What are the Advantages and Disadvantages of Salary Continuation
What is Salary Continuation?
Salary continuation allows an employer to pay an employee their full wages after a worker's comp claim. In order to initiate this salary continuation, the employer and employee must agree on the terms of the leave and fill out a form through the Ohio BWC. There are advantages and disadvantages with salary continuation for both the employer and the employee, and it is always best to consult with a third-party administrator before committing to the agreement.
What Are The Advantages Of Salary Continuation?
The best thing about salary continuation is that it expresses that the employer cares about the employee. They want their employee to be better as soon as possible, but while they are recovering, they shouldn't have to stress about money.
Another advantage to salary continuation is that the BWC might not be able to pay the employee their full wages whereas, with this agreement from the employer, they can receive their whole wage for that time.
The employer does not have to use salary continuation all the time. They can choose when they want to use it in cases when the claim is big enough, or the time off is long enough. Basically, the employer can use it whenever it works best for them and the employee.
Salary continuation also helps the employer stay in contact with their employee while they are out. This is beneficial so that the employer can know how the person is recovering and when they be able to return to work.
What Are The Disadvantages Of Salary Continuation?
One disadvantage of salary continuation is that some people are very comfortable sitting at home getting paid their full wages so they will be less inclined to go back to work as soon as they can.
Most third-party administrators and employers in group retro will abuse this because it could potentially help their refunds be better. When salary continuation is used in such a way and not set in the right culture at a company, it is misused.
Regardless, salary continuation for more than four weeks is really being misused.
Consult With Spooner About Your Potential Salary Continuation
An employer isn't necessarily the one who should be making this decision. A third-party administrator, such as Spooner, should always be doing an actuarial analysis of whether salary continuations are a good option or not for every claim. This way, the employer knows that they are making the right decision for their company's well-being including the specific employee and themselves.
If you are an Ohio employer who is working with a worker's comp claim and you are considering salary continuation for your employee, contact Spooner to make sure this is the best choice for both your company and your employee.
Group retro is a relatively new incentive program designed to help Ohio employers keep their workplace safe. In 2009, the Ohio BWC createdgroup retro, and since then it has worked exceptionally well for employers who either do not have a group rating option or that have the opportunity to get more premium back from this program. However, there have been some changes made to the rules and regulations that structure the group retro rating that can affect Ohio employers.
Understanding Group Retro
The first this that you, as an Ohio employer, need to understand is what the percentages of refunds are in the group retro program. In the graph, you can see the blue columns represent the standard refund. The standard refund is based on your premium minus the BWC admin fee.
If your company pays $100,000 in premium, the BWC admin fee is roughly $15,000, so that is an $85,000 refund.
The yellow columns represent the premium that is actually paid. This is a more accurate representation of the
Many Ohio employers struggle with creating a safety culture in their company. However, what they usually dont realize is that they dont have to do it alone. Spooner Incorporated offers proactive Safety Services to create specific programs for your company to ensure your employees are safe.
When we start to initiate a safety culture, we go out to your business location and sit down with upper management and get a feel for what you are currently doing to promote safety and how we can create programs to help you better your safety culture.
What Does Spooners Safety Services Involve?
Safety Training and Consulting:
As each business is different in what they do and the day to day operations, we can alter our training based on what you need and how we can best help you keep your employees safe. For example, you may need forklift specific safety training.
We are trained to notice OSHA safety hazards, so as we come into your company and take a look around, we can help
Though no employer wants their employees out on disability, it does happen. The absence of your employee decreases productivity and increases operations expenses, and the longer they are out, the more it costs your business. That is why Spooner has developed Integrated Disability Management services for Ohio employers to help them reduce the duration of disability claims.
Integrated Disability Management Services
At Spooner, our Integrated Disability Management services include workers comp, FLMA, and short-term/ long-term disability claims all in one service. This means that we handle all of these types of claims for you, allowing you to have a single source to go to in regard to employee disability management.
Most employers rely on their human resource departments to manage these claims. However, this can be a very daunting task for one person or one department who has other responsibilities as well.
At Spooner, we have several professionals in our office that provide these services