1. IE 419 1 Work Design: Productivity and Safety Dr. Andris Freivalds Class #28

2. IE 419 2 Specific Provisions 1)Waiting period 2)% wages covered 3)Maximum period covered 4)Notice given quickly Most cases settled directly, quickly Tradeoff!!

3. IE 419 3 Company’s Goal - ↓ Costs Correct classification Conduct payroll audit Use a deductible Check your mod ratio Change risk pool Implement a safety program Get workers back quickly Medical management

4. IE 419 4 Other Workers Comp Issues 3 rd party liability Proposed changes –Disparity between states –Compulsory coverage for all –Reciprocity –Occupational diseases (non-accident) –Minimum total benefits –Survivor benefits –Choice of physician

5. IE 419 5 OSHA - Why Needed? 14,000 workplace deaths/year 2.5 million workers disabled/year 300,000 new occupation disorders/year An accident every 19 seconds! State laws poorly enforced State budgets very low

6. IE 419 6 OSHA Occupational Safety & Health Act AKA: Williams-Steiger Act, Dec. 19, 1970 Purpose: –To reduce occupational injuries and deaths –“To assure safe and healthy working conditions for working men and women” Occupational Safety & Health Administration

7. IE 419 7 OSHAct Objectives: Encourage employers to ↓ hazards Establish training programs Monitor job-related injuries through reporting Provide research facilities & funds Establish mandatory standards Establish an enforcement program Provide for and monitor state programs

8. IE 419 8 States Rights & Responsibilities OSHA passed to reform inadequate state laws However states can still maintain control State plan must be more effective If not, OSHA takes precedence California, North Carolina have state plans and are trend setters Pennsylvania does not have state plan

9. IE 419 9 Employer Responsibilities General Duty Clause (preamble) “Shall furnish to each of his employees employment and a place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to his employees” Comply with OSHA standards Record of work-related injuries (Form 300) Notify employees of OSHA legal provisions Cannot discriminate against employees who file complaint

10. IE 419 10 Employee Responsibilities Follow company rules and regulations Read OSHA posters Comply with OSHA standards Use PPE Report hazards Report injuries

11. IE 419 11 Employee Rights Complain about safety/health hazards File grievances Participate in workplace safety committees Participate in OSHA inspections Receive safety training Anonymously request OSHA inspection Be informed of OSHA info, new standards Be told of exposure to hazardous materials

12. IE 419 12 OSHA Administration (DOL) Technical Support Compliance Assistance Health & Safety Standards

13. IE 419 13 Other Agencies National Institute for Occupational Safety and Health (NIOSH) (Director=John Howard) –Dept. of Health, Human Services –Education, research, new standards –Mine Safety & Health Administration Occupational Safety & Health Review Commission (OSHRC) –Quasi-judicial board of 3 judges –Appointed by President –Reviews contested cases, adjudicates fines

14. IE 419 14 Inspections To ensure compliance with standards Priorities: –Imminent danger or investigation of fatality or catastrophic event (must be reported in 48 hrs) –Valid complaint received from employee –High-hazard industries –Follow-up inspections –General inspections

15. IE 419 15 Inspection Procedures Entry – during normal working hours –Can be unannounced, presents credentials –But employer may deny, then search warrant –No entry during strike Opening conference – management, union Walk around – also 300 logs Closing conference – discuss hazards, penalties, right to appeal

16. IE 419 16 Violations Imminent danger – death or serious injury Serious violation – probability of above, employer should have known Nonserious violation – perhaps some injury (not serious), employer didn’t know De minimis – no direct relationship to standards or safety/health Willful/repeated violation – employer knowingly or intentionally violated act, made no effort to correct, repeated

17. IE 419 17 Penalties (per instance) ViolationMax Penalty De minimisnone Non-serious$7,000 Serious$7,000 Imminent dangerShutdown Failure to correct$7,000/day Failure to post info$7,000/act Failure to report death (>48 h)$7,000

18. IE 419 18 Penalties (Willful/repeat) ViolationMax Penalty Willful, no death$70,000 Willful, repeat, no death$10,000, 6 months jail Willful, repeat, death$20,000, 1 yr jail Warns company$1,000, 6 months jail Gives false information$10,000, 6 months jail

19. IE 419 19 Most Frequent OSHA Citations 29 CFRStandardSubject# 1910.1200HazComWritten program2,944 1910.1200HazComTraining1,601 1910.212Mach guardMethods (lack of)1,542 1926.501Fall protectionUnprotected sides1,485 1910.100Head protectionHelmets (lack of)1,291 1904.2RecordkeepingOSHA logs1,087 1910.215Abrasive wheelsGuards (lack of)1,054 1926.21Safety trainingWorker instruction1,030 1910.151First AidDrench facilities1,010

20. IE 419 20 Leading Work-Related Diseases Occupational lung diseases Musculoskeletal injuries Occupational cancers Severe traumatic injuries Cardiovascular diseases Reproductive disorders Neurotoxic disorders Noise induced hearing loss Dermatological conditions Psychological disorders

21. IE 419 21 Penalty Reduction Size of business –1-25 employees → 60% –25-100 employees → 40% –100-250 employees → 20% Good faith → 20% Good record → 10%