Bringing Absence Management Out Of The Age Of Silos

One of the key factors involved in the managed disability equation is having a well-defined, flexible wellness program that can be tailored to each organization's special needs. Healthy employees tend to be happier and more productive employees.

A second key factor is having a well-balanced employee assistance program with immediate, unlimited telephone access 24/7, and work-life services. Providing a source for immediate personal service from professionals that offer support, referrals, and problem resolution for both personal and work issues can be a tremendous absence prevention vehicle.

A third key factor is availability of a comprehensive leave management administration service. The service should offer detailed STD, absence tracking and reporting tools.

Historically, employers would seek out vendors to administer their Employee Assistance Program, one for their short-term disability program, another for their FMLA administration, and so on. However, the trend today is to utilize a vendor that can deliver all services under one roof. Integrating these services will provide optimal results whether they are done in-house or outsourced, and there is a growing trend for outsourcing primarily with mid-sized to large-sized companies.

Benefits of integration

Absenteeism has both direct and indirect impacts on an organization's bottom line. Therefore, any program that can help reduce the number of absences or the length of each absence is preferred.

Outside vendors that link leave administration with disability administration can provide a single point of contact for absences, allowing for easier administration than would be possible if the services were being provided by multiple vendors.

Having a single source to call or notify for an absence of any type simplifies the process for employees (i.e. notifying the employee's immediate supervisor, leave management administrator, short-term disability claims administrator, etc.). That being said, it is reasonable to assume that, from the employee's perspective, having a single vendor who is able to integrate benefits administration should increase employee satisfaction and morale.

Integrating STD and FMLA leave administration also can help the employer, in part by ensuring that the administrators who handle both types of leave will be able to share vital information, such as reported absences and disability claim information, and to reduce cost and duplication of effort.

The integrated approach allows the administrator to make one call to the doctor or make one request for a physician statement for both FMLA and STD claims, avoid having to coordinate with an outside source to share information on a claim, and minimize the confusion about who to call if the employer, or the employer's benefits advisor, has a FMLA question vs. an STD claim question.

Web-based applications now can assist employers and benefits advisors with filing claims, inquiring about claims, and collecting and analyzing claim data.

In 2006, UNUM Group Corp., Chattanooga, Tenn., compared customers with integrated leave management services to customers having only disability management.

The company found that customers with integrated FMLA and disability management services reported claims costs that were lower by $12,000 per 100 disability claimants than the costs reported by customers that used only disability management services.

Brian Cooke is director of product management at Custom Disability Solutions, South Portland, Maine. He can be reached at