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February 2006

Area of Interest: OSHA Reminds Employers to Post Injury/Illness Summaries Beginning February 1

Beginning February 1, employers must post a summary of the total number of job-related injuries and illnesses that occurred last year, the Occupational Safety and Health Administration (OSHA) announced today. Employers are only required to post the Summary (OSHA Form 300A) -- not the OSHA 300 Log -- from Feb.1 to Apr. 30, 2006.

The summary must list the total numbers of job-related injuries and illnesses that occurred in 2005 and were logged on the OSHA 300 form. Employment information about annual average number of employees and total hours worked during the calendar year is also required to assists in calculating incidence rates. Companies with no recordable injuries or illnesses in 2005 must post the form with zeros on the total line. All establishment summaries must be certified by a company executive.

The form is to be displayed in a common area wherever notices to employees are usually posted. Employers must make a copy of the summary available to employees who move from worksite to worksite, such as construction workers, and employees who do not report to any fixed establishment on a regular basis.

Employers with ten or fewer employees and employers in certain industry groups are normally exempt from federal OSHA injury and illness recordkeeping and posting requirements. A complete list of exempt industries in the retail, services, finance and real estate sectors is posted on OSHA's website.

Exempted employers may still be selected by the Labor Department's Bureau of Labor Statistics to participate in an annual statistical survey. All employers covered by OSHA need to comply with safety and health standards and must report verbally within eight hours to the nearest OSHA office all accidents that result in one ore more fatalities or in the hospitalization of three or more employees.

Source: Occupational Safety and Health Administration

State: Missouri

Area of Interest: John J. Steuby Company Cited for Alleged Workplace Safety and Health Violations; OSHA Proposes $788,000 in Penalties

The U.S. Department of Labor's Occupational Safety and Health Administration (OSHA) cited John J. Steuby Co., located in St. Louis, for more than 50 alleged safety and health violations, and proposed penalties totaling $788,000.

OSHA issued separate willful citations for each hazardous screw machine under its instance-by-instance citation policy because the employer did not address machine guarding issues despite its history of injuries, as well as warnings from workers' compensation carriers about the unsafe conditions of the machines. Numerous hazardous grinders were also cited in another willful citation. The company also received a willful citation for failing to perform lockout/tagout to prevent machinery from starting up during maintenance or repair. The OSHA inspector observed workers servicing machinery by putting their arms into the equipment without locking or tagging out the power source.

A willful citation was also issued for allowing cooling oil and water to build up on the floors, creating slippery conditions where employees walked by unguarded, operating machinery and where employees drove forklifts. The remaining willful citations related to failing to provide audiometric testing; the inappropriate use of high pressure air for cleaning; and for failing to train employees in lockout/tagout application, the safe operation of powered industrial trucks, and chemical hazards.

The company has 15 working days from receipt of the citations and proposed penalties to contest them before the independent Occupational Safety and Health Review Commission.

Source: Occupational Safety and Health Administration

Area of Interest: OSHA Offers New Guidelines to Help Reduce Motor Vehicle Crashes

Employers and employees who use motor vehicles for work purposes stand to benefit from new guidelines developed by the Occupational Safety and Health Administration (OSHA), National Highway Traffic Safety Administration (NHTSA) and Network of Employers for Traffic Safety (NETS).

The 32-page Guidelines for Employers to Reduce Motor Vehicle Crashes offers useful information to help employers design an effective driver safety program in their workplace. It features a 10-step program outlining what an employer can do to improve traffic safety performance and minimize the risk of motor vehicle crashes. The document includes success stories from employers who have benefited from effective driver safety programs.

The guidelines include a detailed section on the causes of aggressive, distracted, drowsy and impaired driving, and tips for avoiding such behavior on the road. There is also a sample worksheet for calculating the costs of motor vehicle crashes to employers.

Source: Occupational Safety and Health Administration

State: New York

Area of Interest: Insurance Department Fines Cigna $150,000

Superintendent of Insurance Howard Mills today announced that CIGNA Healthcare of New York, Inc. (CIGNA) has paid the Insurance Department a $150,000 fine for neglecting consumer complaints for a prolonged period of time, which is a violation of the law. In addition to paying the fine, CIGNA pledged to take steps that would prevent the recurrence of the customer service violations which initially prompted the Insurance Department's action.

Under New York State Law, insurers and health maintenance organizations (HMOs) have 15 business days in which to respond to consumer complaints sent to them via the Insurance Department's Consumer Services Bureau (CSB), a statutory deadline CIGNA repeatedly failed to meet.

The Insurance Department alleged, and CIGNA agreed as part of the stipulation, that CIGNA provided neither timely nor substantive responses to the written customer complaints that were referred to CIGNA via the Insurance Department's CSB. The Department sends hundreds of pieces of correspondence each year to CIGNA's Customer Advocacy Unit for either a response or action on CIGNA's part.

Source: State of New York

State: California

Area of Interest: Insurance Commissioner John Garamendi Announces Filings from Workers' Comp Insurers Show 37.7% Decrease in Rates Since Reforms Took Effect in 2004

Insurance Commissioner John Garamendi announced Thursday that insurers, since the workers' compensation system reforms went into effect in January 2004, have decreased the rates they file with the Department of Insurance by a cumulative 37.7%.

A list of the cost savings by insurance carrier was sent to Legislative leaders on Thursday. It noted that during this same period, the Commissioner has recommended that insurers cut rates by 46.24 percent, based on his analysis of the savings provided by the legislative reforms of AB 227, SB 228 and SB 899.

Twice each year the Commissioner assesses the state of the workers' compensation system and issues a pure premium advisory rate. While many insurers use this as a benchmark, they are not required to follow the recommendation. According to the latest data available from the Workers' Compensation Insurance Rating Bureau, the actual rates charged to employers by insurers decreased by 32% between January 2004, and Sept. 30, 2005

Source: State of California

"A man doesn’t begin to attain wisdom until he recognizes he is no longer indispensable."
–- Richard E. Byrd.