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Safety Risks in the Changing Workplace

Small businesses can remedy these critical safety risks in the modern workplace.
By: | August 8, 2017 • 5 min read

The age spectrum of the American workforce is widening. Older, retirement-eligible employees are staying on the job longer, sometimes due to financial constraints, and sometimes simply because they want to. Meanwhile, Millennials are making up a larger proportion of payrolls. By 2025 this generation will constitute 40 percent of the American workforce.

The definition of a “workplace” is also expanding. Technology is revolutionizing where, when and how we work, with more employees doing their jobs from home or on the road. While these changes can certainly open up business opportunities, their convergence also increases risk for unprepared employers.

“As the workforce changes, workplace safety risks are also morphing,” said Woody Dwyer, Workers’ Comp Lead, Risk Control, Travelers. “These changes mean employers have to adjust the way they think about keeping workers safe and well.”

In particular, small businesses face unique challenges, balancing safety and wellness against operational needs while they fight to stay competitive. But even they can leverage limited resources to improve safety for employees no matter where, when or how they work.

Here are some ways to remedy key safety risks in the modern workplace:

Safety Risk #1: A Changing Workforce

Woody Dwyer, Workers’ Comp Lead, Risk Control

The average age of the American worker is slowly moving upward as Baby Boomers delay retirement. While employers get to hold on to the knowledge, skills and expertise of their veterans a little longer, they also have to consider safety challenges that become more prevalent with older workers.

“Injury frequency and severity are higher for both new, young workers as well as older, retirement-eligible workers,” Dwyer said. “But the two groups may have different experiences and different mindsets, so their attitudes toward and awareness of safety might be different. Therefore, you need to tailor training differently.”

Remedy: Though the approach may vary, it all comes down to training and reinforcing the safety expectations and culture.

“For an older population, practicing the principles of ergonomics can be impactful,” Dwyer said. Continual safety training and instruction around proper ergonomics is paramount, even for longtime employees. Employers shouldn’t assume that more experienced workers know how to move safely. Reinforcements, reminders and course corrections have value.

“Different companies have different safety practices, and the physical capabilities of workers nearing or past retirement age will be different from those of a recent graduate,” Dwyer said.

With young workers, building safety awareness can begin even before hiring.

“Job descriptions should reflect an emphasis on safety. And behavioral interviewing can identify safety-minded candidates, by asking them how they have responded to risk in previous work scenarios,” Dwyer said.

Carrying through an emphasis on safety during onboarding also drives the message home for younger and older workers alike. Onboarding should consist of hands-on training and practice. For a small retail store, for example, this could include practicing proper reaching and lifting techniques, and safe ladder use.

Safety Risk #2: Tech Revolution

Wearables and sensors have become popular tools for both safety and wellness.

On construction sites or in manufacturing, for example, proximity sensing can alert a worker if they are too close to a piece of machinery or moving equipment, or let a supervisor know if a worker has fallen. There are many sensor-based safety devices on the market, many of them wearable. Wearable fitness trackers and sit-stand desks have also gained popularity as tools to promote overall wellness in the workplace.

Small businesses may be more likely to take advantage of these latest tech tools because they aren’t encumbered by large, complex existing systems; they can change and adapt more easily. And incorporating cutting edge tech can also help to attract talent.

But there is risk involved if these companies don’t do their due diligence.

Remedy: “Be a smart consumer of technology,” Dwyer said.

“Will a piece of technology provide long term value for you? How will you implement it? How will you store and protect the data?  Will your workers accept it?” There are generational differences in attitude toward any type of tracking device. Millennials are more willing to give up personal data if they can see a benefit in it.

Employers can also provide guidelines on how to use new tools. For sit-stand desks, for example, workers should switch positions regularly to minimize stress on the body. Using a foot bar when standing can also help to take pressure off the lower back.

“Some reports say sitting is the new smoking, but standing for long periods is not good for the body either,” Dwyer said.

Safety Risk #3: Open to Distraction

Open workspaces foster collaboration — but can also usher in distraction. Especially in an office setting where workers may be on the phone frequently, an open workspace can be counterproductive.

The more distracted workers are, the more susceptible they may be to slips, trips and falls — one of the most common causes of workplace injuries.

Remedy: Dwyer recommends having designated quiet work areas where employees can escape the noise.

Companies should also have policies to restrict the use of mobile devices in hazardous work areas such as active construction sites, manufacturing areas, or while driving.

“Cubicle and desk design matter in an office setting, too,” he said. “Consider the design and layout of your floor plan, and work with your furniture vendor to make sure everyone will have the space to do their jobs comfortably.

Safety Risk #4: Borderless Business

Thanks to cloud technology and globalization, everything is interconnected, and even small businesses are likely to have some type of international footprint. Which means more trains, planes and hotel stays for employees.

Travel imposes its own stresses on the body and can cause extra fatigue. It might involve late-night driving or being in unfamiliar environments, which increases risk of injury.

Controlling workers’ environments while they’re on the road may not be possible, but employers can provide training to improve safety and security awareness while traveling.

Remedy: “Ergonomics and situational awareness matter out of the office too,” Dwyer said.

To help workers cope with fatigue and navigate unfamiliar places, companies should schedule work to help avoid late hours while traveling and encourage employees to get adequate rest before driving. They can also encourage mindfulness.

“When in strange new places, you need to have a heightened sense of awareness and alertness because you can’t count on the familiar to keep you safe,” Dwyer said.

Even in familiar settings, applying ergonomics reduces risk of injury.

“Use rolling bags when possible, or backpacks that distribute weight evenly, which can reduce pressure on the back when you’re traveling all day. Proper footwear also helps to improve comfort and to reduce the risk of slips, trips and falls,” he said.

Hotel rooms and meeting areas may also be more dimly lit. Workers on the road can protect their eyes by seeking spaces with proper lighting.

Address Evolving Risks through Ongoing Engagement

These are just four of the challenges small businesses will face as workplace and workforce risks continue to evolve, but these and many workplace safety risks can be mitigated in part by a focus on overall well-being.

In addition to providing safety training, implementing new tools and technologies, and developing policies and procedures, investing in employees’ wellness also builds trust and loyalty while helping to prevent injuries. As rising medical expenses drive up claims costs, prevention can help win the day for small businesses with little margin to spare.

“Many small businesses think they don’t have the money for wellness programs, but it can be done in small and simple ways,” Dwyer said.

Offering biometric screens at work, organizing company walks, working with local gyms to provide discounts, or simply gathering resources on wellness for employees to access on their own can benefit employees’ health.

Investing in wellness initiatives can in turn improve employee engagement with other efforts around ergonomics and safety.

Travelers helps small businesses effectively improve workplace safety by attracting and hiring safety-minded candidates, onboarding and training new employees, and continually supporting and engaging those employees through Travelers Workforce AdvantageSM, its comprehensive approach to safety and workers’ comp management.

“The approach hits the three key areas where employers can maximize their safety message: hiring, onboarding and training, and continual engagement,” Dwyer said. No matter how the workforce and workplace continue to evolve, putting safety first will always pay off for employers.

To learn more, visit https://www.travelers.com/resources/workplace-safety/helping-employers-manage-a-safer-workforce.aspx.

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This article was produced by the R&I Brand Studio, a unit of the advertising department of Risk & Insurance, in collaboration with Travelers. The editorial staff of Risk & Insurance had no role in its preparation.




The Travelers Companies, Inc. (NYSE: TRV) is a leading provider of property casualty insurance for auto, home and business. A component of the Dow Jones Industrial Average, Travelers has approximately 30,000 employees and generated revenues of approximately $28 billion in 2016. For more information, visit www.travelers.com.

Cyber Resilience

No, Seriously. You Need a Comprehensive Cyber Incident Response Plan Before It’s Too Late.

Awareness of cyber risk is increasing, but some companies may be neglecting to prepare adequate response plans that could save them millions. 
By: | June 1, 2018 • 7 min read

To minimize the financial and reputational damage from a cyber attack, it is absolutely critical that businesses have a cyber incident response plan.

“Sadly, not all yet do,” said David Legassick, head of life sciences, tech and cyber, CNA Hardy.

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In the event of a breach, a company must be able to quickly identify and contain the problem, assess the level of impact, communicate internally and externally, recover where possible any lost data or functionality needed to resume business operations and act quickly to manage potential reputational risk.

This can only be achieved with help from the right external experts and the design and practice of a well-honed internal response.

The first step a company must take, said Legassick, is to understand its cyber exposures through asset identification, classification, risk assessment and protection measures, both technological and human.

According to Raf Sanchez, international breach response manager, Beazley, cyber-response plans should be flexible and applicable to a wide range of incidents, “not just a list of consecutive steps.”

They also should bring together key stakeholders and specify end goals.

Jason J. Hogg, CEO, Aon Cyber Solutions

With bad actors becoming increasingly sophisticated and often acting in groups, attack vectors can hit companies from multiple angles simultaneously, meaning a holistic approach is essential, agreed Jason J. Hogg, CEO, Aon Cyber Solutions.

“Collaboration is key — you have to take silos down and work in a cross-functional manner.”

This means assembling a response team including individuals from IT, legal, operations, risk management, HR, finance and the board — each of whom must be well drilled in their responsibilities in the event of a breach.

“You can’t pick your players on the day of the game,” said Hogg. “Response times are critical, so speed and timing are of the essence. You should also have a very clear communication plan to keep the CEO and board of directors informed of recommended courses of action and timing expectations.”

People on the incident response team must have sufficient technical skills and access to critical third parties to be able to make decisions and move to contain incidents fast. Knowledge of the company’s data and network topology is also key, said Legassick.

“Perhaps most important of all,” he added, “is to capture in detail how, when, where and why an incident occurred so there is a feedback loop that ensures each threat makes the cyber defense stronger.”

Cyber insurance can play a key role by providing a range of experts such as forensic analysts to help manage a cyber breach quickly and effectively (as well as PR and legal help). However, the learning process should begin before a breach occurs.

Practice Makes Perfect

“Any incident response plan is only as strong as the practice that goes into it,” explained Mike Peters, vice president, IT, RIMS — who also conducts stress testing through his firm Sentinel Cyber Defense Advisors.

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Unless companies have an ethical hacker or certified information security officer on board who can conduct sophisticated simulated attacks, Peters recommended they hire third-party experts to test their networks for weaknesses, remediate these issues and retest again for vulnerabilities that haven’t been patched or have newly appeared.

“You need to plan for every type of threat that’s out there,” he added.

Hogg agreed that bringing third parties in to conduct tests brings “fresh thinking, best practice and cross-pollination of learnings from testing plans across a multitude of industries and enterprises.”

“Collaboration is key — you have to take silos down and work in a cross-functional manner.” — Jason J. Hogg, CEO, Aon Cyber Solutions

Legassick added that companies should test their plans at least annually, updating procedures whenever there is a significant change in business activity, technology or location.

“As companies expand, cyber security is not always front of mind, but new operations and territories all expose a company to new risks.”

For smaller companies that might not have the resources or the expertise to develop an internal cyber response plan from whole cloth, some carriers offer their own cyber risk resources online.

Evan Fenaroli, an underwriting product manager with the Philadelphia Insurance Companies (PHLY), said his company hosts an eRiskHub, which gives PHLY clients a place to start looking for cyber event response answers.

That includes access to a pool of attorneys who can guide company executives in creating a plan.

“It’s something at the highest level that needs to be a priority,” Fenaroli said. For those just getting started, Fenaroli provided a checklist for consideration:

  • Purchase cyber insurance, read the policy and understand its notice requirements.
  • Work with an attorney to develop a cyber event response plan that you can customize to your business.
  • Identify stakeholders within the company who will own the plan and its execution.
  • Find outside forensics experts that the company can call in an emergency.
  • Identify a public relations expert who can be called in the case of an event that could be leaked to the press or otherwise become newsworthy.

“When all of these things fall into place, the outcome is far better in that there isn’t a panic,” said Fenaroli, who, like others, recommends the plan be tested at least annually.

Cyber’s Physical Threat

With the digital and physical worlds converging due to the rise of the Internet of Things, Hogg reminded companies: “You can’t just test in the virtual world — testing physical end-point security is critical too.”

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How that testing is communicated to underwriters should also be a key focus, said Rich DePiero, head of cyber, North America, Swiss Re Corporate Solutions.

Don’t just report on what went well; it’s far more believable for an underwriter to hear what didn’t go well, he said.

“If I hear a client say it is perfect and then I look at some of the results of the responses to breaches last year, there is a disconnect. Help us understand what you learned and what you worked out. You want things to fail during these incident response tests, because that is how we learn,” he explained.

“Bringing in these outside firms, detailing what they learned and defining roles and responsibilities in the event of an incident is really the best practice, and we are seeing more and more companies do that.”

Support from the Board

Good cyber protection is built around a combination of process, technology, learning and people. While not every cyber incident needs to be reported to the boardroom, senior management has a key role in creating a culture of planning and risk awareness.

David Legassick, head of life sciences, tech and cyber, CNA Hardy

“Cyber is a boardroom risk. If it is not taken seriously at boardroom level, you are more than likely to suffer a network breach,” Legassick said.

However, getting board buy-in or buy-in from the C-suite is not always easy.

“C-suite executives often put off testing crisis plans as they get in the way of the day job. The irony here is obvious given how disruptive an incident can be,” said Sanchez.

“The C-suite must demonstrate its support for incident response planning and that it expects staff at all levels of the organization to play their part in recovering from serious incidents.”

“What these people need from the board is support,” said Jill Salmon, New York-based vice president, head of cyber/tech/MPL, Berkshire Hathaway Specialty Insurance.

“I don’t know that the information security folks are looking for direction from the board as much as they are looking for support from a resources standpoint and a visibility standpoint.

“They’ve got to be aware of what they need and they need to have the money to be able to build it up to that level,” she said.

Without that support, according to Legassick, failure to empower and encourage the IT team to manage cyber threats holistically through integration with the rest of the organization, particularly risk managers, becomes a common mistake.

He also warned that “blame culture” can prevent staff from escalating problems to management in a timely manner.

Collaboration and Communication

Given that cyber incident response truly is a team effort, it is therefore essential that a culture of collaboration, preparation and practice is embedded from the top down.

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One of the biggest tripping points for companies — and an area that has done the most damage from a reputational perspective — is in how quickly and effectively the company communicates to the public in the aftermath of a cyber event.

Salmon said of all the cyber incident response plans she has seen, the companies that have impressed her most are those that have written mock press releases and rehearsed how they are going to respond to the media in the aftermath of an event.

“We have seen so many companies trip up in that regard,” she said. “There have been examples of companies taking too long and then not explaining why it took them so long. It’s like any other crisis — the way that you are communicating it to the public is really important.” &

Antony Ireland is a London-based financial journalist. He can be reached at [email protected] Dan Reynolds is editor-in-chief of Risk & Insurance. He can be reached at [email protected]