid sick leave benefits varied by occupational group and ranged from 84% for management, professional, and related occupations to 42% for service workers.

2.     Eighty-one percent of employees earning wages in the highest 25% of the wage distribution had access to paid sick leave, compared with only 33% for employees in the lowest 25%.

3.     In private industry, employees received an average of 8 days of paid sick leave after 1 year of service, with large establishments providing an average of 11 days and small establishments offering an average of 6 days.

4.      The cost for sick leave per employee hour worked in State and local government was 81 cents compared to 23 cents in private industry. (workersxzcompxzkit)

5.     Higher paying occupations typically incur higher sick leave costs.  For example, the average employer cost for sick leave benefits in management, professional, and related occupations was 53 cents per employee hour worked in private industry; the cost for service occupations was just 8 cents per employee hour worked.

Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers' Compensation costs, including airlines, health care, manufacturing, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. He can be contacted at: Robert_Elliott@ReduceYourWorkersComp.com or 860-553-6604.

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According to a recent  University of Houston study, too much experience can be a bad thing for some employees as they tend to be unproductive workers. 

Christiane Spitzmueller,  UH assistant professor of psychology, notes that a survey of 215 pairs of employees and supervisors in a number of industries discovered that overqualified professionals often engage in counterproductive work behaviors. Spitzmueller said such discoveries could ultimately benefit human resources professionals and recruiters.

Employees responded  to questions regarding how their previous work experiences and educational backgrounds complemented their day-to-day tasks. Supervisors provided details on counterproductive work behaviors observed in the workplace.

“They (overqualified  employees) might be absent frequently or not focused on their work," commented Spitzmueller, who conducted the study with UH graduate student Alexandra Luksyte. "They also might take things from the office that they’re not supposed to, play video games at their desks and generally, do things other than their assigned tasks," she added. (workersxzcompxzkit)

Burnout  is one of the top reasons overqualified employees tend to focus more on counterproductive behaviors rather than their work assignments, according to Spitzmueller.

Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers' Compensation costs, including airlines, health care, manufacturing, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. He can be contacted at: Robert_Elliott@ReduceYourWorkersComp.com or 860-553-6604.

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