Anyone working in risk management or the workers’ compensation industry understands the high cost of having a worker injured on the job. A 2019 Liberty Mutual study found that employers in the United States spend over $1 billion a week on injuries occurring on the job. They also found that nearly 1 in 4 of these injuries were caused by overexertion, and that these injuries were the most prevalent of any type of on the job injuries. According to the National Council on Compensation Insurance, the average workers’ compensation injury in 2017-2018 cost over $41,000 in medical costs and indemnities. As employers attempt to remain profitable and grow their businesses, what can they do to help prevent these extremely expensive work related injuries?
One effective method is by creating a post offer employment testing process. Post offer employment testing, or POETs, can substantially help employers that employ workers with physically demanding jobs. Employers with high levels of lost time injuries should strongly consider implementing a program. In order to develop a program that is compliant with the Americans with Disabilities Act (ADA) and Equal Employment Opportunity Commission (EEOC), employers should employ experts in establishing accurate essential job functions for their positions.
Many physical therapy practices have expertise in this area. Once accurate essential job functions are established, employers can implement a post offer, pre-employment testing procedure to ensure that employment candidates are able to meet the required physical demands for the role. If the employer can demonstrate that the candidate poses a direct threat due to being unable to perform the job related activities without a reasonable accommodation, they have the ability to rescind the conditional offer of employment to the candidate. Employers must be able to demonstrate that the essential job functions outlined are a business necessity. There are other factors to consider as well, so employers should ensure they work with a group that has extensive knowledge and training, particularly in regards to ADA and EEOC guidelines.
One question that is commonly posed is what the return on investment is for developing a POET program. Instituting a POET program is relatively inexpensive when compared to the cost of a couple of workers’ compensation injuries. While putting a POET program in place will not rid an employer of all injuries, the program will typically pay for itself by saving one lost time injury in a given year. A 2006 study by Rosenblum and Shankar in Work demonstrated that employees that were not screened with a pre-employment test were 2.38x more likely to develop a musculoskeletal condition from overexertion on the job. A 2003 study by Littleton in Work studied a physical plant in Chicago that instituted a POET program and saw an 18.5% decrease injuries and a 79% cost saving on injury spend.
This overall netted an 18 to 1 return on investment on the cost for implementing the program for this employer.
As stated above, it is virtually impossible for employers to prevent all injuries. Accidents are just that: accidents. But employers can be proactive in developing programs to ensure they are hiring the right candidates for the job, and this can create substantial cost savings, increase productivity and increase the safety of their employees. In the end it beneficial for all the stakeholders involved.
If you have questions about developing a Post Offer Employment Testing program in your place of work, reach out to the experts at Results Physiotherapy here!