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TRANSITIONAL DUTY EMPLOYMENT Karen C. Jackson Office of Risk Management Facilitator
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Expected Workshop Goals Reduce some of the high costs of workers’ compensation
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Expected Workshop Goals A better understanding of Transitional Duty Employment
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Transitional Duty Employment Reduce workers’ compensation costs Workers’ Compensation more effective
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Workers’ Compensation Coverage Injured workers entitled to – medical – indemnity benefits
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ORM Workers’ Comp Statistics 5000 active claims 1000 compensation checks regularly $48 mil on workers’ compensation Money comes directly from agency budgets
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Transitional Duty Employment Enables IW to go from here
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Transitional Duty Employment To here
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Agency Concerns Can’t take IW’S back to work unless full duty Civil Service won’t let us take IW’S back unless they are at 100%
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Dispel the Myths
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Senate Concurrent Resolution No. 50 - 1997 Cooperation between – Department of Civil Service – Division of Administration – Office of Risk Management Formal return-to-work program for state employees
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Civil Service Circular No. 1290 July 9, 1997 Return-To-Work Policy for classified State employees
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Civil Service Circular No. 1290 Allow state employees injured on job to come back to work – Light duty – Limited duty – Restricted duty
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Pilot Program Pinecrest Developmental Center Highest volume of workers compensation lost time claims Highest workers’ compensation premiums
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Pilot Program Pinecrest developed transitional duty policy 1 year pilot
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Before Pilot Program They ain’t gonna take me back!
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After Pilot Program Pinecrest employees returned to work, limited duty
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Pilot Program First six (6) months of transitional duty pilot – 15% reduction of monthly indemnity pay-out
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Pilot Program 36% reduction of indemnity pay-out at end of one (1) year
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Pilot Program Beneficial ORM sought legislative remedy to require state agencies to have transitional duty program IW’S would be RTW once released by treating physician
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1999 - Senate bill 689 Gave ORM authority – develop and – administer transitional duty program for state employees
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R.S. 39:1547 Good for Louisiana Took an act of legislation to get this done
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Related Legislation R.S. 39:1543 Loss prevention audit process – Do state agencies have TD program? – Are agencies actively trying to RTW IW’S back to work?
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5% Premium Penalty Failure to have policy Failure to have transitional duty employment program Failure to return IW’S back to work once released May affect outcome of safety audit
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Transitional Duty Employment ORM developed Transitional Duty Program. Administered by contract vendor.
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ORM’s Transitional Duty Policy http://www.state.la.us/orm/pdf/tranduty.pdf
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Transitional Duty Employment Mirror ORM’S TD policy or develop own
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Case Study LaWanda
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Case Study - LaWanda Friends Co-workers Relatives
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Case Study - LaWanda LaWanda got hurt on the job and now she’s not working WHY?
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Case Study - LaWanda Reason is simple— LaWanda ’s employer won’t let her work
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Case Study - LaWanda LaWanda ’s doctor says she can work
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Case Study - LaWanda LaWanda feels like she can work
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Case Study - LaWanda But -- LaWanda ’s not working
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Case Study - LaWanda Some background on LaWanda
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Case Study - LaWanda Help mentally deficient residents with activities of daily living
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Case Study - LaWanda Pulled muscle in back 3 months ago – and now LaWanda can’t work
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Case Study - LaWanda ORM starts workers’ compensation benefits
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Case Study - LaWanda Conservative treatment Dr. Mild for 3 months Dr. Mild says LaWanda can do something Releases LaWanda to RTW except… can’t lift over 25 pounds
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Case Study - LaWanda LaWanda is so happy she can go back to work
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Case Study - LaWanda LaWanda takes supervisor copy of RTW slip – RTW slip has lifting restriction of no more than 25 pounds
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Case Study - LaWanda Supervisor says, – “I can’t use you LaWanda until you can come back to work full duty.”
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Case Study - LaWanda Took all the wind out of poor LaWanda
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Case Study - LaWanda LaWanda goes home - gives bad news to adjuster Develops renewed interest: – The Young & The Restless – Jerry Springer – Gardening
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Case Study - LaWanda Because LaWanda ’s not allowed to work, restricted duty -- Compensation benefits continue to be paid
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Case Study - LaWanda LaWanda ’s doctor doesn’t see what the big deal is, – As her doctor, he knows LaWanda can work
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Case Study - LaWanda LaWanda doesn’t see what the big deal is either, – She knows she can work – She can do everything her job requires her to do except the lifting
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Case Study - LaWanda LaWanda ’s supervisor doesn’t see what the big deal is, either – After all, LaWanda ’s being paid workers’ comp anyway, right? – What’s the big deal?!
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Transitional Duty Employment The big deal is: once workers’ compensation benefits are started – they continue until IW RTW or – is released to RTW regular duties by treating physician
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Rehabilitation of Injured Workers If an IW unable to return to previous work earning 90% or greater of pre-injury wage …
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Rehabilitation of Injured Workers R. S. 23:1226 Employer must provide rehabilitative services -job placement -retraining
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Rehabilitation of Injured Workers Rehabilitation of IW’S automatically adds an additional $5,000 – $13,000 to value of a claim.
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Rehabilitation of Injured Workers Employers must make every effort to return IW’S back to work Even if cannot return to work full duty.
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Rehabilitation of Injured Workers As long as IW off work – comp and medical benefits continue – these affect premiums
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Transitional Duty Employment R.S. 23:1221(3) IW entitled to supplemental earnings benefits (SEB) if unable to earn 90% or greater of pre-injury wage.
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Transitional Duty Employment SEB based on 66 2/3 difference between pre-injury wage and what employee now capable of earning.
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Transitional Duty Employment While this reduces benefits, benefits are still being paid.
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Rehabilitation of Injured Workers If the claim is settled $30,000 - $40,000 added to value of claim.
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Transitional Duty Employment Only way to stop payments altogether
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Transitional Duty Employment Return IW to work with employer on transitional duty
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Transitional Duty Employment Transitional duty can be: – Job modification – Light duty – Restricted duty
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Cut Workers’ Compensation Costs Absolute must to keeping workers’ compensation costs down
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Transitional Duty Employment When IW sitting home watching Dr. Phil
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Transitional Duty Employment Commercial comes on asking, – “Have you been hurt on the job? – Call me, I’m a lawyer, I can help. – I can get you top $$ for your claim.”
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Transitional Duty Employment This is how he does it and employers help IW’S attorney by not returning IW’S back to work light duty
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It Doesn’t Matter What It’s Called Transitional Duty Light Duty Restricted Duty Modified Duty Temporary Assignment of Duties
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Just Do It! Whatever you call it, just get ‘em back to work! Absolute must for keeping workers’ compensation costs down.
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Think About It Would you like for your employee to sit here?
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Think About It Or here?
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Think About It When an employee is home collecting a comp check -
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Think About It The work piles up!!! Somebody’s gotta do it or it doesn’t get done
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Successful Transitional Duty
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Focus of Transitional Duty Employment Focus on what the IW CAN do
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Focus of Transitional Duty Employment Do not focus on what IW CANNOT do
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Focus of Transitional Duty Employment Transitional Duty Employment doesn’t have to be nicest, coolest, best job you have to offer.
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Successful Transitional Duty Exercise discretion and caution in determining the transitional duties to be assigned.
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Successful Transitional Duty Transitional duty employment must not lower the performance standards and expectations of the job as a whole
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Successful Transitional Duty Transitional duty employment should not establish a precedent for a lower level of duties and performance that other employees might then expect to be applied to them
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Successful Transitional Duty Transitional duty employment should not have the effect of permanently lowering the employee’s Civil Service job title.
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Successful Transitional Duty Department of Civil Service, Program Assistance Division can give guidance in evaluating transitional duty employment.
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Successful Transitional Duty Transitional Duty feasible – IW released to some form of employment
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Successful Transitional Duty Open mind of employer
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Successful Transitional Duty Agency involvement Employer must make accommodations when IW has been released to some form of restricted duty
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Successful Transitional Duty Commitment required at all levels of agency – Management – Employees
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Successful Transitional Duty Develop a Transitional Duty Employment statement Communicate with the injured worker
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Successful Transitional Duty Do not work someone outside of the restrictions –Leads to re-injury –Make doctor take employee off work permanently
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Successful Transitional Duty Modified job offers –identify tasks ahead of time – notify IW in writing Job modification should come in all sizes and shapes
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Successful Transitional Duty A DEAL’S A DEAL. Make sure job is open and available when IW returns to work
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Transitional Duty Works Effective in both public and private sector 18% decrease in disability costs Keep productivity and employee moral up Get employee back into work environment as soon as medically possible
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RETURN TO WORK PAYS Employer credibility – Employees – Medical professionals – Attorneys
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RETURN TO WORK PAYS Attorneys can’t bluff adjusters
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RETURN TO WORK PAYS Decreased medical cost Decreased indemnity costs
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RETURN TO WORK PAYS OFF Adjusters free to concentrate on substantive claims handling
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RETURN TO WORK PAYS OFF Litigation diminished
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RETURN TO WORK PAYS OFF Employees are not separated from the worksite unnecessarily
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RETURN TO WORK PAYS OFF Transitional Duty Employment helps comply with ADA
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Transitional Duty Works It’s economical IW benefits: returned to a productive lifestyle Employer benefits: no double encumbering Return-to-work makes good business sense IT’S A WIN – WIN SITUATION
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HANDOUT
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Website information ORM website for workers’ comp forms: http://www.doa.louisiana.gov/orm/formsCR.htm LDOL / OWCA’s website: http://www.ldol.state.la.us/qm_formsindexdetail.asp ?LookupValue=OWCA ISIS WEBSITE http://www.doa.state.la.us/osis
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Adjuster Assignments – p. 1
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Adjuster Assignments – p. 2
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Adjuster Assignments – p. 3
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Contact Information Contact me: Karen C. Jackson State Risk Claims Manager P. O. Box 91106 Baton Rouge, LA 70821- 9106 225-342-7390 (p) 225-342-4470 (f) Karen.Jackson@la.gov
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Are there any questions?
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