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HRM311WEEK5.pptx

HRM 311 – WEEK 5

Risk Management

Involves responsibilities to consider physical, human, and financial factors to protect:

Organizational interests

Individual interests

Risk management involves responsibilities to consider factors to protect both organizational and individual interests.

 

Even though risk management often is a distinct business function, there are specific and separate risks associated with the supervision of employees. In the United States and other developed nations, HR departments are included in the prevention, minimization, and elimination of workplace risks.

 

There are a variety of risk management issues linked to HR, including the prevention of accidents and health problems at work, the protection of employees from workplace violence, and HR data security. Other issues can involve preparing for natural disasters, terrorist attacks, and global disease outbreaks.

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Snapshot of Health, Safety, and Security

Specific rates vary depending on the industry, type of job, and other factors. For instance, illnesses and injuries in the private industry were down, but the agriculture, forestry, and fishing and hunting industry and the accommodation and food services industry experienced an increase in cases. Unfortunately, there is reason to believe that many organizations misrepresent how often injuries and illnesses occur in the workplace. Nearly half of employees investigated by OSHA for documentation problems failed to report accurate information about worker illnesses and injuries.

 

There are many other factors that likely lead to the underreporting of illnesses and injuries, including the following:

Lack of procedural knowledge on the part of employees and managers

Safety policies that provide a reason not to report cases

Belief that the company won’t get inspected

Concerns about workers’ compensation claims

Loss of needed contracts

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Workers’ Compensation

Workers’ compensation

Require payments be made to an employee for:

Time away from work because of an injury

Payments to cover medical bills

Retraining if a new job is required as a result of the incident

Under workers’ compensation laws, employers contribute to an insurance fund to compensate employees for injuries received while on the job. Premiums paid reflect the accident rates of the employers, with employers that have higher incident rates being assessed higher premiums. Depending on the amount of lost time and the wage level in question, these laws often require payments be made to an employee for the time away from work because of an injury, payments to cover medical bills, and for retraining if a new job is required as a result of the incident

Workers’ compensation coverage has been expanded in many states to include emotional impairment that may have resulted from physical injury, as well as job-related strain, stress, anxiety, and pressure. Some cases of suicide have also been ruled to be job related in some states, with payments due under workers’ compensation.

 

Another aspect of workers’ compensation coverage relates to the use of telecommuting by employees. In most situations, while working at home for employers, individuals are covered under workers’ compensation laws. Therefore, if an employee is injured while doing employer-related work at home, the employer likely is liable for the injury.

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Child Labor Laws

Set the minimum age for most employment at 16 years

Individuals who are 14 or 15 years old may work no more than three hours a day

Total of 18 hours in a week

Safety concerns have resulted in restrictions affecting younger workers, especially those under the age of 18. Child labor laws, found in section XII of the Fair Labor Standards Act (FLSA), set the minimum age for most employment at 16 years. Individuals who are 14 or 15 years old may work no more than three hours a day and a total of 18 hours in a week when school is in session, and they can only work from 7 o’clock in the morning through 7 o’clock in the evening. When not in school or during the summer months, individuals can work eight hours per day and 40 hours per week, and from June 1 until Labor Day they can work until 9 o’clock at night. Individuals of any age can work for a family-based business that is owned and operated by their parents, but individuals who are younger than 16 cannot be employed in manufacturing or mining jobs.

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Occupational Safety and Health Act (www.osha.gov)

http://www.youtube.com/watch?v=H6wRRWi6i0c

Passed to assure safe and healthful working conditions

Occupational Safety and Health Administration (OSHA) administers provisions of the Act

Established the National Institute for Occupational Safety and Health (NIOSH)

Supporting body to do research and develop standards

The Occupational Safety and Health Act of 1970 was passed to ensure that the health and safety of individuals employed in organizations would be protected. Every employer that is engaged in commerce and has one or more employees is covered by the act. Farmers having fewer than 10 employees are exempt.

 

The Occupational Safety and Health Act of 1970 established the Occupational Safety and Health Administration, known as OSHA, to administer its provisions. The act also established the National Institute for Occupational Safety and Health (NIOSH) as a supporting body to do research and develop standards.

 

By making employers and employees more aware of safety and health considerations, OSHA has significantly affected organizations. OSHA regulations appear to have contributed to reductions in the number of accidents and injuries in some cases.

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OSHA Inspections

Compliance offers - Conduct on-the-spot inspections

Dealing with an inspection

Check credentials

Opening conference

Review of safety records

On-the-spot inspection

The Occupational Safety and Health Act provides for on-the-spot inspections by OSHA representatives, called compliance officers or inspectors. In Marshall v. Barlow’s, Inc., the U.S. Supreme Court held that safety inspectors must produce a search warrant if an employer refuses to allow an inspector into the plant voluntarily. The Court also ruled that an inspector does not have to show probable cause to obtain a search warrant. A warrant can be obtained easily if a search is part of a general enforcement plan.

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Workplace Violence

Workplace violence warning signs

There are warning signs and characteristics of potentially violent persons at work that should be recognized by employees

Workplace incivility and bullying

Rude behavior by ill-mannered coworkers or bosses makes the targets of incivility feel annoyed, frustrated, or offended

Workplace Violence Warning Signs

 

There is reason to believe that some people might downplay the risks associated with violent colleagues. However, there are warning signs and characteristics of potentially violent persons at work that should be recognized by employees. Figure 14-11 depicts the profile of individuals who have committed the most violent acts. Someone with some of these signs and characteristics may cope for years until a trauma pushes that person over the edge.

 

Workplace Incivility and Bullying

 

Workplace incivility occurs when rude behavior by ill-mannered coworkers or bosses makes the targets of incivility feel annoyed, frustrated, or offended. Incivility can escalate into bullying. Bullying is behavior that the victim perceives as oppressive, humiliating, threatening, or infringing on the victim’s human rights and must occur over an extended period of time. Bullying, especially by supervisors, can result in damage to the employee and to the organization, leading to increased turnover.

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Workplace Violence

Domestic causes of workplace violence

Often violence that begins at home with family or friends can spill over into the workplace

Can disrupt the workplace and create a negative work environment for all parties involved

Dealing with workplace violence

Develop policies and practices for trying to prevent and respond to it

Violence response team

Domestic Causes of Workplace Violence

 

Too often violence that begins at home with family or friends can spill over into the workplace. Many abused women report being harassed frequently at work, by telephone or in person, by abusing partners. Such behavior can disrupt the workplace and create a negative work environment for all parties involved.

 

Domestic violence can harm work attitudes, and even worse, put the well-being of employees in jeopardy. Organizations need to be proactive about teaching employees about the dangers of such misconduct and get victims proper counseling and assistance. Domestic violence is particularly troubling because HR professionals sometimes find it difficult to take action because of concerns over personal privacy. A reaction by employers is to sometimes ignore obvious signs of domestic violence.

 

Dealing with Workplace Violence

 

The increase in workplace violence has led many employers to develop policies and practices for trying to prevent and respond to it. Policies can identify how workplace violence is to be dealt with in conjunction with disciplinary actions and referrals to EAPs.

 

One application of these policies is a violence response team. Composed of security personnel, key managers, HR staff members, and selected employees, this team functions much like a safety committee, but with a different focus. Employers must be careful because they may face legal action for discrimination if they discharge employees for behaviors that often precede violent acts.

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Disaster Planning Components

For disaster planning to occur properly, three components must be addressed by HR (Figure 14-12).

 

Organizational Assessment

 

Organizational assessment includes establishing a disaster planning team, often composed of representatives from HR, security, information technology, operations, and other areas. The purpose of this team is to conduct an organizational assessment of how various disasters might affect the organization and its employees.

 

Human Impact Planning

 

Certain areas are part of human impact planning (the impact of events on people). Issues such as having backup databases along with employee contact information, are key considerations of such planning. Who will take responsibilities for various duties and how these efforts will be coordinated must also be identified. Many organizations have done an effective job with such planning.

 

Disaster Training

 

All of the planning efforts may be wasted if managers and employees are not trained on what to do when disasters occur. This training covers a wide range of topics, including the following:

First aid/CPR

Hazardous materials containment

Disaster escape means

Employer contact methods

Organizational restoration efforts

 

But this training is not sufficient without conducting exercises or simulations for managers and employees to use the training. Training must be a continuing consideration, and must reflect updated disaster planning efforts.

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