Washington Business Spring 2012 | Page 26

what’s working “In a tough economy, CompWise drives down costs.” – Debra Brown, president, Forterra, Inc. retro awb’s compwise retro program offers groups in the following industries: • Facility & Property Management • Hospitality & Entertainment • Manufacturing • Service/Retail/Wholesale • Transportation CompWise is one of several public-private “retro” programs offered through the Department of Labor & Industries. Qualifying businesses can join a retro group as a way to lower their industrial insurance costs. Participants continue to pay their quarterly workers’ compensation premiums to the state Department of Labor & Industries, but the premiums are pooled together. At the end of the plan year, officials take a “retrospective” look back. If premiums exceeded claims costs, surplus premiums are refunded to members. Last year, participants in CompWise shared more than $9.4 million in premium refunds, an amount that’s been steadily rising. In 2009, refunds totaled more than $4.2 million. The increase follows the overall trend in workplace safety. Workplace injury rates have been dropping in Washington for years, according to the state Department of Labor & Industries. Unlike some programs, AWB returns 100 percent of refunds to employers. Participants pay an administrative fee up front, and refunds are determined based on merit. Employers with the best safety record receive a higher portion of the refund, which creates an incentive to strengthen safety practices. Indeed, CompWise has been on something of a roll lately. Payouts have been up during the last year, said Debra Brown, president of Forterra, Inc., AWB’s service corporation. “In a tough economy, CompWise drives down costs,” Brown said. culture of safety Olympia-based coffee company Batdorf & Bronson has used CompWise since 1997. The financial benefit is a major reason the company has remained part of the program, said Jenny Huff, human resources director. “We get back almost 15 percent of our premium just about every quarter,” Huff said. “Our last check was almost $8,000.” But Huff, who also serves as Batdorf ’s safety manager, appreciates the emphasis that CompWise places on good safety practices, as well. It helps lend a sense of legitimacy to the measures she would be pushing for anyway, she said. “I think being part of a program like this really helps you to be motivated and raise expectations and practices in safety management,” Huff said. “This helps to enforce it with managers and owners. You can say, ‘Look, this is why I have safety committee meetings.’” 24 association of washington business