PHR Study Session #6: Risk Management

Alcoholism

Ten percent of the workforce are alcoholics and another 10 percent are borderline alcoholics. ​ At least 25 percent of an alcoholic's annual income is pay for work not performed. ​ Heavy drinkers cost $220 billion annually in lost work productivity, higher health-care costs, and busier crime systems.​ It is estimated that 17.6 million people in the United States suffers from alcoholism. Alcoholism is a disease—a treatable disease. It is not a disease that will go away by itself; it requires treatment, usually a very confrontive form of treatment

Drug Abuse​

Worldwide, more money is spent on illegal drugs than is spent on food. ​ Thirteen million workers in the U.S. (about 8% of the workforce) are believe to be current drug users.​ Productivity losses alone top $128 billion.​ Other costs created by drug users:​ Safety hazards​ Damage to company's image​ Loss of credibility to customers​ Potential for violence​

Some of the major conditions that lead to violence include:

alcohol and drug use paranoia obsessive disorders intermittent explosive disorders

Symptoms of Alcoholism

consistent tardiness-usually on Monday mornings​ excessive absenteeism accompanied by excuses of minor illnesses​ hangover symptoms such as headaches, thirst, shaking, and procrastination​ deterioration in quality of work​ off-the-job problems such as debts and family discord​

Under the Drug-Free Workplace Act of 1988, federal contractors with contracts of $100,000 or more must follow certain requirements to certify to federal contracting agencies that they maintain a drug-free workplace. What are these requirements?

o Developing a written policy that prohibits the production, distribution, use or possession of a controlled substance in the workplace. o Providing a copy of this policy to all employees to inform them of the employer's policy and the consequences of violating it. Part of this policy is a requirement that employees convicted of drug use in the workplace must notify the employer as a condition of employment. o Creating a drug awareness program to help employees understand the dangers and health consequences of drug use. o Developing standards of enforcement for those who violate the rules.

There are five levels of violations under the OSHA act:

1. De Minimus violations 2. Other than serious violations 3. Serious violations 4. Willful violations 5. Repeated violations

OSHA specifies a three-step standard for creating a safe environment:

1. Use engineering standards or processes first to eliminate the hazard. 2. Follow safe work practices and training to avoid accidents. 3. Use personal protective equipment as a last line of defense.

Security Planning

After examining the vulnerability of a company's assets, the next step is to determine the overall strategy of the security system. Security systems range from very simple procedures, such as locking doors, to very elaborate systems using electronic surveillance.

OSHA's General Duty Clause

Each employer -​ Shall furnish to each of his 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;​ Shall comply with occupational safety and health standards promulgated under this chapter.​ Employers can be prosecuted for violating this general duty clause, even if they do not violate any of the specific standards if they were aware of or should have been aware of a hazard that could cause serious injury or death.

What is the Material Safety Data Sheet (MSDS) and what must it identify?

It is a sheet that employers are required to keep that marks each hazardous chemical that is used, processed or stored. This sheet must be available for each work group, their representatives and OSHA. It must identify the following: o The chemical and its common name or contents o The physical and chemical characteristics of the hazardous chemical, such as color, appearance, and the flash point at which it ignites o The physical dangers of the chemical o The health hazards of the chemical, including signs and symptoms of exposure and any medical conditions generally recognized as being symptomatic of exposure to the chemical o Applicable control measures and precautions for safe handling and use o Emergency and first aid procedures o Name, address and phone number of the manufacturer, importer, or distributor from whom additional information about the chemical can be obtained

Safety Inspections

OSHA is authorized to conduct workplace inspections to enforce its standards Every establishment covered by the act is subject to an inspection by a compliance officer, and these inspections are conducted according to the following priority ranking: 1. reports of imminent danger 2. investigations of fatalities and catastrophes 3. employee complaints of alleged violations 4. programmed inspections based on industrial accident statistics Inspections are typically done without warning, but employer can request a warrant.

OSHA Programs

OSHA has established five programs to work with companies in reducing accidents, illnesses, and injuries. These voluntary programs include: (a) OSHA Challenge, (b) Alliances, (c) OSHA Strategic Partnerships, (d) Voluntary Protection Programs, and (e) Safety and Health Recognition Programs. OSHA Challenge: OSHA Challenge provides interested employers and workers the opportunity to gain assistance in improving their safety and health management systems. Challenge Administrators who are experienced in safety and health guide participants through a three-stage process to implement an effective system to prevent fatalities, injuries, and illnesses. Graduates of OSHA Challenge receive recognition from OSHA as they incrementally improve their safety and health management systems. OSHA Challenge is available to general industry and construction employers in the private and public sectors under OSHA's federal jurisdiction. Alliances: Alliance programs involve a cooperative working relationship between OSHA and a participating company to prevent injuries and illnesses. These programs are very loosely structured and involve setting short- and long-term goals regarding training, education, and the communication of safety principles. After an alliance is signed, OSHA and representatives of the company work together to develop strategies and implement programs for meeting the defined goals. OSHA Strategic Partnership Programs (OSPP): OSHA Strategic Partnerships are voluntary, written, long-term agreements to form cooperative relationships between OSHA and groups of employers, employees, union representatives, and other stakeholders such as professional associations and government agencies. The aim of an OSP is to improve safety by eliminating serious hazards and creating safe working procedures for a group of firms or an entire industry. Voluntary Protection Programs (VPPs): Companies that demonstrate excellence in workplace safety and health may request recognition by OSHA under the Voluntary Protection Program. About 1000 work sites participate in federal VPP programs, and several hundred in state VPP programs designed to promote effective safety and health management. In the VPP, management, labor, and OSHA establish cooperative relationships at a workplace that has implemented a strong program. Management agrees to operate an effective program that meets an established set of criteria, and the employees agree to cooperate with management to assure a safe and healthful workplace. After OSHA verifies that the program meets the criteria, it removes the company from its list of scheduled inspections (however, OSHA may still investigate major accidents, valid formal employee complaints, and chemical spills). OSHA reassesses periodically to confirm that the site continues to meet VPP criteria. Experience has demonstrated that VPP programs improve employee motivation to work safely and reduce workers' compensation costs. During the three decades of VPP history, the average VPP work site has a Days Away Restricted or Transferred (DART) case rate that is 50 percent below the average for its industry. VPP participation can also lead to lower employee turnover and increased productivity and cost savings. Safety and Health Recognition Program (SHARP): The On-site Consultation Program's Safety and Health Achievement Recognition Program (SHARP) recognizes small business employers who operate an exemplary injury and illness prevention program. OSHA has designated three levels of VPP to recognize companies for their success in improving safety: Star, Merit, and Demonstration. These programs are intended to recognize outstanding achievement of employers and employees who are working together to provide high-quality safety programs and to motivate other employers to make similar improvements. Acceptance of a worksite into SHARP from OSHA is an achievement that signals a model worksite for safety and health. Upon receiving SHARP recognition, OSHA exempts a worksite from OSHA programmed inspections during the period that a SHARP certification is valid.

Workers' Compensation:

Provides income continuation and reimbursement of medical expenses for employees who are injured on the job regardless of who was responsible for the accident.

Every organization is required by law: OSHA

"to assure so far as possible, every working man and woman in the nation, safe and healthful working conditions and to preserve our human resources."

Okay Under PPACA:​ Wellness Programs

A program that reimburses all or part of the cost for memberships in a fitness center.​ A diagnostic testing program that provides a reward for participation rather than outcomes.​ A program that encourages preventive care by waiving the copayments or deductibles.​ A program that reimburses employees for the costs of smoking cessation programs without regard to whether the employee quits smoking.​ A program that provides a reward to employees for attending a monthly health education seminar.​

Pandemic

A world-wide outbreak of a new subtype of influenza virus that is not preventable or treatable. Though rare, the possibility of a pandemic always exists. HR managers should help their companies create plans for dealing with a pandemic, which should focus on: 1. controlling the spread of the illness 2. operating the organization with reduced personnel

OSHA Imminent Danger during an inspection

An imminent danger is any condition where a high probability exists that an accident may occur that will result in death or serious physical harm. If such a condition is found and not corrected, OSHA can apply to the nearest federal district court for a temporary restraining order, and the operation may be immediately shut down. Inspections consist of an opening conference between the compliance officer and employer, an inspection tour, and a closing conference. During the opening conference, the employer should make the inspector aware of any trade secrets requiring confidentiality and safety precautions in the areas to be inspected. The employer is asked to select an employer representative to accompany the compliance officer on the inspection tour, called a "walk around." The employees also have a right to have an employee representative accompany the inspector on the tour. The inspector may conduct confidential interviews with employees.

Incidence Rates

BLS compiles incidence rates for occupational injuries and illnesses from employer reports required by OSHA. An incident refers to a recordable case of occupational injury, illness or death.

What is the Occupational Safety & Health Act of 1970?

Each employer must provide a place of employment that is free from recognized hazards that are causing, or may cause death or serious physical harm to employees.

Industrial Accidents

Each year about 4,000 people in the United States die as a result of work-related accidents. (5,000,000 are injured)​ In the early 1900s, about 20,000 people died each year as a result of work-related accidents. ​ Death rate (deaths per 100,000 workers)​ 1930 = 50​ Now = 3

What is a "Disabling Injury" as defined by the National Safety Council?

It is an injury that results in some degree of permanent impairment or renders an injured person unable to perform regular activities for a full day beyond the day of injury.

What is the Drug-Free Workplace Act of 1988?

It requires that government contractors make a "good faith" effort to ensure a drug-free workplace. Employers are required to ban unlawful drug use within the workplace and establish a drug awareness program for employees.

On-site Medical Clinics

Many companies provide on-site medical care by hiring health care providers and furnishing them with a clinic on the company's premises. This trend makes health care much more convenient for employees and much less expensive for employers. They provide timely care for employees and help companies manage their benefits expenses. On-site clinics are normally provided in one of three ways: 1. Enlist a third-party vendor who provides and manages all the services and staff. 2. Contract directly with outside health-care professionals to staff and manage the facility. 3. Hire health-care professionals as employees to staff the on-site facility.

Effective Safety Programs

OSHA encourages every organization to maintain an ongoing safety program. Most large organizations can afford to hire a safety officer and to staff a separate safety department to develop and monitor a safety program. Establishing a safety program is a problem for small organizations, however, because they cannot afford to hire additional personnel. Consequently, safety responsibilities usually are added to the other responsibilities of the present staff in a small company. Many small proprietors are overwhelmed by what they believe are added burdens imposed by OSHA. To help organizations, especially small businesses, comply with its regulations, OSHA recommends a four-point safety program. These four points include: (1) management commitment and employee involvement; (2) worksite analysis; (3) hazard prevention and control; (4) training for employees, supervisors and managers. OSHA claims that this approach does not require additional employees or large costs and that it can be easily integrated into other business functions

Employee Wellness Programs Preventative Measures

Rather than waiting for employees to get sick and then offering assistance, many companies are taking a preventive posture by trying to help employees avoid illness and accidents. These programs are referred to as employee wellness programs because they focus on trying to keep employees well. The Alliance for Wellness ROI, Inc. defines a wellness program as one that: Identifies medical conditions, which can then be treated. Encourages healthy lifestyles—to prevent or retard progression of medical problems and prevent unnecessary claims. Helps employees and dependents cope with the various problems of daily life (work/life balance). Consists of one or more of the wellness components listed on the slide.

What seven procedures, outlined by OSHA, should managers establish to stimulate interest in safety and health programs?

Safety programs need the support of top management to be effective. To stimulate interest in safety and health programs, managers should demonstrate a sincere interest in them by following these procedures: 1. Post the OSHA workplace poster Job Safety and Health Protection where all employees can see it. 2. Hold periodic meetings with employees to discuss job safety and health matters. 3. Show employees a copy of the Occupational Safety and Health Act and explain the OSHA standards that apply to them. 4. Prepare a policy statement that clearly declares management's concern about safety and health. 5. Include job safety and health topics in conversations with employees. 6. Review all inspection and accident reports and check to make certain that hazards are eliminated. 7. Participate actively in labor-management safety committees.

General Adaptation Syndrome​

The Alarm Reaction​ -Response to a stressor being recognized​ -Autonomic nervous system prepares body for physical action (fight or flight response)​ ​Resistance Stage​ -After the threat has passed, the body begins returning to a state of equilibrium ​ -Even if the stressor is still present, the body tries to regain balance​ ​Exhaustion Stage​ -When the stressor continues, the body exhausts its ability to adapt​ -Wear and tear results; death can result​

How are incident rates calculated?

The BLS compiles incidence rates for occupational injuries and illnesses from employee reports required by OSHA. An incident refers to a recordable case of occupational injury, illness or death. The incidence rates are based on cases per 100 worker years using 200,000 employee hours as the base (2,000 hours per year times 100 workers). The formula used to calculate incidence rates is: Incidence rate = ( N / EH) X 200,000 N = number of injuries and/or illnesses or lost workdays EH = total employee hrs worked by all employees during calendar year 200,000 = equivalent of 100 full-time employees, each working fifty weeks of forty hours per week

Fair Credit Reporting Act

The Fair Credit Reporting Act (FCRA) was passed in 1970 and amended in 1996 and 2004 to offer protection to individuals against negative credit reports containing false or misleading information. The act applies to employers who purchase "consumer reports" from "consumer reporting agencies." These consumer reports may contain information regarding an individual's credit standing, character, reputation, personal characteristics, and mode of living. A thorough background and reference check on job applicants typically involves buying a consumer report from a consumer reporting agency (CRA). Such agencies specialize in gathering information about applicants for employment, life insurance, and financial credit. Three of the largest credit reporting agencies are Equifax, Experian, and TransUnion. Because they have large computerized databanks that are constantly updated, these agencies can provide credit reports very quickly and inexpensively. Most large cities and metropolitan areas also have smaller credit reporting agencies. Before requesting a consumer report, however, employers are required to obtain signed permission from employees or job applicants. The Fair Credit Reporting Act of 1970, as amended by the Consumer Credit Reporting Reform Act of 1996, states that employers may not procure a consumer report unless they have provided a written disclosure to the consumers (applicants) informing them that a credit report may be obtained about them. The regulation requires that if an employer decides to take an adverse action based on a consumer report it must furnish the applicant or employee with the following information: -a notice of the adverse action taken -the name, address, and toll-free telephone number of the CRA that furnished the consumer report -a disclaimer statement that the decision to take adverse action was made by the employer, not the CRA, and that the CRA is unable to provide specific reasons for the adverse action -a notice of the consumer's right to receive a free copy of the consumer report within 60 days -a notice of the consumer's right to dispute the accuracy of the report

Unemployment Compensation and Fraud

The Federal Unemployment Tax Act (FUTA) is to provide short-term subsistence to laid-off workers while they are looking for other employment. FUTA applies to employers who employ one or more employees for 20 weeks, or who pay wages of $1,500 or more in any quarter of a calendar year. To be eligible for unemployment compensation, individuals must: 1. have been employed a minimum length of time in jobs covered by the Social Security Act. 2. be currently unemployed. 3. be willing to accept suitable employment if it is offered to them. additionally, employees who were fired (for misconduct) or who left voluntarily are not eligible for UI. It is in the companies best interest to fight fraudulent unemployment claims since the cost of such claims is bared by the employer. Fraudulent claims can raise a companies "experience rating" and thus their cost of unemployment insurance.

Vulnerability Analysis What is the process of conducting a vulnerability analysis?

The first step in developing a security system for a company is to perform a needs assessment, often referred to as a risk analysis or vulnerability analysis. This analysis includes identifying the company's assets and analyzing potential threats to these assets. A vulnerability analysis requires managers to ask "What if?" What if we were out of electricity or water for an extended time? What if the alarm systems were inoperative? What if we were required to move cash or sensitive equipment to another location? What if we experienced severe weather conditions, such as a hurricane or heavy snowfall? What if our employees could not get to work, or what if they could not get home?

OSHA Not Required to Report Incidents

The following are not considered medical treatments and are not required to be recorded:​ -Visits to a doctor or health care professional solely for observation or counseling​ -Diagnostic procedures, including administering prescription medications that are used solely for diagnostic purposes​ -Any procedure that can be labeled first aid​

Privacy Protection Laws

The issue of privacy in the workplace emerged during the 1960s Has been a growing concern since because modern technology allows for the storage and retrieval of extensive information. Individual privacy rights are protected to some extent by a combination of state and federal laws; Fair Credit Reporting Act (1971, 1996, 2004) Privacy Protection Act (1974) Polygraph Protection Act (1988) Crime Control Act (1968) Health Insurance Portability and Accountability Act (1996)

Symptoms of Drug Abuse​​

The problems created by drug abuse are similar to those created by alcoholism: ​ -high rates of absenteeism & tardiness​ -frequent accidents​ -reduced productivity​ -financial desperation An additional problem related to drug abuse is theft, since most drug users need help supporting their expensive habits. In addition to the direct consequences that drug abuse creates for companies, it presents an additional complication—it is illegal. Most companies have rules against drug abuse, which they aggressively enforce. The Americans with Disabilities Act expressly states that current drug use is not a protected disability.

Job Specialization & Job Enlargement

The two major strategies of job redesign are job specialization (sometimes called job simplification) and job enlargement. These two strategies are almost exact opposites. Job specialization involves simplifying a job by reducing the number of elements performed by the worker. Job enlargement involves making a job more complex by combining additional elements to increase the number of activities performed by each worker.

Emergency Preparedness

There is a growing expectation that companies have some legal liability for the well being of their employees and customers. This liability stems from the "general duty clause" of OSHA. Standard for emergency preparedness according to NFPA 1600: 1. Develop an executive policy regarding emergency responses. 2. Appoint a program coordinator to oversee the development and implementation of a plan. 3. Create an advisory committee. 4. Conduct a risk assessment. 5. Develop a plan. 6. Continually evaluate and modify the plan in response to emerging risk factors. 7. Communicate the plan to employees and train them how to respond. Although some companies have comprehensive plans for what to do in case of emergencies, most companies only have partial plans and their employees have not been adequately trained in how to respond to crisis situations.

Anti-Fraud

To avoid being responsible for the criminal acts of employees, companies should implement an effective anti-fraud program. The following FSGO elements of an anti-fraud program are designed to increase the early detection of fraud and decrease the opportunities for it to occur: reporting oversight prudence communication compliance enforcement prevention

What is the OSHA Blood-borne Pathogen Standard?

To restrict the spread of infectious diseases, OSHA has issued a bloodborne pathogen standard. This standard applies to all workers who have a "reasonably anticipated" risk of occupational exposure to blood or other potentially infectious body fluids. Any organization that employs at least one person who falls under this category must comply with the standard's requirements. OSHA defines bloodborne pathogens as microorganisms in the blood system that can cause disease in humans, such as the hepatitis B virus and HIV. The control of infectious pathogens is similar to the control of hazardous chemicals or physical agents in the workplace. The strategy focuses on breaking one of the links in the chain of infection. What is the standard? Develop a written plan Minimize exposure Provide Hepatitis B vaccine as option for employees Inform employees (posting signs, conduct training) Maintain medical records for employees who have been exposed

What standards have the greatest impact on the quality of a contract security force?

Wages and benefits: Adequate compensation and benefits are necessary to attract a quality security force. Classroom training and on-the-job training: A minimum of both on the job training and classroom training should be required. On-site supervision: The security force should be supervised. Periodic inspections and clear reporting should occur. Management involvement: Management should review security reports regularly and discuss problem areas. On-site visits: The company's security director and a representative of the security firm should periodically visit each site to ensure quality.

Drug Testing Programs​

Wilkinson v. Times Mirror Corporation (1989), a California Court of Appeals upheld a testing program for job applicants that included these elements: The samples were collected in a medical environment by persons unrelated to the employer. Applicants furnished the samples unobserved by others. The results were kept confidential. The medical lab informed the employer if the applicant passed or failed the entire exam. Applicants were notified of the portions of the test they failed. Applicants could question and challenge the test results. Applicant could reapply for employment in six months

What information must manufacturers, importers and distributers label, tag or mark every container of hazardous chemicals that leaves their workplace with?

o Identity of hazardous chemical o The appropriate hazardous warning o The name and address of the chemical manufacturer, importer, or distributor

The Occupational Safety & Health Act of 1970 covers ALL employees with only a few EXCEPTIONS. What are these exceptions?

o The self-employed o Family farms where only family members work o Workplaces already protected by other federal statutes o State and local governments

Several court decisions have held that victims of illnesses such as tuberculosis and AIDS are covered by disabilities discrimination. Therefore, victims who are otherwise qualified are protected against adverse employment decisions and employers are required to make reasonable accommodations for their disease. What are the principles of reasonable accommodation as outlined by the Supreme Court?

1. A person who poses a significant risk of spreading a disease to others is not "otherwise qualified" if reasonable accommodation will not eliminate the risk. 2. Accommodation is not required if it would impose an undue financial or administrative burdens on the employer or require a fundamental alteration in the way of doing business. 3. Employers are not required to find another job for employees who are no longer qualified for their job, but they cannot deny them an alternative job if it is available. 4. "Reasonable accommodation" of employees with communicable diseases must be considered in light of reasonable medical judgments about the nature, duration and severity of the risk as well as possibility of transmitting the disease.

What are the four most common challenges to good mental health?

1. Boredom: Repetitive jobs that require doing the same thing again and again. 2. Burnout: Inability to handle continued stress on the job that results in reduced efficiency. 3. Anxiety: State of tension associated with worry, apprehension, guilt, and a constant need for reassurance. 4. Depression: A mood that contains feelings of worthlessness and guilt. It is an intense sadness that has lost its relationship to a specific event.

What SIX provisions make an effective emergency preparedness plan?

1. Clarify the chain of command: People must know who to contact and back-up people are recommended. 2. Employee accounting: Someone in the company and a back-up person should be responsible for accounting for all employees when an emergency strikes. 3. Communications center: A designated center should be made to receive incoming communication and dispense information. As always, a back-up station should be established as well in case the main center is destroyed in the emergency. 4. Employee training: Employees should be trained on what to do in various emergency situations. 5. Medical assistance: Employers should have first aid kits and medical supplies available. 6. Emergency team: A team of healthy and capable employees should be selected as an emergency response team and be trained in the following; CPR and first aid, initiating shut-down procedures, organizing evacuation procedures, using respirators and oxygen systems, using the fire extinguishers, searching and rescuing employees, shutting off utilities, and assessing when evacuated buildings are safe to reenter.

What are the three types of benefits that are covered under workers' compensation laws?

1. Death benefits (one lump sum paid to the survivor) 2. Medical expenses (usually paid immediately after the injury without a waiting period) 3. Wage replacement payments (after a waiting period; 50-70 percent of a workers average weekly wages)

What are the techniques proposed for controlling the stress response?

1. Eliminate the stressor: This would involve avoiding the stressor completely. 2. Relaxation techniques: Things such as muscle massage and abdominal breathing may help. Transcendental meditation uses meaningless sound to help reduce the level of excitement. Biofeedback is another relaxation technique that uses high tech equipment to observe some internal body processes and reports this information in observable ways. 3. Social support: Having a social support system can help individuals cope with stress. 4. Physical exercise: This results in chemical changes that eliminate the tension that causes stress.

It is noted that the number of illnesses and injuries reported by the BLS is much lower than that reported by the National Safety Council because of what two factors?

1. Employers and employees have an incentive to not report all injuries. 2. The government survey omits employers who are not required to report, including government and self-employed people and workers at farms with fewer than 11 employees.

Please list and describe the FIVE laws limiting the types of information employers can collect and disseminate:

1. Federal Wiretapping Act (1968): This is part of the Crime Control Act (1968) which prohibits deliberate interception of private telephone and oral communications. 2. Fair Credit Reporting Act: Protects individuals against negative credit reports that contain false or misleading information. 3. Privacy Protection Act (1974): Used to protect employees in governmental agencies or employed by government contractors. This law prohibits an agency from disclosing records about individuals. 4. Employee Polygraph Protection Act (1988): This act prohibits polygraph tests except in cases involving an ongoing investigation of losses suffered by an employer or for purposes of national security. The use of polygraph tests in hiring individuals has also been limited to jobs that involve manufacture or distribution of controlled substances or in jobs in certain types of security firms. 5. Health Insurance Portability and Accountability Act (1996): Defines protected health information and limits those who can view it.

What are the four most successful approaches employers can use to encourage employees to actively participate in these employee wellness programs?

1. Financial incentives ($500 to quit smoking) 2. Goal setting and reporting (charts on bulletin board where employees publicly record their participation) 3. Free time during work hours or lunch to exercise 4. On-site facilities (jogging track or exercising room)

What five players do most security systems involve?

1. Managers (must identify what type of system they want) 2. Security personnel (must administer the security system and maintain it) 3. Vendors (provide accurate estimates of benefits and costs of different systems) 4. Employees (expected to comply with all security restrictions) 5. The public (expected to comply with all security restrictions)

What three forces are said to interact in making the decision to commit fraud?

1. Situational pressure: These are things such as high personal debts. 2. Opportunity to commit fraud: These are opportunities that individuals create for themselves or that organizations create. They may include; gaining control over critical financial operations or having poor internal accounting procedures. 3. Personal integrity: This is the personal code of ethical behavior adopted by an employee. .

What are the three stages of the General Adaptation Syndrome (GAS)?

1. The Alarm Reaction: When a stressor is recognized, the alarm reaction occurs sending a biological message from the brain to the pituitary gland 2. Resistance stage: Once the immediate threat has passed, the body tries to return to a state of equilibrium. 3. Exhaustion stage: If the stressor continues, the body loses ability to adapt.

OSHA is authorized to conduct workplace inspections. Since they do not have time to conduct annual inspections of every workplace they have established a list of inspection priorities. What are these priorities?

1. The highest priority situations are those involving imminent danger or any condition where there is a high probability that an accident could occur that would result in death or serious physical harm. 2. The second highest priority is for OSHA to investigate facilities and catastrophes that hospitalize three or more employees. 3. Finally, the third priority is to investigate employee complaints of alleged violations.

The Bureau of Labor Statistics compiles "incidence rates" for occupational injuries and illnesses from employer reports required by OSHA. An "incident" refers to a recordable case of occupational injury, illness or death. The formula used computes four incident rates for each industry. What are the four incident rates and what does each measure?

1. Total recordable cases: are a measure of accident frequency. 2. Days away from work: are a measure of accident severity (actual days away from work due to their injury). 3. Days of job transfer or restricted work: is another measure of accident severity (employees that may work but are unable to perform their regular duties or were unable to work a full day due to the workplace injury). 4. Other recordable cases: are cases that involve illnesses, injuries that require medical treatment beyond first aid, and other significant diagnosed injuries or illnesses that do not require days away from work or transfers.

What three-step standard does OSHA specify for creating a safe environment?

1. Use engineering standards or processes first to eliminate the hazard. 2. Follow safe work practices and training to avoid accidents. 3. Use personal protective equipment as a last line of defense.

Companies should implement workplace violence policies that include the following:

1. Zero tolerance - prohibition of workplace violence 2. Prevention - strategies and training to prevent workplace violence 3. Crisis management - plans for responding to threats and violent confrontations 4. Recovery - Counseling and support for victims and other employees who may have been traumatized by an incident of workplace violence

Smoking Policies

90% of companies limit smoking in the workplace. Most important reasons a company develops smoking policies: 1. concern for the health & comfort of their employees 2. complaints from non-smoking employees 3. the need to comply with state or local laws No-smoking policies have generally been accepted & successfully implemented when companies: 1. Explain why they are important. 2. Provide advance notice giving several months for employees to accept it. 3. Provide assistance to help employees quit smoking. Twenty-six states now have laws that prohibit smoking in workplaces, and hundreds of additional municipalities in other states have enacted no-smoking ordinances that cover places of work. Combined with the bans on smoking in restaurants and bars enacted by states and local governments, these laws cover more than 70 percent of the U.S. population. Those companies that do allow smoking generally limit it to private offices or designated smoking areas. The Environmental Protection Agency published a recommendation that smoking be prohibited entirely or that smoking be restricted to properly designed smoking rooms. These rooms should be separately ventilated to the outside. Smokers have no constitutional right to smoke and there is no federal employment law that protects smokers. However, some states do prohibit discrimination based on legal, off-duty activities, such as smoking, and many states have laws that specifically prohibit employers from requiring that their employees completely abstain from smoking. Even in these states, however, employers can require employees to refrain from smoking while at work.

Signal Detection Theory

A theory for evaluating and improving the accuracy of entry systems is called "signal detection theory." This theory is a systematic approach for studying human vigilance and categorizing the kinds of mistakes human monitors are likely to make. This two-by-two matrix that shows the four kinds of decisions that can be made by a human monitor, such as an officer monitoring a metal detector at an airport. According to signal detection theory, two factors influence the accuracy of a human monitor's performance: the detectability of the target and the monitor's bias or expectancy that the target will appear. The detectability of the target (such as a gun or an unauthorized associated with the target. Background noise could be glare on an x-ray screen, weapons with too little metal to detect, forged passes, or large crowds of people trying to enter. Accuracy depends partly on the signal-to-noise ratio: as the signal from the target decreases or the amount of noise increases, the monitor's performance declines. According to signal detection theory, people differ in their ability to detect visual signals within a visual background and people with this aptitude should be selected for these kinds of monitoring jobs. The performance of monitors can also be improved with frequent reinforcement, including record keeping and expressions of appreciation.

What is the relationship between OSHA and state safety enforcement?

A) OSHA replaced all state safety programs. B) Safety programs may be operated by the state if they meet OSHA's standards and are approved. C) States operate their own safety programs independent of OSHA. D) Although OSHA is a federal agency, it is administered by the states. Correct Answer: B When the Occupational Safety and Health Act was passed in 1970, many states already had their own state safety laws. Some of these laws were criticized for their weak standards, ineffective administration, and lax enforcement. Others were considered acceptable. The federal safety law offered states the opportunity to develop and administer their own safety and health programs, provided that the states could demonstrate that their programs were *at least as effective* as the federal program.

OSHA can get a restraining order and shut down an operation if:

A) a compliance officer is assaulted B) a company shows no cooperation and refuses to admit a compliance officer C) a compliance officer observes an imminent danger D) a company fails to pay its fines after all appeals have been resolved Correct Answer: C An imminent danger is any condition where a high probability exists that an accident may occur that will result in death or serious physical harm. If such a condition is found and not corrected, OSHA can apply to the nearest federal district court for a temporary restraining order, and the operation may be immediately shut down.

Incidence rates are calculated by dividing the number of injuries or illnesses that occur by

A) the total hours worked by all employees. B) the hours worked by the injured employees. C) the total hours worked by all employees and then multiplying by 100. D) the total hours worked by all employees and then multiplying by 200,000. Correct Answer: D The incidence rates are based on cases per 100 worker years using 200,000 employee hours as the base (2,000 hours per year times 100 workers).

First Aid Training

According to OSHA, an employer must ensure prompt first aid treatment for injured employees, either by providing for the availability of a trained first aid provider at the worksite, or by ensuring that emergency treatment services are within reasonable proximity of the worksite. For serious injuries, first aid treatment must be provided within the first few minutes to avoid permanent medical impairment or death. OSHA recommends that every workplace include one or more employees who are trained and certified in first aid, including CPR.

Occupational Safety and Health Act

According to the Occupational Safety and Health Act of 1970, it is the responsibility of each employer to provide a place of employment that is free from recognized hazards that are causing or are likely to cause death or serious physical harm to employees. The basic purposes of the act are to reduce hazards in the workplace and to encourage employers and employees to implement improved safety and health programs. OSHA also requires employers to maintain reporting and record-keeping systems that monitor job-related injuries and illnesses. The act covers all employers and employees, except: Self-employed persons Family farms where only family members work Workplaces already protected by other federal statutes State and local governments employers and employees to implement improved safety and health programs.

Effective EAPs​

Characteristics of an Effective Employee Assistance Program: 1. The program must be staffed with competent people who know what services are available, both in the company and in the community. The people must be sensitive to personal problems and able to relate empathetically. 2. The program must be accessible 24 hours a day, seven days a week, since behavioral problems do not fit a nine-to-five schedule. 3. The program should be advertised to all employees and their families so that everyone is aware of the program and knows an easy-to-remember telephone number that they can call. Problems are sometimes referred by family members, especially alcohol and drug-abuse problems. 4. The program should be open to all employees and family members. Some problems, such as marital conflicts or runaway children, require the involvement of other family members to solve them effectively. 5. Complete confidentiality must be maintained if an employee wants it that way. Knowing that their problems will be kept confidential, even from their families and supervisors, is important to many employees, especially those with drug and alcohol-abuse problems. 6. A staff member should be willing to meet wherever the employee or dependent would be most comfortable. Some people feel threatened by having to come to an office. Family counseling sometimes works best if it is done in the home.

Theft and Fraud

Companies can be criminally responsible for fraud perpetrated by their employees. A serious disciplinary problem for all organizations concerns any form of illegal or dishonest behavior—including theft, embezzlement, misuse of company facilities, or falsifying records. Statistics show that such dishonest acts have increased dramatically in recent years. White-collar crime is not always in the form of employees stealing from the company. Many white-collar crimes are committed by the top corporate officers on behalf of a company. According to the Association of Certified Fraud Examiners, organizations in the United States lose five percent of revenues each year to fraud. Manufacturing, banking, and insurance are the most susceptible industries, and employees in accounting and upper management are the most likely offenders. The association has found that in most cases one or more behavioral red flags were present that could have warned of the potential for fraud. In 81 percent of fraud cases, at least one red flag was displayed. The most common warning signs were living beyond one's means and personal financial difficulties. A model explaining the causes of fraud suggests that the decision to commit fraud is determined by an interaction of three forces: 1. Situational pressure: the immediate pressures that individuals experience in their environment, such as high personal debts and financial losses. 2. Opportunity to commit fraud: opportunities that individuals create for themselves, such as gaining control of critical financial operations, and those that are created by an organization, such as having poor internal accounting procedures or allowing related-party transactions. 3. Personal integrity: the personal code of ethical behavior adopted by an employee. According to the model, companies can reduce illegal and dishonest acts by reducing the situational pressures, by making opportunities less convenient, and by increasing or reinforcing personal

Return-to-Work Programs

Companies not only benefit from the work the injured worker is able to perform, but the costs of rehabilitation are normally reduced and the wages paid to injured workers are largely offset by lower Worker Compensation premiums. Early return to work generally contributes to the emotional wellbeing of employees; their recovery period is shorter and they benefit from the social interactions with coworkers.

Liability Limits

Companies that are trying to protect themselves from theft and shoplifting must use great care in how they conduct workplace searches of either employees or customers to avoid serious legal problems. The most common legal problems include the following: False arrest and malicious prosecution Assault and battery Invasion of privacy Defamation False imprisonment

Protecting Employees Abroad

Companies with employees who live in or travel to foreign countries, especially countries with higher levels of terrorist activity or political unrest, must have plans for protecting their employees. Effective security plans should include: -An assessment of the potential risks -Measures to mitigate those risks -Plans for emergency medical treatment -Plans for medical evacuation, if necessary -Plans for dealing with conflict situations such as war, terrorist attacks, and political upheaval, and -Plans for responding to natural disasters. Many companies hire global security firms to provide protection for their international employees. Security service firms provide the following types of support: Work site and home protection and security Risk assessment and monitoring Emergency response and evacuation Employee and family member tracking and monitoring Medical care and medical evacuation Kidnap and ransom insurance

Methods used to protect an organization's proprietary information includes:

Computer Security (firewalls) Patents Trademarks Copyright

Stress Coping Strategies​:

Eliminate the stressor​ Relaxation techniques​ Social support​ Physical exercise​ Since stress cannot be eliminated from daily life, nor should it be, the solution is to effectively manage it. If it is managed effectively, stress can enhance rather than diminish individual productivity, interpersonal relationships, and a general zest for living. Numerous sources recommend how to benefit from stress and how to use it to improve the quality of life. The basic principle involved in managing stress is to terminate the stress response when it is fired inappropriately. The alarm reaction needs to be extinguished when it occurs at the wrong time. For pedestrians who see a car speeding toward them, the alarm reaction is appropriate, but the alarm reaction is not appropriate for motorists caught in heavy traffic. Several techniques have been proposed for controlling the stress response.

Employee Assistance Programs

Employee Assistance Programs are special programs to help employees with personal problems, including:​ -substance abuse​ -occupational stress​ -emotional distress​ -major life events, including births, accidents and deaths​ -health care concerns​ -financial or non-work-related legal concerns​ -Family and/or personal relationship issues​ -work relationship issues​ -concerns about aging parents​ Many organizations recognize the need for special programs to help employees with personal problems. These programs are typically called employee assistance programs. Earlier labels such as "troubled employee program" or "alcohol rehabilitation program" were not very successful because of their negative implications. Troubled employees do not like to be called troubled employees. About 70 percent of the Fortune 500 companies have employee assistance programs (EAPs). The performance of employees can be seriously impaired by personal problems. Fortunately, most personal problems are only temporary, and employees can solve them with their own resources and a little time. When problems get too big to handle, however, an individual usually needs professional help.

Employee Wellness Programs

Employee wellness programs try to help employees avoid illness and accidents and often include physical exams to assess employee health and health education to teach proper dietary habits, to help employees stop smoking, and to eliminate alcohol and drug use.

OSHA Worker Rights

Employees have a right to request an OSHA inspection if they believe their job duties or working conditions pose a threat to their well being. The OSHA protects employees from discharge or discrimination when they report unsafe or unhealthy working conditions, regardless of whether they report the complaint to the employer, OSHA, or outside parties such as the press. Workers Rights: Employees have a right to participate in union activities related to job safety, such as serving on safety committees or acting in concert to protest job safety and health hazards. Employees or their representatives have a right to participate in OSHA inspections, conferences, and other hearings. Employees have a right to refuse to work IF they reasonably believe that their working conditions pose an imminent risk of death or serious bodily injury, AND there is not sufficient time or opportunity to seek effective redress from the employer or OSHA.

Good Samaritan Laws

Employees who provide first aid to injured co-workers are protected from prosecution for unintentional injury or wrongful death by Good Samaritan laws. All 50 states have Good Samaritan statues that protect from blame those who aid others who are injured or ill as long as they: Act during an emergency Act rationally and in good faith Act in accordance with their level of training Are not paid to provide medical treatment.

OSHA Record Keeping

Employers must report any accident that results in the death of any employee, or the in-patient hospitalization of three or more employees, to the nearest OSHA office within eight hours. All other recordable incidents must be documented within 7 days Occupational injuries and illnesses must be recorded if they result in: Death Loss of consciousness Days away from work Restricted work activity or job transfer Medical treatment beyond first aid

Ergonomics

Ergonomics is that aspect of technology concerned with the application of biological and engineering factors to problems relating to the mutual adjustment of people and machines. Professionals in ergonomics are concerned with the adaptation of technology to the betterment of productive efficiency and human life.

Internal Financial Controls

Every organization needs to have a carefully developed system of internal financial controls to help employees be honest and avoid the pressures that cause good people to commit fraud. -Every organization needs to have a carefully developed system of internal financial controls. -A good system of financial controls involves having a clearly defined procedure for handling all monies. -Spending limits and other financial procedures limits should be planned in advance and strictly enforced.

Safety Training

For a safety program to be effective, all employees, supervisors, and managers must receive adequate safety training. Employees should never perform a job until they have been authorized to do it and have received adequate job instruction. Accident statistics indicate that new employees are much more likely than long-term workers to be involved in an accident.

OSHA Forms

For each recordable injury or illness OSHA Form 301 (Injury and Illness Incident Report) must be completed within seven calendar days. ​ Employers must catalog all injuries on OSHA Form 300 (Log of Work-Related Injuries and Illnesses).​ Employers must summarize the Log in OSHA Form 300A (Summary of Work-Related Injuries and Illnesses) at the end of each year. ​ The Log and Summary must be kept for five years.

OSHA Forms What are the requirements of OSHA Form 300, Form 300A, and Form 301?

For each recordable injury or illness OSHA Form 301 (Injury and Illness Incident Report), or an equivalent form, must be completed within seven calendar days. Employers must catalog all injuries on OSHA Form 300 (Log of Work-Related Injuries and Illnesses) and summarize the Log in OSHA Form 300A (Summary of Work-Related Injuries and Illnesses) at the end of each year. The Log and Summary must be kept for five years.

Hazard Communication Standards, 1986

In 1986, OSHA issued a Hazard Communication Standard (HCS) that requires employers to notify employees when hazardous chemicals are present in the workplace and to train employees to work with them safely. This standard applies to all employees who may be exposed to hazardous chemicals under normal working conditions or in possible emergencies. OSHA's Hazard Communication Standard pre-empts all state or local "right-to-know" laws except those established in states and jurisdictions that have OSHA-approved state programs.

Methods to Provide EAP​

In-house​ Professional in-house staff, which may include counselors, psychologists, and social workers.​ Contract​ Hire an outside professional organization to provide EAP services.​ Two methods are used to provide professional assistance. Many organizations operate their own employee assistance programs as part of their human resource services. Large organizations are able to afford a professional staff with counselors and psychiatric social workers. However, some organizations, both large and small, prefer to pay for the services of an outside professional organization of counselors to provide a program. One of the largest professional organizations is Magellan Behavioral Health (formerly Human Affairs International), which was developed at Kennecott Copper Corporation in Utah and then offered to other companies. The professional assistance of Magellan Behavioral Health is available to tens of millions of employees.

Benefits of Regular Exercise:

Increased strength and endurance.​ More efficient use of energy, even in mental tasks.​ Proper circulation is maintained.​ Improved grace, poise, and appearance.​ Improved posture and muscle tone.​ Reduction of chronic tiredness and tension.​ Improved weight control.​ Reduced aches, pains, and stiffness.​ Reduction in degenerative risk factors.​ A carefully designed physical exercise program is not only an effective stress management technique, but also an important element in maintaining good mental and physical health. During a vigorous physical exercise routine, internal chemical changes occur that eliminate the tension that causes stress. At the same time, it improves physical conditioning, thereby making individuals better prepared to endure future stress. The benefits of physical exercise have encouraged companies to adopt a variety of physical exercise programs.

What is "signal detection theory"?

It is a theory that explains the likelihood that a security officer will detect a problem based on two factors: the detectability of the problem relative to the background noise and the expectancy of the occurrence

Reproductive Health Policies

It is a violation of Title VII to refuse to hire or insist on transferring a pregnant or fertile woman who would be unavoidably exposed to substances creating a reproductive hazard. The Supreme Court has ruled that "fetal protection policies" are a form of sex discrimination in spite of the risks. Employers are expected to warn women about the increased risks of birth defects due to exposure and allow women to decide whether they are willing to take the risk.

What is the Hazard Communication Standard and who does it apply to?

It was developed in 1986. OSHA issued it. It requires employers notify employees when hazardous chemicals are present in the workplace. It also requires them to train employees to work with these chemicals safely. It applies to all employees who may be exposed to hazardous chemicals under normal working conditions or in possible emergencies.

What is the basic concept underlying workers' compensation laws?

Liability without fault. This means that an injured employee is entitled to a moderate and reasonable amount of compensation regardless of who caused the accident. In addition, this compensation is part of the expense of production and, therefore chargeable to the employer. Worker compensation laws provide immediate financial aid for injured workers and eliminate the need for lawsuits.

Safety Roles and Responsibilities

OSHA recommends that the responsibility for safety and health activities be clearly and expressly assigned to one individual. The job of this individual should be to ensure that an effective safety program is developed and implemented. However, safety and health need to concern more than just top management. The responsibility for safety and health activities needs to be shared by everyone. OSHA recommends that these responsibilities be considered a basic part of every supervisor's and employee's job. Employees should be responsible for following the prescribed safety and health procedures and for recognizing and reporting hazards in their areas. Supervisors should be responsible for making certain that safe practices are understood and followed. Avoiding accidents requires the cooperation of everyone. All employees should know that carelessness and willful disregard for safe practices may result in discipline and termination

Know Existing Hazards: OSHA 3 step process

OSHA requires employers to know what hazards exist in their workplaces and which standards apply to them. OSHA specifies a three-step standard for creating a safe environment: Use engineering standards or processes first to eliminate the hazard. Follow safe work practices and training to avoid accidents. Use personal protective equipment as a last line of defense.

PPACA Restrictions on Wellness Incentives​

PPACA prohibits employers from using rewards to discriminate against participants based on "health-related factors." ​ Employers must offer alternative rewards for those who cannot achieve program goals because of a medical condition.​ Employers are not restricted from offering rewards that are based on participation rather than achieving measurable health objectives.​

Crisis Management & Contingency Planning

Part of an employer's obligation to provide a safe and healthful work environment is ensuring that the company has an emergency plan for handling such emergencies as fires, explosions, earthquakes, chemical spills, and acts of terrorism. An effect plan includes the following provisions: Clarify the chain of command Employee accounting Communications center Employee training Medical assistance Emergency team

Please define the following terms: Patents, Trademarks and Copyright.

Patents: Are a grant from the government that gives the inventor the right to exclude others from making, using, or selling his/her invention. Trademarks: A word, phrase, symbol or design that identifies and distinguishes the source of the goods and services of one party from that of another. Copyright: The exclusive right or privilege of authors to print or multiply, distribute and sell copies of their work.

Stress & the Alarm Reaction

Physiological Responses to an Alarm Reaction: 1. The breathing rate increases to provide more oxygen. 2. Red blood cells flood the bloodstream to carry more oxygen to the muscles. 3. The heart beats faster and blood pressure soars to provide blood to needed areas. 4. Stored sugar & fats are converted to blood glucose to provide fuel for quick energy. 5. Blood-clotting mechanisms are activated to protect against possible bleeding. 6. Digestion ceases so that blood may be diverted to muscles and brain. 7. Perspiration and saliva increase. 8. Bowel and bladder muscles loosen. 9. Muscles tense in preparation for strenuous activity. 10. The pupils dilate, allowing more light to enter the eye. 11. The endocrine system increases the production of hormones.

Employee Polygraph Protection Act

Prohibits polygraph exams except in cases involving an ongoing investigation of losses suffered by an employer or for purposes of national security. There are limited conditions under which private employers can test employees or applicants. Lawful testing conditions include: 1. The test is part of an ongoing investigation of losses suffered by the employer. 2. The tested employee had access to the property in question. 3. The employer had reasonable suspicion of the employee's involvement. 4. The employer provided a statement explaining the basis for suspecting the above conditions. Job applicants may likewise be lawfully tested when applying for jobs with: 1. Certain types of security firms. 2. Manufacturers or distributors of controlled substances where the employee would have direct access to these controlled substances.

What are the Federal Sentencing Guidelines for Organizations (FSGO) elements of an anti-fraud program?

Reporting: Employees should be encouraged to report fraud when they see it. Oversight: A member of upper management should have the overall responsibility of the program and coordinate information obtained from internal and external audits. Prudence: Management should take care in ensuring that those who are hired have undergone adequate background checks and do not have a prior history of fraud. Communication: Published code of ethical conduct that is given to all members of the company. Employees should also be asked to sign a document acknowledging that they are aware of this code and will comply with it. Compliance: The anti-fraud program should be implemented and reviewed. Enforcement: Employees who behave dishonestly should be disciplined. Prevention: Internal control procedures should be established to reduce the possibility of fraud and increase detection.

Exercise Benefits to the Heart​:

Resting heart rate is lowered.​ Cardiac output is increased.​ Number of red blood cells is increased.​ Elasticity of the arteries is increased.​ Blood cholesterol level and triglyceride levels are lowered.​ Adrenal secretions in response to emotional stress are lowered.​ Lactic acid causing fatigue is more efficiently eliminated.​ Heart muscle is strengthened and additional blood vessels within it are formed.​

Risk Management

Risk management refers to the process of assessing and, ideally, measuring risk and developing strategies to protect the financial interests of a company, including safety, worker compensation, unemployment insurance, security, loss prevention, emergency preparedness, health and wellness, data management, and privacy protection. These programs are often viewed as HR responsibilities even though many companies assign them to other departments depending on the size of the company and seriousness of the threat.

Managing Workplace illness

Since it is possible for one sick employee to infect the entire workforce, employers should have policies that require sick employees to stay at home. This might include screening employees and visitors as they arrive at the workplace and denying access to any with symptoms of the infectious disease. Companies might consider making their leave policies more generous during an epidemic or pandemic, such as eliminating notice requirements for paid leave or increasing available leave beyond what is required by the FMLA. As a general rule, employers may legally require their employees to obtain vaccinations, especially if they are medical personnel or first responders. The Joint Commission, the inspection and accreditation organization for the health care industry, is requiring accredited health care organizations to have flu vaccine programs that encourage their employees and care providers to get flu shots.304 Some states require health care providers to be vaccinated. If employees are asked to get vaccinations, they need to be paid for the time it takes since this is treated as hours worked, and if there is a union this policy needs to be negotiated with the union first. If the vaccinations are done on-site, HIPAA treats this as protected health information requiring appropriate authorizations for release.

What is the impact of a climate of honesty in a company and how can employers create such a climate?

Some research in the retail industry has shown that the climate of honesty in a store significantly increases the honesty of the employees and reduces the store's inventory shrinkage rates. On the other hand, there are many illustrations of companies where a climate of dishonesty became so entrenched in the culture of the company that it was eventually destroyed, such as Enron and Equity Funding. There are many things a company can do to improve the climate of honesty within it, such as • Develop a code of ethics that defines the kinds of moral behaviors the company expects. • Provide an avenue for employees to report evidences of wrong doing, such as an ethics center or an ombudsman. • Build healthy personal relationships so people respect each other and the clients and customers. • Reinforce the work ethic and principles of personal accountability. • Review all of the policies and programs to make certain they are reasonable and do not place excessive pressure on employees to reach impossible goals

Loss Prevention

Some suggestions for reducing losses and improving the security of vulnerable firms: Carefully screen all applicants and employees Carefully monitor all business transactions and maintain accurate written records Periodically audit accounting records Establish a physical security system to protect the company's assets Eliminate "blind spots" Provide adequate sales associates to assist and observe customers (.e. in retail and food service operations)

Supervisory Training​​​: Supervisors should be trained to recognize the signs of drug use and, especially, of drug overdose.

Supervisors should be trained to recognize the signs of drug use and especially of drug overdose. Some of these signs depend on the drugs individuals have been using and may include slow and shallow breathing, clammy skin, slurred speech, disorientation, drunken behavior without odor of alcohol, rapid pulse, dilated pupils, convulsions, and coma. Withdrawal symptoms include watery eyes, runny nose, yawning, loss of appetite, irritability, tremors, panic, cramps, nausea, chills, and sweating. The most important responsibility of a supervisor is to monitor performance. Drug use inhibits performance; supervisors need to know when performance has declined, and they need to document it. Companies cannot effectively insist that employees with drug problems obtain help if they have not documented their performance deficiencies. Supervisors should look for any of these early warning signs of substance abuse:

PPACA & Wellness Programs

The PPACA allows employers to financially reward workers who adopt healthy behaviors. What five requirements must the wellness program satisfy? The wellness program must satisfy the following five requirements when offering a financial reward: 1. The wellness rewards in total cannot exceed 30 percent of the cost of coverage, where the cost of coverage is the total amount of employer and employee contributions for the employee's benefit package. 2. The program must be reasonably designed to promote health and prevent disease. 3. The program must give individuals eligible to participate the opportunity to qualify for the reward at least once per year. 4. The reward must be available to all similarly situated individuals. The program must allow a reasonable alternative standard for obtaining the reward to any individual for whom it is unreasonably difficult due to a medical condition, or medically inadvisable, to satisfy the initial standard. 5. The plan must disclose in all materials describing the terms of the program the availability of a reasonable alternative standard (or the possibility of a waiver of the initial standard).

Terrorism

Terrorism is the use of force or violence against persons or property in violation of the criminal laws of the United States for purposes of intimidation, coercion, or ransom. Terrorists use threats and violence to create public fear, to discredit the government, or to generate publicity for their causes. Because human resource managers are expected to manage crisis situations, they should learn about the nature of terrorism. Terrorists often choose targets that offer little danger themselves and areas with relatively easy public access. Foreign terrorists look for visible targets where they can avoid detection before or after an attack such as international airports, large cities, major international events, resorts, and high-profile landmarks. HR managers should prepare to deal with a terrorist incident by adapting many of the same techniques used to prepare for other crises. Learn about the different types of terrorist weapons including explosives, suicide bombers, kidnaping, hijackings, arson, shootings, and biological weapons. Be alert and aware of the surrounding area. The very nature of terrorism suggests that there may be little or no warning. Take precautions when traveling. Be aware of conspicuous or unusual behavior. Do not accept packages from strangers. Do not leave luggage unattended. Learn where emergency exists are located. Think ahead about how to evacuate a building, subway, or congested public area in a hurry. Learn where staircases are located. Assess your immediate surroundings. Be aware of heavy or breakable objects that could move, fall, or break in an explosion. The use of explosives by terrorists can result in collapsed buildings and fires. People who live or work in a multi-level building should: Review emergency evacuation procedures. Know where fire exits are located. Keep fire extinguishers in working order. Know where they are located and how to use them. Learn first aid. Contact the local chapter of the American Red Cross for additional information. Keep the following items in a designated place on each floor of the building: a portable, battery-operated radio and extra batteries; several flashlights and extra batteries; a first aid kit and manual; several hard hats; and fluorescent tape to rope off dangerous areas.

Drug Testing

Testing Applicants​ All employers can legally require job applicants to pass a drug test as a condition of employment if the testing program is nondiscriminatory. ​ Applicants who fail drug tests can be eliminated from the applicant pool, but can challenge the test results.​ Testing Employees​ In testing current employees, private employers are relatively unrestricted in the type of testing program they may lawfully adopt, as long as it is nondiscriminatory. ​ Employees who fail drug tests should have an opportunity to explain their positive results and should be offered rehabilitation. ​ Public employees have protection under the Fourth Amendment.

Drug-Free Workplace Act

The Drug-Free Workplace Act of 1988 requires that government contractors make a "good faith" effort to ensure a drug-free workplace. Employers are required to prohibit unlawful drug use in the workplace and institute drug awareness education for employees. Although these measures do not mandate drug testing, careful drug screening is certainly consistent with the intent of the act and could even be regarded as evidence of the required "good faith" effort. Under the Drug-Free Workplace Act of 1988, federal contractors with contracts of $100,000 or more must follow certain requirements to certify to federal contracting agencies that they maintain a drug-free work environment. These requirements include: -Developing a written policy that prohibits the production, distribution, use, or possession of a controlled substance in the workplace. -Providing a copy of this policy to all employees to inform them of the employer's policy and the consequences of violating it. Part of this policy is a requirement that employees convicted of drug use in the workplace must notify the employer as a condition of employment. -Creating a drug-awareness program to help employees understand the dangers and health consequences of drug use. -Developing standards of enforcement for those who violate the rules.

Federal Wiretapping Act

The Federal Wiretapping Act, which is Title III of the Omnibus Crime Control and Safe Streets Act of 1968, prohibits the deliberate interception of private telephone and oral communications. The law makes it a felony to intentionally intercept any "wire, oral, or electronic communication" through the use of any "electronic, mechanical, or other device." However, there are three exceptions to the act's broad prohibitions: a. The service provider exception allows the owner of a communications system to monitor communications to maintain the system. For example, a phone company could periodically perform quality-control checks. b. The business use exception allows employers to monitor non-personal telephone conversations of their employees to evaluate their job performance, provided various statutory safeguards are observed to protect privacy rights of the employees and customers. c. A third exception permits recording if one party to the conversation consents. Thus, under federal law, employers are limited in how and when they can monitor or tape-record employees, but employees are free to record any conversations to which they are a party. Supervisors and other co-workers are not allowed to listen to employees' personal conversations without their permission or knowledge unless there is a legitimate business need for it, such as coaching a new sales representative. This law also prohibits putting a secret listening device in an employee's office ("bugging") or even eavesdropping on private conversations unless they occur in public locations.

Hazard Communication Standards

The Hazard Communication Standards require employers to notify employees when hazardous chemicals are present in the workplace and to train employees to work with them safely. Pre-empts all state or local "right-to-know" laws except those established in states and jurisdictions that have OSHA-approved state programs. The Hazard Communication Standard requires manufacturers, importers, and distributors to label, tag, or mark every container of hazardous chemicals that leaves their workplace with this information: -The identity of the hazardous chemical. -The appropriate hazard warning. -The name and address of the chemical manufacturer, importer, or distributor. Employers are required to maintain a material safety data sheet (MSDS) for each hazardous chemical that is used, processed, or stored.

Health

The Occupational Safety and Health Act requires employers to provide both a safe and healthy workplace. Some of the major health hazards caused by toxic and hazardous substances are regulated by OSHA standards. In some companies, however, the concern for employee health has gone far beyond just controlling toxic materials. Many organizations have developed extensive programs to improve both the physical and mental health of their employees. The motives for these programs are partially altruistic; employers are genuinely concerned about the health and well-being of their employees. However, these programs also are self-serving since managers are primarily concerned about their own health. Some health programs are designed exclusively for managers, while other programs are open to all employees. Regardless of management's motives, health programs can be justified economically. Poor health represents an enormous cost to employers. These costs are caused by excessive absenteeism and tardiness, premature death and disability, reduced productivity, and higher health insurance premiums. The costs of health care insurance are especially high. In 2015 the average cost of health care insurance was $2.80 an hour per employee, with costs as high as $3.54 an hour per employee in the manufacturing industry and $4.74 in the information industry.

Privacy Protection Act

The Privacy Act of 1974 was passed to protect the privacy of individuals employed in government agencies or government contractors. This act prohibits an agency from disclosing records about individuals. The Freedom of Information Act requires government agencies to provide information about the agency (how it is organized and what it does) and allows individuals, employers, and unions to request copies of government documents. This act specifically exempts the disclosure of personal information that could constitute an unwarranted invasion of personal privacy, such as performance evaluations and medical reports. Under the Privacy Act of 1974, a Privacy Protection Study Commission was established to examine the need for further legal protection of employee privacy. Three general policy goals: to minimize intrusiveness to maximize fairness to create legitimate expectations of confidentiality

USA Patriot Act

The USA Patriot Act was passed in response to the September 11, 2001 terrorist attacks. The act expanded the authority of U.S. law enforcement agencies in fighting terrorism. Particularly relevant for human resource managers is the provision of the law that eases restrictions on law enforcement agencies in their search of telephone and e-mail communications and medical, financial, and other records. Employers should include a disclaimer in their privacy policies that informs employees of the possibility that they may need to disclose confidential information if it is requested by the federal government.

Vulnerability Analysis: Threats and Assets

The first step in developing a security system for a company is to perform a needs assessment, often referred to as a risk analysis or vulnerability analysis. This analysis includes identifying the company's assets and analyzing potential threats to these assets. Asset definition involves more than just listing all the buildings, equipment, and supplies. It includes an identification of all the company's assets that need protection, including physical assets, intellectual properties, information, and future economic activity. An analysis of potential threats involves examining the criminal, natural, accidental, and operational problems that could place the assets at risk. This analysis utilizes past incident reports, area crime information, site inspections of all areas of the company, and interviews with a broad cross-section of employees. Some risks are obvious, such as a facility located on a flood plain or in a high crime area. Other risks are not as apparent, such as the consequences of a power outage to unsaved data files or the potential destruction caused by a disgruntled employee who bombs the building. The company's neighborhood and surroundings should also be examined to assess the likelihood of theft and vandalism.

Mental Health

The mental health of employees is just as important as their physical health. A highly stressful working environment can be just as destructive to mental health as toxic substances are to physical health. Unlike physical health, mental health is not protected by the Occupational Safety and Health Act. In some instances, however, employees can receive workers' compensation benefits for physical or mental breakdowns caused by the cumulative trauma of an excessively stressful job. Mental illnesses are caused by many factors both on and off the job, including child abuse and other traumatic childhood experiences, marital conflicts and an unhappy family life, peer pressure and social ridicule, and a stressful work environment. Everyone occasionally feels frustrated, depressed, or a bit insecure, but most individuals are able to cope with temporary setbacks. Four of the most common challenges to good mental health are -boredom, -burnout, -anxiety, -depression.

What are the advantages and disadvantages of different stress management techniques?

The relaxation techniques are direct methods of attempting to reduce the alarm reaction or the stress response within the body. Biofeedback is an attempt to control the internal mechanisms that produce the stress response. Abdominal breathing and a muscle massage are indirect attempts to eliminate the classically conditioned stress response that has been paired with a conditioned stimulus. Social support and physical exercise are also useful methods for reducing stress, although they are not direct attempts to reduce stress levels within the body. The advantages of social support and physical exercise, however, are that they provide a large number of additional benefits to the individual. A strong social support system not only helps an individual to reduce stress, but also helps maintain better mental health and quality of life. Physical exercise programs likewise reduce stress and also contribute to the physical and mental health of the person. A good physical exercise program improves an individual's physical health, decreases his or her number of injuries and illnesses, raises self-esteem, and helps maintain a better emotional balance in life.

Organization of Security

The responsibility for security is assigned to the HR department in most small and medium-sized companies. As companies become larger & more vulnerable to thefts, they are more likely to establish a separate security department. In recent years the role of public law enforcement has diminished because security breaches have become more frequent and costly, and local law enforcement agencies have not been able to adequately protect companies. Civil litigation has also become slower and more cumbersome, adding to the need for companies to protect themselves. Although security includes protection against natural disasters, such as hurricanes and floods, the most serious security challenges come from employee theft. According to estimates provided by the National Science Foundation, the annual economic cost of natural disasters in the United States is about $52 billion, whereas the estimates of losses due to white collar crime range from $300 to $660 billion. Computer crimes, including the theft of computer chips, entail costs that are enormous. A computer chip smaller than a postage stamp can be worth more by weight than gold or cocaine.

There are three major organizations that publish industrial accident statistics in the US, U.S. Public Health Service, National Safety Council and the Bureau of Labor Statistics. What does each organization report?

U.S Public Health Service publishes the National Health Survey. This is a summary of data collected from a continuous sample of households. Health data and injuries experienced by members of the households during two weeks prior to the interview are published in the National Health Survey. The National Safety Council provides safety services and materials to industries, homes, schools, governments, and farms. The accident statistics are collected from a large assortment of agencies and are published annually in a booklet titled Injury Facts. The Bureau of Labor Statistics of the Department of Labor publishes workplace injury and illness statistics which are based on a survey of representative companies in an annual report entitled Occupational Injuries and Illnesses.

Criminal Penalties:

Violations of OSHA's standards can be very costly for a company. The Bipartisan Budget Act of 2015 required OSHA, beginning in 2016, to adjust its penalties according to cost-of-living adjustments established by the Consumer Price Index (CPI). Penalties for OSHA violations are expected to increase by approximately 78 percent in 2016, and thereafter to be adjusted annually according to the CPI. The amounts listed below are the penalties at the beginning of 2016, prior to the yet-to-be-determined changes. There are five levels of violations under the act: 1. De Minimus violations: No direct or immediate relationship to job safety or health. No penalty. 2. Other than serious violations: Direct relationship to safety or health, but unlikely to cause serious physical harm. Discretionary penalty of as much as $7,000, but may be adjusted downward by as much as 95 percent. 3. Serious violation: Substantial probability of death or serious physical harm and employer knew or should have known of the hazard. Mandatory penalty of up to $7,000, but may be adjusted downward based on the employer's good faith history of previous violations. 4. Willful violations: Intentional disregard for a specific OSHA standard or the general duty clause. Penalties from $5,000 to $70,000 for each violation and/or as long as six months in prison if the violation results in death. A fine of up to $250,000 for an individual or $500,000 for a corporation may be imposed for a criminal conviction. 5. Repeated violations: Repeated willful violations of a similar nature. Penalties of up to $70,000 for each violation.

Toxic Substances

When certain substances are present in the workplace, OSHA standards make the employer responsible for limiting certain job assignments to employees who are "certified," "competent," or "qualified," meaning that these employees must have completed a special training course. Toxic substances are chemicals and other materials that are poisonous to the body, such as lead, carbon monoxide, and benzene. In small doses, these substances may have no effect, whereas in large doses, they may be fatal. Some substances, such as cotton and coal, are not highly poisonous with typical exposure, but when cotton dust and coal dust are inhaled in sufficient concentrations over an extended period of time, they can cause severe respiratory illnesses. OSHA has identified several toxic and hazardous substances and has issued regulations governing their use. These regulations require an employer to follow explicit work practices and to train employees in the safety and health aspects of their jobs. When certain substances are present in the workplace, OSHA standards make the employer responsible for limiting certain job assignments to employees who are "certified," "competent," or "qualified," meaning that these employees must have completed a special training course. No-adverse-effect: This is the highest dose or exposure that causes no ill effects. Toxicity threshold: The lowest dose level at which toxic effects can be demonstrated.

Accident Investigations

Whenever an accident occurs, it should be carefully investigated as soon as possible to identify the causes and assess what steps can be taken to prevent future accidents. Accidents are often caused by multiple forces, including human error, environmental conditions, material defects, and inadequate training. All of the possible causes need to be examined. The accident scene should be carefully examined to identify all possible environmental conditions that may have contributed to the accident. These conditions include such things as wet floors, poor lighting, excessive noise, obstructed vision, and poor ventilation. Photographs and videotaped recordings are valuable for reviewing the accident scene at a later time. Anyone who witnessed an accident should be interviewed to learn what they saw and what happened. The names and addresses of witnesses should be obtained in the event that they are needed for further questioning. An accident investigator should try to determine from these interviews how the accident occurred, what caused it, and what the witnesses recommend to avoid future accidents. Accident reports must be completed and available for inspection. OSHA Form 301, Injury and Illness Incident Report, is an accident report form that records the circumstances of the accident, the nature of the accident, and how the accident was handled. OSHA Form 300, Log of Work-Related Injuries and Illnesses, is a log showing each recordable accident at a work site. All employers must report work-related fatalities to the nearest area OSHA office within eight hours. Accidents resulting in any in-patient hospitalization, the loss of an eye, or an amputation, must be reported within 24 hours. Employers must complete OSHA Form 301 (or equivalent) and Form 300 within seven working days after they become aware of a reportable occurrence. The Log and Summary record must be retained for five years following the calendar year in which the report was made.

Workplace Violence

Workplace violence is defined more broadly than just acts of violence; it refers to any act taken by an employee that undermines the purpose for which an enterprise exists. Some of the major conditions that lead to violence include: alcohol and drug use paranoia obsessive disorders neurological disorders intermittent explosive disorders

What is the appropriate way to protect pregnant women from chemicals that cause birth defects?

You should notify women of the risks, but you cannot force them to change or transfer jobs. Although restricting women during their childbearing years from handling certain chemicals seems to be discriminatory, there are medical considerations supporting this practice. Many toxic chemicals do not pose a health hazard when the exposure limits are reduced to very low doses. The liver, which is the body's first line of defense, is able to detoxify a limited number of toxins and maintain the body's good health. During pregnancy, however, toxicity levels that may have otherwise been safe may be damaging to the health of either the mother or fetus. More significantly, however, during specific developmental stages various chemicals prevent or distort the normal development of a fetus even though they present no problem to the health of the mother. For example, studies have shown that acutane, a drug that is often prescribed for problems of acne, and boric acid, a chemical often found in soap, both cause serious birth defects if they are present in the environment of a pregnant woman at a specific developmental stage. Consequently, many companies would like to refuse to assign fertile women to jobs where certain chemicals are present, but doing so has been declared illegal gender discrimination. Therefore, companies are required to inform women of the potential reproductive hazards of the chemicals in their work environment and let the women decide for themselves and their unborn child whether they should continue working there. Unfortunately, this freedom of choice is very risky since many of the serious birth defects occur during the first few days of pregnancy before a woman even knows she is pregnant.

Which of the following is NOT true of effective employee assistance programs?

a) The program should be advertised to employees and their families. b) Complete confidentiality must be maintained. c) The program should be accessible from nine to five, or during all regular business hours. d) Staff members should meet wherever the employee or dependent would be most comfortable. Correct Answer: C Effective employee assistance programs must be accessible 24 hours a day, seven days a week, since behavioral problems do not fit a nine-to-five schedule.

Which of these statements about the value of alarms is FALSE?

a) alarms do not prevent trouble, they only detect it b) alarms do not replace guards, they assist guards c) alarms are not useful if no one responds to them d) alarms are not helpful when they signal every security breach, including minor ones Correct Answer: D Alarms do not prevent trouble; they only detect trouble. No alarm is useful if there is no person to respond to it. Alarms do not replace guards; they only assist guards.

A critical job-related emotional health problem for such jobs as counselors, social workers, and others in the helping professions that is similar to boredom for blue collar workers is called

a) anxiety. b) depression. c) burnout. d) schizophrenia. Correct Answer: C Burnout has been observed most frequently among people who work in the helping professions 'especially psychiatrists, social workers, and counselors' who are constantly asked to give of themselves and eventually feel emotionally drained.

The specific standards OSHA enforces were created by

a. congress in the act. b. OSHA. c. OSHA, NIOSH, and other federal agencies. d. experts in each industry commissioned by OSHA. Correct Answer: C Federal agencies that assist OSHA in the development of safety standards include the Department of Health and Human Services, the National Institute for Occupational Safety and Health (NIOSH), and various professional organizations.

What is the Bloodborne Pathogen Standard that OSHA has issued?

have a "reasonably anticipated" risk of occupational exposure to blood or other potentially infectious body fluids. This standard requires employers to prepare a job hazard analysis which identifies procedures that may pose a risk for workers exposed to bloodborne pathogens. To act in accordance with this standard companies must: o Develop a written plan o Minimize exposure risks o Assure vaccination of affected employees against Hepatitis B o Inform employees of the hazards of bloodborne pathogens by posting signs and conducting training o Maintain medical records for employees who have been exposed

There are some items that are excluded from the Hazard Communication Standard. What are these?

o Hazardous wastes regulated by the Environmental Protection Agency. o Tobacco and wood products o Manufactured articles that do not release hazardous chemicals under normal conditions o Foods, drugs, cosmetics, and alcoholic beverages o Consumer products that do not result in a greater exposure than experienced by consumers in normal use. o Manufactured articles that release hazardous chemicals in such small amounts that they do not pose a health risk.

What may a technical security system include?

• Access control • Surveillance • Alarm systems • Locks and locking mechanisms • Central security stations • Patrol services