Workers’ Compensation Cost Containment: 3 Areas to Educate Your Workforce Against Company Fraud

During times of a weaker economy, companies6. Management and clients should walk the floors
need to be extra vigilant about fraud. Theone a month or once per quarter to build rapport
temptation not only increases, but theand let the workforce know there are informed
company’s ability to deal with the resultspeople who can handle fraud.
weakens.7. Hang posters discouraging fraud or posters on
Four things to teach your workforce about fraud:how to report fraud.
1. Define your company policy on theft and fraud.8. Hold safety meetings that discuss fraud.
2. If you do not have a company policy on fraud9. Display suggestion boxes.
and theft, write one.10. Hire trusted management whom employees
3. Explain your state’s fraud laws.feel they can talk to.
4. Tell your employees what the consequences of11. Document the work area before plant closings
internal fraud are in dollar terms – how does Xor layoffs, note what is present and also what it
amount of fraud dollars affect the companynot present, such as grease on the floor.
401(k) program or the health benefits.12. Run an anti-fraud campaign before layoffs or
5. Explain the time and financial costs of legalclosings. Let employees know this is not personal,
action against a fraudulent employee.it is financial. Make interactions “human”
Building a safety incentive program to preventand deal with employees as individuals.
fraud13. Include information in the form of fliers,
1. Incentivize employees for not having injuries.pamphlets or newsletters on reporting fraud or
2. A holistic approach is best – bring in thethe consequences of fraud with employee
resources you have available. Insurancepaychecks. (workersxzcompxzkit)
investigations, state attorneys, counselors, claims14. Inform insurance carriers and ask for
professionals, medical professionals, safetyassistance before a plant closing. Bring in safety
professionals,  nurse case managers and loyalemployees and nurse case managers to
employees.document what the employees are or aren’t
Fourteen Fraud and Theft Deterrentsdoing.
1. Education.Resource:  To download or listen to FREE AUDIO
2. Have consequences for committing fraud.PODCAST  click here: By: Anthony Van Gorp,
3. Motivate reporting fraud by offering privateprivate investigator with 25 years experience. 
reporting methods such as 800 tip numbers. Do not use this information without independent
4. Use guest speakers such as the local policeverification. All state laws vary. You should consult
officers, claims adjustors and private investigators.with your insurance broker about workers' comp
5. Let employees know they are part of theissues.©2009 Amaxx Risk Solutions, Inc. All
fraud prevention program.rights reserved under International Copyright Law.