Workers Compensation and Risk Management

Compensation Management and Risk Management

Introduction

The essay provides the compare and contrast of Disney and Service Master's compensation to their workforce through risk management. There are several techniques that can be used to reduce the workers compensation costs. Although, several risk managers in the business and other entrepreneurs consider these costs, similar to any other cost. In fact, this consideration could not be true, as there could be some measures that can confirm the business merely bear genuine losses. There could be a time when worker could not perform its task and may not show productivity due to its medical illness. This discipline of management of risk could be specialized and called post losses cost containment. This could also be known as loss cost management reduction. These specializations revolve around several that an organization or business manager could initiate to reduce the risk by managing the losses after the injury at workplaces. The researchers have provided four key phases of containment of worker compensations cost (Gusman, 2008).

Assessment

Recommendation

Design

Development

There are also some cost drivers in the workers compensation area

The deal with the insurance organizations and insurance adjuster

Develop management promises

Implementation of effective and enough returns to the works and program for the duty transfers

Coordination to medication

Identifying the fraud cases

Managing and evaluating medical cost

Defence counsel and self interest

Trainings to supervisor

Enhancing employees communication (Gusman, 2008)

Employees should guide to use a holistic approach to manage the workers compensation cost containment. It may only consider the vague complexities rather than focusing in the one major problem for instance medical cost reduction. The employers channel its efforts to control the process that are easy to reach rather than other things they are not capable to control. For instance, this is not possible to change the law and legal system regarding the compensation of workers. According ...