Top Workplace Myths
Myth: If a boss bullies an employee, he/she can be sued under “hostile workplace” rules.
Truth: Bullying an employee is bad management but it’s usually not against the law. The only time it is against the law is when the the bullying is caused by the employee’s race, religion, gender or other protected class.
Myth: Employers must provide employees with paid time off.
There is no law requiring that employers provide sick time or vacation time. Of course it is very important that employers provide paid time off, for ethical reasons and in order to attract talented workers.
Myth: Your employer can’t reassign you to a completely different job
Truth: Your employer can require you to perform any job. Only a contract that specifies your work duties gives you protection from being assigned to any task at your employers discretion. If your employer asks you to perform a job that you refuse to do, your employer can just terminate your employment.
Why Temping Can be a Good Idea
Temping can be a very good idea for people who do not have a permanent position. Temping can build your professional network, which can lead to opportunities in future years.
Temping eliminates gaps in your resume, many employers look more favorably on resumes that show no breaks in work history.
Temping gives you the opportunity to gain valuable new knowledge from each company you work for. This can upgrade your skills and make you a more attractive candidate to potential employers.
Another benefit of temping is that it keeps your skill sharp. A long layoff can mean your skills will deteriorate.
Many people enjoy temp work more than permanent employment because the frequent changes mean boredom has less of a chance to sink in, also, there will be opportunities to take a week off here or there.
In summary, temping can actually offer several advantages over permanent work, and while there are disadvantages as well, for many people temping is preferable to permanent employment.
Jobless Claims Dip but Too Many Still Unemployed
The Bureau of Labor Statistics reported that U.S.nonfarm payrolls grew by 243,000 jobs in January, substantial better than the 203,000 increase seen in December.
While these numbers are encouraging, the number of unemployed is still much too high. The unemployment rate dropped to 8.3 percent in January, from 8.5 percent in December.
But these numbers do not include workers who have dropped out of the labor force, if they were included, the unemployment rate might be over 10%.
One of the key problems in reducing the unemployment rate is that residential construction is coming back very slowly. In past recessions, construction jobs returning would be a key factor in reducing unemployment, not so this time around.
Also, because job losses in this recession were so rapid and so deep, the economy has a lot farther to go in order to get back to a more normal rate of unemployment.
Hundreds of Former NFL Players Suing Over Head Injuries
There are currently 21 lawsuits with hundreds of former NFL players signed on, alleging that the NFL deliberately hid information regarding the damage done by concussions and other head injuries.
One of the lawsuits alleges “”Rather than warn players that they risked permanent brain injury if they returned to play too soon after sustaining a concussion, the NFL actively deceived players, by misrepresenting to them that concussions did not present serious, life-altering risks”.
In 2010, 154 concussions were reported during the NFL season.
Brent Boyd, a former defensive lineman for the Minnesota Vikings is the only living player suffering from chronic traumatic encephalopathy, a degenerative brain disease often referred to as CTE. More than a dozen former NFL and NHL players have suffered from the disease.
The NFL is hoping that all the cases will be consolidated into one case that will be heard in Philadelphia.
The Experienced Claims Adjuster Designation is a Worker’s Compensation Claims Examiner’s “license to drive” in California. This is a program that is administered by the insurers.
The Designation requirement often creates problems for long term temps and for W/C Examiners who have been out of the market for a few years and want to return.
In our next newsletter we will begin a series on the Designation, its requirements, and the training required to maintain its currency.
Mother of All Liability Cases Speeds Towards Trial
70 Lawyers meet each day in New Orleans to study documents and compare notes on the mother of all liability cases, the federal lawsuit against BP, Transocean and a number of other firms involved in the massive gulf oil spill of 2010.
More than 120,000 claimants have joined on as plaintiffs in the lawsuit which has a scheduled trial date of February 27.
Much of the case, which is expected to reach the Supreme Court, will involve who was primarily at fault, BP, the owner of the rig, or Transocean, who was operating the rig.
In all, there are approximately 250,000 claimants, the 120,ooo claimants in the trial, and a slightly higher number that applied for restitution from the BP 20 billion dollar compensation fund.
California Workers Comp Market Hardening
We called insurance broker Pat Barnes, AVP of Tutton Insurance who is heavily involved with the W/C market for his contractor clients. For 2012 Pat sees a hardening and tightening California W/C market. Pat is estimating his client’s average W/C rates will increase 12 – 20 percent this year. Pat makes the point that increases will vary by line, while contractors may see increases toward the upper end of the range, increases for manufacturers will likely be more moderate.
Pat sees the market tightening particularly for risks where elevated height is involved, such as where scaffolding is used. With fewer carriers competing, rates are strongly increasing.
Mr. Barnes pointed out that the recession has worsened workers comp loss ratios as some workers have filed work comp claims to create income as they fear work may be in short supply.
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Use of Temporary Workers Steadily Increasing
Harris Interactive recently conducted a survey of American businesses which analyzed use of temporary workers. The study revealed companies have been steadily increasing the use of temporary workers since 2009. 28% of firms used temps in 2009, 30% in 2010 and 34% in 2011.
36% of firms say they plan to use temporary workers in 2012, with 35% saying they will most likely convert temporary workers to permanent employees during the year.
Health Insurance Companies Must Justify Rate Increases of 10% or More
As part of the health care overhaul, the Federal Government for the first time has the power to require health insurance companies to justify rate increases of 10% or more. The U.S. Department of Health and Human Services or a state agency reviews the justifications to determine whether or not they are “reasonable”.
If the rate increase is not deemed to be reasonable, the health insurer then has the option to modify the rate increase. If they choose not to moderate the rate increase, they must send an explanation to their insureds explaining the rate increase. 36 states have the authority to reject the rate increase, 14 states do not.
California currently does not have the authority to overrule rate increases.
Federal health officials announced in a statement January 13, 2012, that rate increases proposed by Trustmark Life Insurance for five states have been deemed “unreasonable”.
Bizarre “Flying Body” Liability Case
An Illinois appeals court has ruled in a bizarre case involving an 18 year old man of Japanese origin who was hit by a train in the Edgebrook section of Chicago.
It was raining as Hiroyuki Joho crossed over the tracks. He was hurrying to catch a train, his visibility obscured by the umbrella he was carrying. Witnesses reported that Mr. Joho was smiling as he was struck by the train. A large portion of his body flew 100 feet and struck 58 year old Gayane Zokhrabov. Ms. Zokhrabov broke her leg and wrist and injured her shoulder.
Ms. Zokhrabov sued the estate of Mr. Joho, arguing that his negligence caused Ms. Zokhrabov’s injuries. A judge originally dismissed Ms. Zokhrabov’s suit, saying that Mr. Jojo could not have anticipated Ms. Zokhrabov’ injuries. The appellate court disagreed, in effect saying that Mr. Joho was negligent in crossing the tracks in front of the train and the suit could proceed. Remarkably, in 1951 there was a similar case in Illinois, when a postal worker was injured by the body of an elderly woman who had been hit by a train. The postal worker was driven into his mail cart and broke his leg. Instead of suing the estate of the woman, the postal worker sued the railroad alleging the train was operating an unsafe speed. The postal worker was successful in his suit and was compensated for his injuries.
(Summarized from a Dec. 29 article in the Chicago Tribune)
PRG Referral Contest
Looking to replenish your cash stores after the Christmas Holidays? PRG is running a referral contest for the month of January. Do you know any Workers Comp Examiners, Supervisors or Assistants who are in need of a new position, either temporary or permanent?
Go to our Facebook page, click the “Like” Button at the top of the page, and you are signed up for the contest! Just email us your referrals. Contest rules are on our Facebook page.
CLICK HERE TO SIGN UP FOR PRG’s REFERRAL CONTEST ON OUR FACEBOOK PAGE
Catastrophe Losses Lead to Down Underwriting Year for 2011
Tornadoes caused the largest catastrophe losses in 2011, leading to $27 billion in total catastrophe claims for the first nine months of the year, according to an article from Zacks Investment Research. This was a huge increase over 2010 in which there were just 14 billion in cat losses for the entire year and 2009 when there were just 10.5 billion in losses for the year.
Data shows that for the first nine months of 2011, there were $34.9 billion in underwriting losses for the U.S. insurance industry, 5x greater than the underwriting losses of one year ago. After tax net income was only $8 billion for the first nine months of 2011 as compared with $27 billion for the first nine months a year ago.
“75% of Management is Hiring the Right People”
Owner of 5 businesses, author and New York Times columnist Jay Goltz recently held a webinar in which he stated “75% of Management is Hiring the Right People”. Talented employees drive innovation, help to retain key accounts and attract new accounts. For service businesses particularly, the employees are the business.
With the right employees a business will grow, with the wrong employees, many businesses will disappear.
The question then is, how to locate talented employees? Running ads will frequently attract only those who are out of work at any particular time. In order to gain access to talented job candidates who are already working, often the best strategy is to work with a seasoned recruiting firm who specializes in your particular niche.
AIG repays $972 Million to U.S. Government
AIG paid the Treasury Department $972 in November as partial payment on the debt incurred from the 2008 bailout. AIG received $182 billion from the government and Federal Reserve. AIG has paid back $18 billion so far. The Treasury Dept. now owns a 77% stake in AIG.
Engaged Workers are Happier and More Productive
“Employees who are engaged in their work are fully connected with their work roles. They are bursting with energy, dedicated to their work, and immersed in their work activities.” According to an article published by Arnold B. Bakker, Erasmus University Rotterdam, Institute of Psychology If the goal is to get happier, more productive workers, how is this achieved?
According to Mr. Bakker, an organization gains engaged workers in two ways. One way is to hire people who are already psychologically healthy and engaged. Another way is to structure the work environment to increase engagement. The work environment should supply social support, frequent feedback on work performance, opportunities for working with autonomy, job variety and opportunities for growth. Perhaps the key lesson here is that companies should reach out to their employees to make them feel they are a key part of the organization and that their insights, creativity and job growth are valued assets.
Another interesting outcome of the study was that the most engaged workers are often in organizations where the work demands are very high.
U.S. Unemployment Rate Drops to 2 ½ Year Low
In November the U.S. unemployment rate dropped to it’s lowest level in 2-1/2 years according to the U.S. Labor Department. The jobless rate lowered to 8.6% from 9% in October. Nonfarm payrolls increased by 120,000 jobs, the Labor Department said on Friday, and the jobless rate dropped to 8.6 percent, the lowest since March 2009, from 9 percent in October.
In another positive sign for the economy “Black Friday” sales for the weekend Thursday through Sunday came to $52.4 billion, up from $45 billion last year, according to the National Retail Federation. Sales for Black Friday alone were up 6.6% from 2010, a much better showing than 2010’s .3% increase. Consumer sales account for 70% of the U.S. economy..
Is Digital Advertising Effective for Hard to Fill Jobs?
The short answer is that for positions where there is a small supply of candidates, digital advertising usually doesn’t work well. Workers who are in positions that are in high demand, look at advertising, digital and otherwise, much less than workers who are in low demand positions. When workers are in demand they often just wait for recruiters to call them, having their pick from a variety of opportunities, they don’t need to search on their own.
Often, the best strategy for finding the right candidate for that tough to fill job, is to employ a recruiting firm that has extensive experience recruiting for the position you are trying to fill. A recruiting firm specializing in your niche will have a list of high quality candidates they can immediately call. This can save a great deal of time in filling the position, and as we all know, time is money.
Church Pastor Kills Farmers Agent A former church pastor plead guilty to the murder of Randy Stone, a Farmers agent from western Missouri. The former pastor had a long time affair with David Stone’s wife, and the government is charging that the lovers colluded in killing Mr. Stone. Mr. & Mrs. Stone were long time members of David Love’s congregation. Mrs. Stone has been charged with conspiracy to commit murder in her husband’s death.
Resume Tips
Preparing for a job search? A common and unfortunate error is emailing a resume that is not in a commonly used format. Microsoft Works would be an example of a format that should not be used. Employers often tell us about not being able to open a resume in Works or other rarely used formats. Do not underestimate the impact of a very attractive and well designed resume. This tells the hiring manager that you are someone that is capable of producing high quality work.
Make It Real – Avoid the terms that one sees so commonly on resumes such as “excellent verbal and written communication skills”. Anyone involved with hiring has read that many, many times and immediately discounts it. It’s imporant to list your strong points on your resume. Think carefully about what your strengths are and write about them in a way that is original.
Use Bullet Points Bullet points are easier to read than paragraphs, if you use them your words are more likely to be read and more likely to be comprehended.
Use Descriptive Titles Your title could be “Workers Comp Examiner”, or it could be “Managed Workers Comp Claims for 5 Key accounts”, the second title is much more likely to get noticed.
Typography – Use a font that is large enough. Many hiring managers are middle aged or older and have a much easier time with larger fonts. 12 points is a good choice.
25% of Middle-Class Americans Say They’ll Work Until They’re 80
25% of middle-class Americans worry they’ll need to work until they’re 80, according to a Los Angeles Times article of November 16. 75% said they plan to work past 65, of those 50% said they need to work and 25% said they wanted to continue working. This article was based on a survey released by Wells Fargo & Co. The conclusion of the survey was that a large percentage of Americans are very poorly prepared for retirement. 30% of workers in their 60′s have less than $25,000 in savings. Many Americans also said that they needed to strongly cut back on spending

















