A return-to-work (RTW) program can be a valuable addition to your workers’ compensation program. An RTW policy allows your employees to return to a light-duty or modified job while they recover from an occupational injury or illness and is designed to help injured or sick employees get back to work in a safe and timely manner.
The cost savings for having an RTW program in place is one area that employers can control and, during these financial constraints resulting from the pandemic, every dollar counts. The hidden costs of not having a return-to-work program in place is something employers may not be aware of, but quickly add up. Besides the indemnity cost for having the injured worker out, additional expenses can include:
- Direct and indirect absenteeism costs
- Lost productivity
- Training replacement workers
- Degraded skill sets of workers and retraining
There are also significant overtime costs for having essential workers out due to injury where shifts have to be covered, especially for police and fire. Finally, there are the annual state fees (based upon indemnity cost) which are all part of the workers’ compensation cost.
"Hidden costs of not having a return-to-work (RTW) program quickly add up."
An RTW program is also very beneficial to injured workers. Being able to return to modified duty can contribute to:
- Faster recovery
- Restored self-esteem
- No salary interruption
- Getting back to normal in their regular job
Return-to-work is not always possible for every injured worker. Treating physicians may place restrictions on an injured employee that the employer is not always able to accommodate. For those who are able to participate in a RTW program, ongoing communication and monitoring of the injured worker’s progress is necessary for it to benefit both the worker and the employer.
If you don’t currently have an RTW program in place, you can start by establishing a policy that includes provisions for eligibility, criteria for entering or exiting the program, and defining transitional positions. An RTW program should also include a team of stakeholders representing employees, supervisors and managers, health, safety and risk management, as well as specialists from your workers’ comp insurer and health care provider network.