Return to Work Programs and How They Benefit Small Businesses
Return to Work programs are a fantastic way to support your employees. But if you’ve never heard of this program, you’re not alone!
According to the Bureau of Labor Statistics, employees spent about 18,070,980 days of work in 2023 due to injury alone. Needless to say, workplace injuries can have a huge impact on employers!
Return to Work programs exist to help your employees return to work following an injury or illness. Let’s say you run a busy retail store where employees are constantly on their feet, handling inventory, helping customers, and ensuring the shop runs smoothly. One day, a team member slips on ice while unloading a trailer, resulting in a broken leg. After surgery, her doctor recommends three weeks of rest before returning to light, sedentary duties.
At first glance, this may seem like a significant disruption to a small business. But that’s not the case when you offer a well-structured Return to Work program! Through a Return to Work program, you can accommodate this team member’s temporary restrictions. Once she has completed the recommended three weeks of rest, you could find a light, sedentary role for her, such as administrative. From answering phones to assisting with invoicing or even posting on social media, there are plenty of tasks you could assign her as she continues to recover.
Doing so will help keep her engaged and productive in an environment she enjoys while simultaneously contributing to the business. In other words, it’s a win-win for both employee and employer and a testament to the value of having a return to work plan in place!
Financial benefits of a Return to Work program
According to the Integrated Benefits Institute, half of 256 employers surveyed had no Return to Work resources. This is surprising considering that one of the biggest benefits of a Return to Work Program for employers is the financial benefits.
You may already know that reducing workers' compensation claim costs is important when running a small business. A Return to Work program can help you achieve this goal. That’s because businesses can minimize the duration of claims and associated expenses through a Return to Work program. Injured employees can return to work sooner, resulting in reduced medical costs and lost wages for both the employee and the employer.
An efficient Return to Work program can also potentially help to improve businesses' Experience Modification factor. Your Experience Modification is a numerical representation of your claims history. It’s the ratio of the costs of your company’s actual workers’ compensation claims compared to the expected costs for companies of similar size in the same industry, which can be higher or lower than the industry average.
The Experience Modification factor directly impacts how much a company pays in workers' compensation premiums. The lower the Experience Modification factor, the lower the premiums. Businesses can lower the cost of each injury, which then will result in a lower Experience Modification factor. Therefore, by incorporating Return to Work programs into their operations, businesses can demonstrate to insurance carriers that they are proactive about getting injured employees back on their feet quickly and safely.
This proactive approach benefits employees by promoting faster recovery times. It helps businesses save money in the long run by reducing overall workers' compensation claim costs—all while fostering a supportive work environment that values employee well-being above all else.
Employee benefits of a Return to Work program
Today’s employees are looking for more than a paycheck. They want to be seen, heard, and respected for the value they bring to their employer.
A Return to Work program provides support and resources to employees who have been on leave due to injury or illness, showing that the organization values their well-being and wants them to successfully reintegrate into the workplace.
Research shows that companies with Return to Work programs experience significantly lower turnover rates compared to those without them. According to the Integrated Benefits Institute, organizations with comprehensive return-to-work strategies saw a 32% reduction in turnover among employees who had taken extended leaves of absence.
By investing in the health and wellness of their workforce through return-to-work initiatives, companies can build stronger relationships with their employees, increase loyalty, and even create a more stable and engaged workforce.
Organizing Your Return to Work program
A successful Return to Work program has many components. So, when you want to establish one for your business, it’s important to take the time needed to determine your objectives. Here are some key components to get you started creating your own Return to Work program:
- Clear Policy
Outlining your Return to Work program's goals, benefits, and procedures, a clear policy must be communicated effectively to all parties who may be affected (ie: employees, stakeholders, etc). By establishing a solid foundation, everyone involved understands the purpose and expectations of the program. - Management Commitment
Management should wholly support the Return to Work program and be open to allocating necessary resources to sustain the initiative. Their involvement will help signal the program's importance and ensure its continued success. - Employee Involvement
Engaging employees in developing and implementing the Return to Work program ensures it meets their needs and encourages active participation. Asking for employee feedback and suggestions can also help to tailor the program to be more effective and relevant for them. - Effective Communication
Maintaining open lines of communication between management, injured employees, healthcare providers, and others may help to ensure that everyone is on the same page regarding the employee’s Return to Work plan. Clear instructions and information about the Return to Work process and expectations help to ensure a smooth transition for the employee. - Individualized RTW Plans
These plans should be developed in collaboration with healthcare professionals to ensure they support the employee's recovery. Tailored plans can help employees return to work safely and effectively. - Transitional Work Assignments
Finding suitable light-duty or modified work assignments that match the injured employee’s abilities will help to keep them engaged and productive. These assignments should be meaningful and contribute to the company's operations. - Training and Education
Supervisors and managers need training on the importance and implementation of Return to Work initiatives. Additionally, educating employees about the benefits of a Return to Work program and how they can participate can help boost employee satisfaction. - Regular Monitoring and Evaluation
Track the effectiveness and progress of your Return to Work program. To do this, consider establishing metrics and benchmarks that allow for continuous assessment and identification of areas for improvement. Regular reviews ensure the program remains effective and responsive to the needs of both employees and the organization. - Legal Compliance
An important aspect of your Return to Work program is ensuring it adheres to relevant labor laws, workers’ compensation regulations, and workplace safety standards.
Final thoughts on Return to Work programs
Many businesses don't offer their employees a Return to Work program. Yet, this type of program is clearly beneficial not only to employees but also to their employers. By implementing an effective Return to Work program, businesses can support their employees through the challenging process of returning to work after an injury or illness. This fosters a positive and supportive work environment and can bring big financial benefits by reducing workers' compensation costs.
If you're considering improving your company's support systems, a Return to Work program might be a valuable addition!