Improving Morale While Lowering Costs.

 Another update from the Jungle…
image031Doug is the plant manager of a factory that makes car parts. His boss transferred him from a nearby facility with instructions to improve operations and lower costs at the factory. It didn’t take Doug long to figure out that the high costs were due to low employee morale and a high incidence of on-the-job injuries.

Some of the worker compensation claims defy common sense. One worker wrenched his ankle after ignoring warning signs and walking across newly laid floor tiles before the glue had set. Another employee lost a finger in a machine because he ignored the safety protocols for using the machine.

Doug hopes to simultaneously increase safety, reduce worker comp claims and improve employee morale. First, he wants to create a new safety training program. Then he wants to implement a drug-free workplace program. This program will have the added benefit of lowering premiums on the worker comp policy through the mandatory discount offered to companies with drug-free workplace programs.

Doug knows that safety training and a zero tolerance for drugs are only the beginning. He believes morale will improve when employees realize they can get bonuses and wage rises by improving safety. But he must also revise the factory’s HR policies to reflect a more enlightened approach of rewarding good behavior rather than punishing bad behavior. All the changes will contribute to a rise in productivity. Doug knows he needs help to accomplish all these ambitious goals.

What should Doug do next?

  1. He should ask his insurance agent what steps he needs to take to implement the new drug-free workplace program. One of those steps must include identifying a company certified to administer the drug-testing.
  2. He should hire an OSHA-certified trainer to teach the new safety classes.
  3. He should outsource the task of revising the HR policies since he lacks the on-site HR staff to handle this responsibility.

The above scenario is based on actual worker comp claims. If your company is struggling with similar issues consider the following resources. USA Mobile Drug Testing of Nashville can help administer a drug-free workplace program. Corporate Compliance Risk Advisor can help create HR policies and procedures appropriate for your company’s size.

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This week I guest blogged on USAmdt Nashville’s blog, check it out here and follow them on Facebook & Twitter!

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