Workers' Compensation Payroll Department Checklist
Workers' Compensation Payroll Department Checklist
Payroll plays an important role in workers' compensation administration. Accurate employee, wage, hours-worked, classification, and payment records can help employers manage workplace injury claims and respond to requests from insurance carriers, claims administrators, and government agencies.
Confirm that employees are properly included in workers' compensation coverage
Maintain current workers' compensation insurance and carrier information
Review employee classifications and job duties for accuracy
Maintain accurate employee work locations and states of employment
Maintain accurate employee hire and termination dates
Maintain complete payroll and hours-worked records
Maintain accurate regular pay rates and salary information
Track overtime, bonuses, commissions, and other compensation
Maintain records of wage and compensation changes
Maintain payroll records for employees who have transferred, terminated, or changed positions
Establish a procedure for promptly reporting workplace injuries to HR or the designated workers' compensation contact
Record the date and time an employee reports a workplace injury
Provide accurate employee and payroll information to the workers' compensation carrier or claims administrator when requested
Track time missed from work because of a workplace injury
Track workers' compensation payments separately from regular wages
Track salary continuation, paid leave, and other employer-paid compensation after an injury
Track vacation, sick leave, PTO, and other paid leave used during a workers' compensation claim
Accurately document pre-injury wages and hours when requested
Accurately document post-injury wages and hours when requested
Track reduced hours resulting from a workplace injury
Track modified-duty or light-duty earnings
Document changes in an employee's pay, hours, duties, or work status following an injury
Coordinate return-to-work payroll changes with HR and the workers' compensation claims administrator
Respond promptly to wage and employment information requests
Review payroll information for accuracy before submitting it for a workers' compensation claim
Maintain documentation supporting payroll information submitted for workers' compensation claims
Maintain records needed for workers' compensation premium audits
Separate payroll information by employee, state, classification, and other categories when required
Review workers' compensation payroll reports for discrepancies
Coordinate workers' compensation payroll information with HR, management, safety personnel, and the claims administrator
Maintain appropriate confidentiality of employee medical, wage, and workers' compensation information
Limit access to workers' compensation information to authorized personnel
Retain workers' compensation payroll records according to applicable federal and state requirements
Review workers' compensation procedures when employees begin working in a new state
Review workers' compensation procedures when employees change jobs, locations, classifications, or compensation
Verify that payroll systems properly identify workers' compensation-related payments and earnings
Periodically review workers' compensation payroll procedures for compliance with applicable state requirements
Verify current state-specific workers' compensation requirements when processing claims or payroll changes
Keep current contact information for workers' compensation carriers, claims administrators, and applicable state agencies
Recommended Workers' Compensation Training
How Workers' Compensation Works Learn the fundamentals of workers' compensation, including claims, benefits, employer responsibilities, and return-to-work considerations.