Screening for Predators

the need for risk management  Staffing firms assume risk at the time a hiring decision is made and a job order is filled  Typically 2nd greatest expense  Cost containment becoming more critical

How much do claims really cost?

÷ ÷ ÷ Back Claim Net Profit Margin Sales Needed Bill Rate Hours to Fill Hours per Week Weeks Weeks per Year Temporary Workers Per day for One Year cost of workers comp claims $50,000 5% $1,000,000 $12 83, ,

Risk Management is not just about saving money… It’s about sending employees home at the end of the day safe and free from accidents and injuries.

risk management takes a team approach  Recruiters  Receptionists  Branch Managers  Interviewers  Salespeople  Back Office  Risk Managers  Owners

natural predators  These guys are predators by nature.  Are there those who are predators by choice?

potential predators  Applicants/Employees  Attorneys  Doctors  Customers  Insurance Carriers/TPA’s  Staffing Company

predator applicants/employees  Conscious  Semi-conscious  Unconscious

which one is this?  “Sometimes you have to wreck the truck, to collect the insurance, to get the money for the truck payment.”

The number one converter of claimant to predator....

“When you make an applicant eligible for assignment, you extend your insurance coverage to them.”

fraudulent/suspect claims – who files them?  Drug related individuals…………….70%  Criminals/Ex-cons…………………...60%  People earning close to minimum wage…………………………………….90%

prescreen - telephone inquiries  Previous criminal history and drug use = High probability for predator Start screening as early as the initial phone conversation

prescreen - facility visuals  Convey strong risk management culture  Visuals should address: –Safety issues –Fraudulent behavior –Workers comp guidelines and philosophy –State regulations –Substance abuse

summary of possible red flags in prescreen phase  Unwilling to comply with substance abuse policy  Unwilling to release background history  Inquiries concerning drugs tested for  Inquiries about how far back criminal history will be checked  Inquiries about workers comp benefits including modified duty

application - automated electronic application process  Abort process if applicant does not complete or is unwilling to comply with policies/ procedures  All electronic/automated files should be maintained according to Federal/State laws  The application is the “auto biography” of the employee

which was better? or

summary of possible red flags in application phase  Gaps in work history  Many jobs in a short period of time (job hopping)  No work history  No references  Refusal to sign forms  Incomplete application  Red Flags are not Red Lights!

the interview process  Continue gathering relevant information  Opportunity to learn more about applicant  Ask probing questions, avoiding any medical/health-related questions  Don’t do all the talking –listen… listen… listen

summary of possible red flags in the interview phase  Eye contact  Information gathered in the interview does not match the information on the application  Gaps in employment are not adequately explained  Employee has attitude problems (aggressive, apathetic, lack of motivation, malaise, etc.)  Appearance (not dressed appropriately, posture, etc.)  The interview is the animated representation of the employee (“the movie”). Was “the book” better than “the movie”?

interview At the end of the interview, you have a decision to make.

“When you make an applicant eligible for assignment, you extend your insurance coverage to them.”

some additional predator weapons  Documented, signed orientation and training  Prescribed Accident/Injury protocols –Transportation to treatment –Attendance with claimant at treatment facility –Drug Testing  Signed employee report of accident –Completed ASAP after accident is reported  Accident Investigation and Follow-Up  Maintain contact with Physician, Adjuster, and Claimant  MODIFIED DUTY

modified duty  Modified duty keeps YOU in as much control as possible  Thwarts all 3 classes of employee predators and most classes of other predators –Conscious –Semi-Conscious –Unconscious  Proven to be of benefit to claimant, also –Mentally, psychologically –Physically

summary  WC cost is 2 nd highest expense, but it is controllable  3 types of predators  Deterrents begin as early as initial phone call  Modified Duty