At the conclusion of fiscal year 2007, the City of Shreveport's incurred
claim cost reflects a 47% decrease from the previous year. Incurred
cost represents the estimated total paid when all reported claims have
been closed. Even though our workers' compensation experience has shown
improvements in the past years, the city must improve it strategies to
further reduce the number of on-the-job injuries and cost associated
with workers' compensation claims.
The greatest potential for cost containment lies with district staff.
The best and most effective way to control costs associated with
on-the-job injuries is to prevent on-the-job injuries. Aside from injury
prevention, the most effective way to control workers' compensation
costs is the implementation of a return-to-work program. Expediting the
return of injured employees to productive work activities minimizes the
disruption of normal operations and reduces overall worker's
The main drivers for the high claims cost are extremely high medical costs per claim and longer duration of disability compared to other states. In standard industry for every $1 in direct workers' compensation cost, an organization will realize $4 in indirect cost. Indirect cost included work disruption, lost productively, temporary help or overtime, hiring, and training cost, and poor morale.
Return to Work Program (RTW)
A RTW program is the cornerstone of an overall successful Workers' Compensation Program and should be viewed as a benefit. The timely return of injured workers' to productive roles in the COS Workforce is one of the key components of the Division of Workers' Compensation.