The Compensation for Workers is a Type of Insurance - Assignment Example

Human Resource Management 323/Assignment#2 Answer 1 The compensation for workers is a type of insurance that are aimed at providing medical benefits and wage replacement to the employees who have been injured during the course of their employment within the workplace. The compensation is given in the form of monetary compensations, medical benefits or other types of supports. The claim adjudications in the workers compensation systems are complex processes that are significantly affected by the priorities of the employers. The decisions of the employers related to the claim adjudications of the workers compensation methods are guided by the principles formulated by Occupational Health and Safety Administration (OSHA) and different local authorities concerned with workplace health and safety regulations. The occupational health and safety mandates are to be followed by the employers in different countries for effectively managing and adjusting the claims related to the worker’s compensation processes. This is also applicable in the organizations functioning in Canada in which the Workplace Safety and Insurance Board (WSIB) plays a main role in claim adjudication of workers compensation management (Barnetson, 2010, pp.110-120). The workers’ compensation management process involves complex decisions and faces unique challenges with respect to claim processing and adjudication. The focus of the employers towards the health and safety of their employees plays a pivotal role in deciding the smoothness and effectiveness of the overall claim management and adjudication of the compensation systems provided for the workers. The interest of the employers is important in deciding the amount of health and safety provided to the employees. In case of any injuries and subsequent claims for compensation, the main decider of the whole claims adjudication process is the management of the organization. However, most employers prioritize the claims adjudication of the workers compensations so that they can maintain an ethical image of the organization among the internal and external stakeholder groups and also save the costs of legal procedures for claim processing. Mostly, the management of the organization has better control over the claim adjudication process because they have more influence on the overall compensation management system and on the legal procedures of compensation management. The Workers' Compensation (WS) is an obligatory program that implies that the employers have to provide suitable benefits in case they unable to work due to any injury or illness caused by their work. The workers compensation programs in Canada are overseen by the Workplace Safety and Insurance Board (WSIB). Often the major companies operating under the guidelines of OSHA and other local international safety and health authorities related to the workers, set up specific departments to handle the claims placed against injuries and damages in the workplace. The companies which have specific claim handling departments, the claim adjudication processes are made much simpler and are done in a proactive manner. The rate of appropriate solutions reached through the claims process for the workers compensation systems are significantly more in the companies that give priority to the benefits of the workers than in the companies in which there is a lack of specific teams or departments for compensation claims management. The progressive employers have started taking effective steps to establish easy processes of compensation management so that they can develop and maintain a satisfied group of employees and create an ethically compliant and responsible image for the business among the global user groups and stakeholders of the organizations. Answer 2 The compensation management system of the workers has specific impacts on the psychology of the workers. An efficient way of claim management for compensation requirements goes a long way in developing a positive mindset among the worker groups. Compensation is seen as a useful technique for reducing the mental stress and negativity that arises from the accidents in the workplace. As per a report prepared and presented by the Canadian Mental Health Commission in 2010, developments in some key areas of law related to health and safety in the workplace are helpful in communicating that the employers have clearly defined responsibilities towards the employees of the company (Workplace Safety and Insurance Board, 2013, p.104). Also, these indicate that the employers are focusing on developing and maintaining a physically as well as psychologically safe area of work for their employees. The psychological impacts of accidents and injuries often affect the mindset and motivation level of the employees and subsequently their work involvements and performances. As such, providing adequate compensations in the form of monetary support or medical benefits or both are seen as a positive response from the management of a company. The wronged employees of a company are provided compensatory amounts and other benefits to ensure that the companies not only remain compliant with the human rights laws, compensation laws, and health and safety laws, employment laws etc. but also creates a positive impact on the way the employees perceive the organization and the management of the organization (Kelloway and Francis, 2011, pp.325-348). The increasing number of legal cases related to workplace injury and accidents indicate that compensation for accidents and injuries are extremely necessary to create and maintain groups of employees who have developed positive perception towards the organization. If adequate compensations are not provided in order to pay for the damages and injuries caused to the workers during their course of job in the workplaces, it may lead to higher levels of disappointment among the workers. This would not only affect the worker to whom the damages or injuries have been caused but it also directly and indirectly affects the other workers in the organization. The absence of compensations may lead to high levels of insecurities among the workers of the company. The attrition rates of the company may be accelerated by these kinds of incidences and visible neglect for the health and safety of the employees on the part of the employers. The workers who have suffered the injuries or damages may suffer from a number of mental problems like Post Traumatic Stress Disorder (PTSD), anxiety disorders, depression, stress disorders and adjustments disorders which may harm the employees throughout their lives. The psychological impacts of work related accidents and injuries may be segregated as primary psychological effects and secondary psychological effects. The primary psychological impacts among workers are related to the incidences of accident, trauma, harassment, violence etc. at the workplace. The secondary psychological impacts are related to indirect psychological impacts caused by accidents and injuries. These impacts may include pain conditions and chronic illnesses. Answer 3 In many cases the workers who have faced injuries and accidents in the workplace are not able to return to the work even after their recovery. This is because the physiological and psychological damages of the accidents or illnesses may be such that they de-motivate the affected employees to an irreparable extent. The physical damages are sometimes enough to create a complete lack of motivation or even fear among the affected employees towards the workplace or even towards similar kinds of jobs. Also, in many cases, the employees are also affected by psychological disorders like stress, anxiety behavior and post traumatic disorders which make them incapable of performing their work with the same level of efficiency, interest and reactivity that they demonstrated in their work before the accident. Often the workers affected by the psychological impacts of the injuries and accidents start showing symptoms of low energy levels, loss of interest and motivation in work, social withdrawal, and resistibility in making decisions, irritability and indecision. Different kinds of psychological disorders, especially anxiety disorders and depression are some of the most common problems faced by the workers post the workplace accidents, illnesses or injuries. These may in turn leads to major expenses for the employers through decreased work performance levels, productivity losses and increased attrition rates among the employees. The workers who have suffered any kind of injury or damage may face the long term consequences of these incidents throughout their lives. While for some workers, the physical harms gain prominence, for some other the later psychological effects become more impactful. Also, in some scenarios, the workers face strong physical and psychological barriers that prevent them from returning to normal work even after they have recovered from the injury. This is an ideal situation in which the support systems should be provided to the employees through medical aids, psychological treatments and counseling and motivation building activities. An immediate support process provided by the employers for the workers often help them to return to work with more vigor as a result of successful recovery from the physical and mental damages caused by the incidents (Workplace Safety and Insurance Board (WSIB), 2013, p.14). The lack of physical as well as psychological support to the affected employees many times acts as a main barrier to the return of the employees in the normal work routine. Also, the injured workers need heightened levels of support in their surroundings to get back to a regular lifestyle. Therefore, they can only get back to normal life when an adequate amount of mental support and guidance is provided to the worker in his social as well as work life. References Barnetson, B. (2010). The political economy of workplace injury in Canada. Edmonton: Athabasca University Press. Kelloway, K., & Francis, L. (2011). Management of occupational health and safety, 5th ed. Toronto, ON: Nelson Education. Workplace Safety and Insurance Board. (2013). Operational policy manual. 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