July Resources from Sedgwick - OABA Member Service Partner

July Resources from Sedgwick - OABA Member Service Partner

OABA is pleased to partner with Sedgwick to offer members quality service and stability through the complex workers' compensation environment. Check out this update from Sedgwick regarding Understanding OSHA's General Duty Clause & Ohio PERRP's General Duty Requirement and Cost Containment in Ohio Workers' Compensation.

Understanding OSHA's General Duty Clause and Ohio PERRP's General Duty Requirement

The Occupational Safety and Health Administration (OSHA) and Ohio's Public Employment Risk Reduction Program (PERRP) are widely known for their detailed safety standards covering hazards in the workplace. Such standards include fall protection, machine guarding, electrical safety, chemical handling, powered industrial vehicles and control of hazardous energy, to name a few. In Ohio, Federal OSHA enforces safety in the workplace for the private sector and the Public Employment Risk Reduction Program, or PERRP, enforces safety in the workplace for public employers such as state agencies, counties, cities, schools and townships. In most cases, both agencies use the OSHA regulations for enforcement (although PERRP does use some regulations found in Ohio Revised Code (ORC) and Ohio Administrative Code (OAC)).

Keep in mind though, that not every workplace risk is specifically addressed by a regulation. That's where OSHA and PERRP's General Duty Clause come into play. Although both agencies follow the same concept, the clause comes from different citations. OSHA's come from Section 5(a)(1) of the OSH Act of 1970, and PERRP comes from the Ohio Revised Code ORC 4167.04(A)(1).

The definition of the General Duty Clause (for both agencies) basically says: Each employer shall furnish to their employees employment and a place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to his employees.

To put the definition in other terms, if a hazard is known and can be fixed, it must be addressed, even if there is no standard. The General Duty Clause is typically used when:

• No specific OSHA or PERRP standard applies
• A recognized hazard is present
• A feasible solution exists
• The hazard can result in serious injury or death

If an OSHA or PERRP inspector identify a hazard without a specific standard, the general duty clause may be used as a citation. Here are just a few examples of workplace hazards that do not have a specific standard and may be cited by the general duty clause.

• Exposure to workplace violence risks without prevention measures.
• Heat stress without proper controls (hydration, breaks, monitoring).
• Poor ergonomics leading to musculoskeletal injuries.
• Unsafe work practices not covered by a specific OSHA standard.

So, what are some best practices employers can to do avoid citations from the general duty clause:

• Conduct Regular Risk Assessments - this includes identifying hazards across all departments-especially non-traditional risks like violence and ergonomics.
• Document Everything - Keep record of inspections, training, hazard corrections and injury investigations.
• Follow Industry Guidance - Even when no rule exists, following other standards such as ANSI, NFPA, CDC, etc. can support your safety approach.
• Train Supervisors and Staff - Ensure employees understand hazard recognition and reporting expectations.
• Act Quickly on Known Hazards - Once a hazard is identified, failure to act increases both risk and liability.

Final Thoughts

The General Duty Clause-under both OSHA and PERRP-serves as a catch-all safeguard to ensure employers cannot overlook serious hazards simply because they are not specifically regulated. By proactively identifying and controlling risks, employers not only maintain compliance but also create safer, more productive workplaces. Creating a safe workplace is not just good business, it's a legal obligation. While many employers are familiar with specific safety standards, fewer fully understand the General Duty Clause.

If you would like to know more about Sedgwick's safety services or would like to schedule a confidential consultation, please contact Andy Sawan at [email protected] or 330-819-4728.

Cost Containment in Ohio Workers' Compensation

Workplace injuries can carry both financial and emotional weight for employers and employees alike. While ensuring injured workers receive proper care remains the top priority, managing the associated costs is also essential to maintaining a healthy workers' compensation program.

In Ohio, employers have three key strategies available to help contain costs: Settlements, Disability Relief, and Subrogation/No-Fault Motor Vehicle Accidents (MVA). Sedgwick continues to lead the industry in leveraging these tools effectively.

Our approach combines advanced analytics and proactive cost containment strategies to help Ohio employers reduce claim expenses and lower premiums. From the moment a claim is filed, our team is equipped to implement solutions that drive meaningful savings.

Sedgwick's dedicated cost containment team focuses exclusively on delivering impactful results through these three avenues. Our efforts have led to significant savings not only for individual employers but also for those participating in group retrospective rating programs.

Settlement Agreements

A settlement involves a mutual agreement between the employer, the injured worker, and the Ohio Bureau of Workers' Compensation (BWC) to resolve a claim with a lump sum payment. This can result in full or partial closure of the claim, helping employers manage long-term exposure.

Disability Relief

This program supports employers who hire or retain individuals with pre-existing medical conditions. If a disability contributes to an injury or delays recovery, employers may be eligible for reimbursement on related claims, reducing their financial burden.

Subrogation / No-Fault MVA

When a workplace injury stems from a motor vehicle accident involving a third party, the Ohio BWC may assign the claim's cost to the surplus fund-relieving the employer of direct financial responsibility.

Sedgwick is proud to collaborate with our clients in optimizing their workers' compensation programs. Our early, proactive approach to cost containment remains a cornerstone of our commitment to achieving the best possible outcomes for both employers and injured workers.

For questions or support, please contact Dave Deyo at Sedgwick via [email protected].

Learn more about Sedgwick!

Did you know that many alternative discounts are available to help reduce your annual Ohio workers' compensation costs? Through the OABA workers' compensation program, your organization can significantly reduce your workers' compensation costs through a variety of alternative rating programs. Our program, administered by Sedgwick, offers you quality service and stability through the complex workers' compensation environment.

For over 50 years, Sedgwick has been helping employers navigate Ohio's workers' compensation system, providing services to help them control claim-related costs and reduce premiums. Our team includes experienced colleagues from CompManagement and CareWorks Comp.

Learn more about how Sedgwick can help your company save significantly on your workers' compensation premium by clicking here.