We have received many requests in relation to whether or not employers can mandate COVID-19 vaccinations for their employees. I reached out to one of our attorneys, William Buie of Conklin Benham to provide information that could be shared with our policyholders. Below is the information that I received from him:
The U.S. Equal Employment Opportunity Commission (EEOC) recently issued guidance stating that employers can generally mandate Covid-19 vaccines for employees who physically enter the workplace without violating federal antidiscrimination laws. However, employers requiring employees to get vaccinated need to consider religious and disability related objections and explore reasonable accommodations that may be required under the Americans with Disability Act.
Every quarter the MTM Board of Directors meet. No surprise the MTM management team prepare a variety of reports for Board review. The 11 MTM Board members are just like you, shop owners, CFOs, plant managers, safety managers, H.R and the like. For the upcoming meeting, I thought the Board would be interested in a big picture of what we learned from the completed payroll/premium audits for 2020 policies. Those audits often take 3-6 months before all is finalized.
Back in January/February of 2020 there was some chatter about a contagious disease, but nothing much changed until mid-March. Then most everything was locked down. MTM had just begun delivering member dividend checks and we found we had to slip the check under the door if someone was at the shop at all. With a rapid decrease in shop payroll, we offered to make premium payment adjustments, knowing that some shops were closed or operating at very reduced staff. To our surprise, we had fewer shops requesting that assistance than we expected. That gave us the feeling that more shops were operating as essential than we first thought.
Finally, as promised, the Workers’ Compensation Courts are now open for “in person” business! Any way you look at it, this is a good thing! Over the last one and one-half years, the Workers’ Compensation Courts were still conducting business, but like everyone else in the business world, communication was via telephone or (computer) Zoom. While I can’t necessarily speak for Plaintiffs, I can tell you the Defense side of Workers’ Compensation is happy with the re-opening. It will take a while to get cases back “on track” but so far everyone in the litigation field seems anxious to get back to work.
As my team and I continue to assist you with the most recent COVID-19 rules and regulations, we are still fielding questions regarding outbreaks and what to do if an employee tests positive. Awhile back, MIOSHA dialed back their requirements for protecting your employees from COVID-19 and are now highly recommending that employers follow the updated CDC guidelines due to the Delta variant.
Finally, back to some normalcy. It’s been over a year, but finally MTM Board and Committee members are together again. Maybe 2/3’s of the members were at the MTM office and 1/3 via Zoom. It was great to see our Board and Committee members. It was like a family reunion. At the May 20th Board meeting Joe Keppler, MTM Chairman of the Board welcomed our new Board member Barry Kavanagh. Barry might hit a memory cell for you because about 3 years ago I introduced him as a new Board Finance Committee member.
Here’s a refresher: Barry received his bachelor degree from Waterford Institute of Technology in his native Ireland. He is a Fellow of the Association of Chartered Certified Accountants (ACCA), the main accountancy body in the United Kingdom, Europe, and Asia. He also holds a certified management accounting certification from the U.S. Institute of Management Accountants. Barry has been involved with MTM for nearly 15 years. At the beginning we worked with Barry when he was the Controller at a Lansing member’s shop. For the last 8 years, Barry has been the VP of Finance at Avalon & Tahoe Mfg. Inc. That company name might sound familiar too. Avalon & Tahoe is a high end Michigan manufacturer of pontoon boats. They make virtually everything on their boats except the motors and gauges. It is a fascinating company. The company won the Michigan Manufacturers Association “Michigan Manufacturer of the Year” award for 2019.
Well, back to Barry. After two and a half years of successful work on the Board Finance Committee, the Board asked him to join them on the full Board. Consistent with Barry’s enthusiasm on the Board Finance Committee, he agreed to the new position as long as he could retain his Board Finance Committee assignment. The Chairman of the Board of MTM approved his request. Barry has been a valuable contributor to the Board Finance Committee, and we are expecting that same solid contribution to the full MTM Board.
Lastly, with many of our in person activities resuming, we are planning the Annual Member’s Meeting October 21st (11 a.m. – 2 p.m.). As it has been for the last 6 years, the get together will be held at The Inn at St. Johns, Plymouth, Michigan. The Inn is a first class location and there is no “convention food” served. All Board and Committee members attend this meeting as does the entire MTM staff. We hope you can join us.
By Travis Halsted, ARM, COSS, Loss Control Consultant
It was just a few months ago that I was discussing icy parking lots, and shoveling snowy walkways with many of you. Oh, how the seasons have changed. As the temperatures rise, so do the risks in the workplace. The brain and body take part in a dance to keep the body cool. Each year, over 600 Americans die from heat exhaustion. While the majority are well aware of the measures that we can put in place to help with heat levels while the employee is working (fans, air conditioning, breaks), I think we could even look at heat preparation from a different angle.
As the health and safety field is based on preventing injuries/accidents, it is paramount that we try to be proactive with employees before they even enter the workplace. The next few items will provide some proactive measures that employees can utilize at work, at home, and really any event where they can expect to enter a high temperature environment.
Recently, MIOSHA has rescinded their Emergency Order and dialed down their requirements. They are strongly encouraging businesses to follow the CDC and OSHA guidance concerning protecting your workers from COVID-19 and allowing you to use your judgement in continuing using your COVID-19 Response Plans. What does that mean exactly? What are your obligations to your employees? Will they fine you? The good thing is, you are already prepared to follow the CDC/OSHA guidelines, you have your COVID-19 Response Plan, you are completing your health screenings, and you are protecting your unvaccinated employees by social distancing and/or requiring them to wear masks when they can’t maintain six feet of distance from others.
As referenced by OSHA, the CDC’s Interim Public Health Recommendations for Fully Vaccinated People explain that under most circumstances, fully vaccinated people need not take all the precautions that unvaccinated people should take. For example, CDC advises that most fully vaccinated people can resume activities without wearing masks or physically distancing, except where required by federal, state, local, tribal, or territorial laws, rules and regulations, including local business and workplace guidance. OHSA is recognizing the vaccination status of your employees, so if 100% of your employees are fully vaccinated, then you may stop reading and go about your life as if there is no pandemic, this is the carrot of the governing agencies. However, if you have employee’s that are not fully vaccinated, then continue on with the read. Remember, MIOSHA does have the duty to protect Michigan workers and has the flexibility to rule under OSHA.
I didn’t grow up in a wealthy family. I received an allowance for weekly chores. Chores were not gender specific – my sisters and I did everything. We were expected to learn to budget our money. I can remember specifically receiving 25 cents per week and saving up to buy a record album that cost $3.50. Once I started to babysit (at age 12), I no longer received an allowance nor did my mother buy me clothes other than for birthday or Christmas. I was expected to buy my own clothes with the exception of an occasional purchase of material by my mother so I could sew my clothing. My best friend had the identical situation. I couldn’t wait to start working, which I did while in high-school at the age of 17. And yes, I would still babysit (at 25 to 75 cents an hour)! Right or wrong, it sure motivated me! I couldn’t wait to start working and earning money.
The point of my story – “COVID” Unemployment insurance and all the extras, is due to end – or least be substantially reduced. Theoretically, that should put a flood of people back in the workforce. I know employers are screaming for employees. It seems EVERYONE needs help! Bless the first responders and front line workers, but I think they are suffering from “burn out”. I drove past a cemetery last week that had a sign out front indicating “Help Wanted – $15.00 per hour”. The $15.00 per hour seems to be the magic number. I’m sure the cemetery is not looking for someone to dig holes in the ground – that would be a heavy equipment operator earning much more per hour. How hard could the job be? Picking up pine cones dropped by the trees? Trimming around headstones? Picking up trash? Painting a gate? While it might not be a career choice, it would certainly put money in your pocket.
So, if and when applicants are at your door, (assuming they will be), there are a few things you should consider:
MTM Annual Members Meeting is October 21, 2021 at the Inn at St. John’s. We are pleased to have Kristi Stepp, a partner with Sigred Solutions as our keynote speaker presenting, Leading With a Growth Mindset. Kristi has over 25 years of human resources experience in the automotive, healthcare, food/beverage and workforce solutions industries and has a broad international and multicultural expertise.
Before joining Sigred Solutions, Kristi served in strategic human resource roles at several leading global organizations including General Motors, Kelly Services, Pepsi-Cola and Volkswagen. Kristi holds a bachelor’s degree from the University of Michigan and master’s degrees from Central Michigan University and Fielding Graduate University. In addition, she is a certified Global Professional in Human Resources (GPHR), holds the Master Human Capital Strategist (MHCS) designation, and is a Senior Certified Human Resources Professional (SHRM-SCP). Kristi gives back to the community as a board member of Focus: HOPE and as a board trustee for Pewabic Pottery, both based in Detroit, Michigan.
Normally, each month, I tell you about MTM member ownership benefits, a workers’ comp update, or some change in the legislative or workers’ comp arena and how MTM is responding to it. I can’t remember over the last eight years ever giving you an update about MTM internal operating systems. So, this report is a first.
Like many of our members when MTM finds a good I.T. system we stick with it for many years. Our policy accounting/underwriting system gets regular updates, but it is the same basic system we have had for 12 years. The other major system we have is our claims system and we acquired it from a separate vendor from our premium accounting system. To increase functionality and obtain long-term enhancements we felt tying our premium accounting/underwriting and claims systems together would be the best way to achieve this. Another benefit would be to bring more information, more quickly to our member portal (which happens to presently reside in our premium accounting/underwriting system.)
The Michigan Occupational Safety and Health Administration (MIOSHA) this week issued updated COVID-19 workplace rules that all employers must follow. The rules supersede the Emergency Rules (“Rules”) filed on Oct. 14, 2020, and extended by the Governor in April through October 2021.
These rules have been scaled back for those who are vaccinated and are designed to be more aligned with the new Centers for Disease Control (CDC) guidance and the Michigan Department of Health and Human Services (MDHHS) Epidemic Orders (current and new as of June 1). The new Rules require employers to:
How many of you remember your first paying job? My first job was at Kentucky Fried Chicken. At 16-years old, I was frying chicken in 350°F oil in a pressure fryer until golden brown. I do recall a few burns from splattering oil while performing my duties. Overall, the job was alright since I was able to eat all the chicken I wanted and I saved up enough money to buy my first car. It was a 1970 Ford Torino GT, in which I tended to have a lead foot that led to a few unwanted but deserved traffic tickets. According to my wife, I drive like a grandpa now so no more driving like that young inexperienced driver.
Young workers have high rates of job-related injury. According to the Department of Labor, in fiscal year 2020, teens age 15-19 were treated in the emergency room for a workplace injury approximately every 5 minutes. These injuries are often the result of the many hazards present in the places they typically work, such as sharp knives and slippery floors in restaurants. Young workers are at risk of workplace injury because of their inexperience at work and their physical, cognitive, and emotional developmental characteristics, and a lack of safety training also contribute to high injury rates. They often hesitate to ask questions and may fail to recognize workplace dangers. To help address this problem, MIOSHA enacted the Youth Employment Standards Act 90 of 1978. The Act defines a minor who is less than 18-years of age, including but not limited to employees, volunteers, independent contractors, and performing artists.
The most important item at the February MTM Board Meeting is the review of the prior year’s financial results to determine the MTM members’ dividend. That clearly is the most important task of the year for our MTM members. However every three years a second important task occurs at the February Board meeting. That is the election by the Board of the Board leadership. This year, after the dividend tasks were taken care of, the Board discussed and then decided on its leadership for the next three years. For the next three years, the new MTM Chairman is Joe Keppler (Shuert Technology). The Vice Chairman is Mark Mullen (Griggs Steel Company). And the Chairperson of the Board Finance Committee is Teena Kolwalski (Repair Clinic). And for the Board Marketing and Underwriting Committee the Chairman is Brad Lawton (Star Cutter). All of these leaders are experienced manufacturing business men and women and veterans of the MTM Board. These leaders give MTM continuity during these challenging times.
HOW TO FILE A CLAIM – Sounds simple, right? There is more involved than one might anticipate.
Claims can be filed with our department via facsimile, e-mail or MTMIC’s Portal. (No one uses U.S. mail anymore – if for no other reason, it takes too long!) Early reporting is best. The longer the delay between the date of injury and the date received in our office results in additional investigation of the circumstances surrounding the incident. Causal relationship has to be identified. When claims are reported within one or two days of occurrence, most, if not all, details are still fresh in everyone’s mind. Similar to the childhood game of “re-telling” a story, the more time that passes, the more likely the story (or in this case, facts) can change. Studies have been done where five people witness the same motor vehicle accident, and there are five different versions as to “how” the accident occurred. Wait an additional five days and details tend to blur, change or be forgotten.
MTM prides itself on offering some of the best service in the insurance industry. That commitment to service includes working with our policyholders to fit their premium payments to their individual needs. Recently we did an analysis of the ways policyholders make their premium payments and were rather surprised at what we found.
The most used payment method was Pay in Full, where the policyholder pays the entire year’s estimated premium up front and gets a 3% discount. Even though only 97% of the year’s premium is paid up front, 100% of the estimated premium is credited when the final audit is processed. In 2020 over 1/3rd of our policyholders took advantage of Pay in Full with savings of almost $143,000.
On Monday, March 22nd, I completed my deliveries of the 2021 dividend checks. As a refresher, the MTM Committees and Board of Directors met in February to review the profits from 2020 and then decides how to spend those profits. As has been the case for the last six years, the Committees and Board of Directors, which is made up of shop owners, shop CFO’s, and administrative managers, decide quickly to return the profits to the MTM Member Owners. That has been the consistent answer for the last six years. This year, the Board declared a dividend of $4.5 million. There was actually three parts of that dividend declaration:
A dividend of $1.6 million allocated to all members.
$2.4 million that goes to members that had a three-year loss ratio that was outstanding, i.e. they’re the ones that made the profit for the year.
$500,000 that is used to make sure that every member gets a minimum dividend of 10%.
Statistics indicate 70% to 80% of individuals experience low back pain in their lifetime. I think most likely, everyone has had a sore back at some point in time.Think back to the last time you were working in your yard or garden, washing your car, cleaning your house, playing with your children/grandchildren. Or maybe your sore back is simply the result of an old bed mattress, saggy couch, sitting in one position for too long or driving a long distance. Could be anything.
A sore back can be the result of lifting, pushing, pulling, holding, carrying, throwing, slip/trip with a fall or without a fall, extended leaning, falling from ground level, falling from a height, climbing, bending, crawling, reaching, twisting, stepping, motor vehicle accident and repetitive motions.
By Ruth Keifer, MSc, ARM, Vice President of Loss Control
Our Michigan manufacturers are a tough and eager breed, our loss control team is starting to get a lot of “when can I get vaccinated” questions from you and your employees. Since this is the current hot topic of the month, we will address the question for you and your employees. Since the over 60 year olds have already had the eligibility to obtain a vaccine, we will address the other age groups.
First we need to establish what is considered a preexisting medical condition: According to the Michigan Department of Health and Human Services (MDHHS) medical conditions that place individuals at increased risk for severe illness from the virus that causes COVID-19 are eligible for vaccination and include: cancer; chronic kidney disease; COPD (chronic obstructive pulmonary disease); Down syndrome; heart conditions, such as heart failure, coronary artery disease or cardiomyopathies; immunocompromised state (weakened immune system) from solid organ transplant; obesity (body mass index [BMI] of 30 kg/m2 or higher but < 40 kg/ m2 ); severe obesity (BMI ≥ 40 kg/m2 ); pregnancy; sickle cell disease; smoking; and Type 2 diabetes mellitus.
For me and the MTM Management Team February is a very busy time. During the first week, we work with our outside actuary to determine profit for the year. This is done by evaluating current report losses, development of existing losses over the future, and estimating losses that we may not yet be aware of. Once the loss evaluation is completed our CFO, Chris Doebler puts together the year-end financial statements. Then on February 4th we have a meeting with the MTM Board Marketing/Underwriting Committee. This committee is made up of 8 shop owners, CFOs, and plant managers. Management presents a dividend recommendation for them to adopt or amend for 2020 results that is paid in March.
On February 11th, the MTM Board Finance Committee met to discuss the financial condition of the company based on the 2020 financial results, evaluate the MTM members dividend recommendation and determine what changes they would like to see. The Finance Committee is also made up of 8 member owners.
By Travis Halsted, ARM, COSS, Loss Control Consultant
As the snow starts to build up, each of us would love to be thinking about the days where we will be turning on the air conditioning. The thoughts of doing our favorite activities in the sun seem to creep into our heads more, and more often. Those days will hopefully be here soon enough, and we should start to think about the preparation of the cooling fans that may be used in your work environment. These cooling fans include, but are not limited to: pedestal fans, box fans, pole mounted fans, industrial drum fans, and even the turbine air movers. With each of these fans there are infractions to be reviewed, and best practices to be considered. These fans are often moved from area to area, and due to this they can have particular items that are damaged, thus causing infractions.
Common Infractions
On any type of cooling fan there are some very common infractions that you can easily identify at a quick glance. Here are a few of those common infractions:
