Employee Safety for Staffing Companies

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Employee Safety for Staffing Companies PEOs
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Course Objectives

• Best practices for Staffing Companies PEOs
• Learn to reduce injuries, illnesses, and workers
  compensation costs
• Improve communication between staffing
  organizations and host companies
• Understand OSHA requirements for safety and
  health, legal issues, and OSHA recordkeeping

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Course Objectives (continued)

• Best practices for Staffing Companies PEOs
• Understand NCCI classifications
• Evaluate safety of host/client
• Differences between PEO and staffing company
  (legal, ownership, and responsibilities)
• Available resources

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Course Sections

• 1. Definitions
• 2. Loss Control Best Practices
• 3. Legal

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Part 1Definitions
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Terminology

• Contract worker- Provides a specific service to a
  company which must include supervision and
  assumes more responsibilities than a staffing
  company.
• Staffing- Skilled/unskilled workers sent out
  under client/host regulations, host watches over
  worker, manages time/task, may or may not want to
  hire full-time
• Associate is preferable to temp worker.

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Terminology (continued)

• Onsite- Temporary worker administration at
  host/client site although the actual task/work
  performed for the host is supervised by the host
  company.
• Host company is defined as the company that
  utilizes temporary workers.
• Staffing company is preferred to temp agency.

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PROFESSIONAL EMPLOYER ORGANIZATION

• Provide integrated services to manage critical
  human resource responsibilities and employer risk
• Establish and maintain an employer relationship
  with the employees at the clients work site
• Contractually assume certain employer rights,
  responsibilities and risk

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Staffing Employment Agency

• BWC defines as an employer who is in business
  of employing individuals for the purpose of
  utilizing the services of the individuals for a
  temporary period
• Example BWC contracts with a staffing agency to
  hire a temporary employee to fill a vacant
  position

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Similarities of PEOs Staffing Companies

• Specific requirements are spelled out in a
  contract
• Might have additional benefits for employees
• 401K
• heath insurance

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Similarities (continued)

• Responsibilities
• Local, state and federal taxes
• Employment taxes
• WC coverage
• Provided to employees by the temporary staffing
  company
• May be provided by PEO

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Part 2Loss Control Best Practices

• Client Risk Assessment
• Job Descriptions
• Prohibited Jobs
• Before Placement Assessment
• Loss Prevention Management

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Loss Control best Practices (continued)

• Injury Reduction Strategies
• Claims Management
• Safety Questionnaire
• Drug Testing

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Client Risk Assessment

• Written procedures for new client
• Details expectations of the client/employer
  relationship
• Segregation of responsibilities and authority

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Client Risk Assessment (continued)

• WC carrier pre-approval or documentation of
  notice (sent to carrier of Staffing Company/PEO)
• Specific job classification- descriptions
• Industries/jobs that will not be included in
  agreement (restricted jobs)

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Job Description

• Good Job Description includes
• Example tasks
• PPE requirements
• Safety requirements (e.g. attend safety
  orientation)
• Exclusions (e.g. no operation of press brake)
• Additional hazards (e.g. confined spaces)

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Possible Prohibited Jobs/Industries

• Unsupervised Jobs
• Roofing
• Trenching
• Hazardous waste
• Biological waste
• Occupied domiciles
• Foundry (pours)
• Prohibited jobs can be determined by either the
  PEO/Staffing Agency or its Insurance Carrier.

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Before Placement Assess Client

• Safety Training OSHA Alliance
• Safety Reviews
• Job Description/Prohibited Jobs
• OSHA Establishment Search
• www.OSHA.gov
• Statistics
• Inspection Data
• Enter Company Name
• State

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Client Risk Assessment

• Assessment of clients WC history
• Description of business operation
• List of states (operating)
• Copy of 3-yr loss run (minimum)
• OSHA reports
• Copy of existing safety manual(s)

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Client Risk Assessment (continued)

• Payroll by class code, tax and/or payroll reports
• Site assessment of all locations with high hazard
  exposure
• Evaluate frequency/severity of claims

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Loss Prevention Management Injury Reduction
Strategies

• Comply with Loss Prevention Requirements
• Written policies/procedures that must be followed
  by client
• Documentation of compliance and action taken for
  non-compliance of client
• Safety needs assessment conducted with all new
  clients

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Loss Prevention Management Injury Reduction
Strategies (continued)

• Provide some type of loss prevention services
• Have loss prevention services available for
  client
• Periodic review of client compliance issues
• Action plan?

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Claims Management

• Timely notification of all incidents injuries
• Set deadlines for notification
• Example 24/48 hrs after incident
• Provide standard forms for all clients
• Have client complete during notification of injury

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Claims Management (continued)

• Initial contact with injured workers who miss at
  least 3 days then set up regular contact when IW
  misses more than 7 days
• Have experienced claims manager regularly review
  all open claims
• Ensure proper management
• Treatment plan in place (RTW, rehab, physical
  therapy, etc.)

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Claims Management (continued)

• Conduct accident investigations
• Serious injuries/death
• Repetitive incidents
• Periodic reviews with client
• Regarding loss runs or claims analysis
• Minimum annually
• Best practice monthly
• Make available periodic loss runs/comparison
  report

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Claims Management (continued)

• Establish goals with each claim
• Work with client to achieve set goals
• Address employee complaints
• Conduct post-agreement safety questionnaire

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Possible Safety Questionnaire

1. What safety training did you receive by the host
   employer prior to starting job?
2. Are you required to wear any personal protective
   equipment? If so, was it provided?

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Possible Safety Questionnaire (continued)

• Are you currently performing the job functions as
  described to you by our staff?
• Do you feel that there are any unsafe aspects or
  hazards associated with your job? If so, please
  explain.

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Drug Testing

• Minimum of a DFWP Level 1 program
• Pre-employment testing
• Reasonable suspicion of drug usage
• Post-accident

• PROGRAM MUST BE CONSISTENTLY APPLIED!

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Part 3Legal Issues

• Workers Compensation
• Violation of a Specific Safety
  
  Requirement (VSSR)
• Manual Classifications
• Medical Surveillance
• Safety Training

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Legal Issues (continued)

• Personal Protective Equipment (PPE)
• OSHA Requirements
• Recordkeeping
• Fines
• Other Considerations

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Workers Compensation

• Who is responsible for Workers Compensation?
• Host Employer?
• Staffing Employer?
• PEO?
• Staffing employer/PEO-hire the employee that is
  being utilized by the host employer

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VSSR

• Who will be responsible for a VSSR?
• The host employer will be the employer of record
  in regards to VSSR filing.

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Manual Numbers

• Why does the Staffing Agency/PEO need the host
  employers manual number(s)?
• BWC legal requirement
• Proper manual claim assignment
• Payroll reporting
• BWC ratemaking
• Service fee determination

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OSHA Requirements

• To whom do the following OSHA requirements apply?
• Recordkeeping
• Fines
• Medical surveillance
• Safety Training (General and Specific)

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Recordkeeping

• Whoever provides day-to-day supervision of the
  employee is responsible for recordkeeping.

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Fines

• Fines may be levied to the host employer and/or
  staffing agency/PEO depending on the
  circumstances.

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Medical Surveillance

• When medical surveillance or monitoring is
  necessary, the host employer must offer and
  perform this requirement.

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Medical Surveillance (continued)

• The staffing agency/PEO must ensure that the
  records of the required medical surveillance or
  evaluations are maintained in accordance with the
  appropriate OSHA standards.

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Safety Training

• What is the general rule for generic training?
• The staffing agency/PEOs are expected to provide
  some generic training.

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Safety Training (continued)

• Who is responsible for site specific training?
• The host employer must still certify that the
  required training has been provided "when the
  employee has demonstrated proficiency to the
  employer in the work practices involved."

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Safety Training (continued)

• General Choice (soon to be Alliance)
• Safe lifting practices
• Ergonomics
• Personal protective equipment
• Electrical safety
• Machine guarding
• Fall hazards and protection
• Chemical hazard communication

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PPE

• Who is responsible for PPE?
• Host employer is responsible for providing PPE
  for site-specific hazards to which employees may
  be exposed.
• PPE can be a contractional issue between the
  host employer and staffing agency/PEO, but
  enforcement is the responsibility of the host
  employer.

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Other Legal Considerations

• What other Legal Consideration must be
  considered?
• Intentional Tort
• Third Party Liability
• (subrogation)
• Criminal Liability

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Questions?