Wednesday, October 20, 2010

Workers’ Compensation Updates, Conference, and Initiatives


It’s all about jobs.

The challenge for Illinois’ future is to create, keep and grow jobs and employment opportunity even though the state has achieved a reputation for having an anti-business political climate.

Our political leaders can start to turn around Illinois’ economic condition and political reputation by reducing the cost of doing business in this state. Workers’ compensation is one of the fundamental issues that elected officials must address if we are to improve competitiveness and successfully restore jobs.

Yes, there were legislative changes adopted in 2005, but the changes have not lowered costs and are not worthy of being characterized as “reform.” If Illinois’ rankings are to improve significantly, nibbling at the edges and adopting only marginal adjustments are simply not enough.

That’s why the Illinois Chamber has taken the lead in pushing for workers’ compensation reform.

Already, the Chamber has:

Successfully fought the government’s imposition of excessive fees to fund the state’s Workers Compensation CommissionOrganized a conference this month that will give business leaders vital information about the newest workers’ compensation issues.Planned a workers’ compensation reform campaign, which will kick off at the conference and be focused on next session of the Illinois General Assembly.

The Chamber would like your feedback to help us achieve workers’ compensation reform in this state. Let us know about outrageous workers’ compensation cases. Give us guidance on what should be changed at the Workers’ Compensation Commission.

Let’s work together to make Illinois a better place to do business.

Litigation Settlement

Illinois businesses will save millions in assessments and benefit from operational improvements at the Worker’s Compensation Commission in the coming years as a result of the Chamber’s legal victory.

The most immediate benefit for employers and insurers is that the Commission will skip the next three assessments for the Rate Adjustment Fund (RAF) beginning January 2011. This will save businesses about $27 million over the next 18 months.

The court’s settlement order also instructs the Workers’ Compensation Commission to spend $30 million to improve transparency, efficiency and operations. The court retains control of the funds and must approve the state’s requests to withdraw funds. The Illinois Chamber has authority to monitor the use of the funds and has already initiated conversations with the Commission to begin the implementation process, which will occur over many months.

Chamber members are encouraged to offer ideas that would result in more efficient Commission operations. All comments are welcome, but you should know the primary focus of improvements will be directed at modernization of information technology capabilities. The existing systems are obsolete, inefficient and lack modern online functionality.

Workers’ Compensation Conference

Business owners, CFOs, HR professionals and risk managers can stay current with cost, fraud, legal and liability issues at the Illinois Chamber’s second annual fall conference on workers’ compensation. The event will take place Oct. 28 at the Marriott Chicago Oak Brook Hotel, 1401 West 22nd St. , Oak Brook, Illinois. The cost is $199 for members and $249 for non-members. You may register online at www.ilchamber.org.

At this conference, the Chamber will announce the campaign for worker’s compensation reforms that will be pursued during the next session of the Illinois General Assembly. We will:

Make the case for why the next round of workers’ compensation reforms must move forward.Introduce components of the Chamber’s WC Action Agenda.Solicit the input and commitment from conference attendees to help build a compelling case for legislative and governmental action aimed at reducing workers’ compensation costs in Illinois.

Why Reform is Important

Numerous multi-state comparative rankings that measure economic performance have consistently shown Illinois to have low standing when compared with high-growth states.

Chief Executive Magazine ranked Illinois’ business climate 46th in the country in 2010. The ALEC-Laffler State Competitive Index of 2010 ranked Illinois 48th in economic performance and 48th in job creation from 1998 to 2008, trailing only Ohio and Michigan. Only New York and California had more outward population migration than Illinois during the same period, suggesting that 640,000 people envisioned greater economic opportunity existed elsewhere.

Until we enact meaningful reform, the states that border Illinois will continue to flaunt their lower workers’ compensation costs.

For example:

In 2005, Missouri lawmakers enacted reforms and have since seen their costs drop more than 20 percent. Since 2006 the total average increase in Illinois workers’ compensation rates was 16.4 percent, and 6.3 percent in 2009 alone. During the same period, average rates for workers’ compensation across the country decreased 17.1 percent.Thirty states saw average rate reductions in 2008-2009, while Illinois joined only four other states that had an average recommended rate increase, according to NCCI Illinois State Advisory Forums.Indiana (2nd), Wisconsin (14th), Iowa (15th) and Missouri (31st) all ranked higher than Illinois (38th) in the 2008 Actuarial & Technical Solutions, Inc. State Rankings of Workers’ Compensation Comparative Costs for Manufacturers. This is another example of how neighboring states can tout their workers’ compensation cost advantage to Illinois employers and businesses that are planning job expansions in the region.

A number of states that compete with Illinois have addressed or are addressing their workers’ compensation cost issues and employers in those states are experiencing significant reductions in costs. Florida’s workers’ compensation rates fell more than 18 percent in 2009. Florida businesses have seen an average decrease in workers’ compensation costs of more than 65 percent since 2006. Colorado businesses experienced a 16 percent reduction for workers’ compensation in 2009, will see an additional 9.7 percent decrease in 2010 and have seen a 36.2 percent reduction since 2006. Arkansas workers’ compensation rates decreased nearly 20 percent the past two years and Pennsylvania has experienced a 19 percent reduction since 2006 as well.

Economists predict there will be a slow recovery to the current recession, but the economy will turn positive over the next two years. Thus, it is critical for Illinois political leaders to undertake the necessary changes that will position our state to be cost competitive when the recovery occurs.

Member Input and Engagement is Imperative

In order to build the case for reform, the Illinois Chamber needs employers to weigh in with examples of the most egregious workers compensation cases they have experienced. The objective is to establish a substantial record that demonstrates the irrational ills of a workers’ compensation system that has lost touch with common sense and caused employers to despair.

We also need employers with multi-state operations to provide good comparative data on costs, as well as sharing contrasting experiences that demonstrate how Illinois' workers' compensation operations can be streamlined, improved or made more efficient from the employers’ point of view. Contact us via e-mail through the Illinois Chamber’s Employment Law Council at sarahlynnseiz@gmail.com or by regular mail to: Jay Shattuck, Illinois Chamber Employment Law Council, 600 S. Second St. Suite 101, Springfield, Illinois 62704.

Monday, October 18, 2010

Featured Member - ONFX ~ Rudy Espinosa



How would you describe your line of work?

I like to help small business owners present and market their business online. Every business, small or large, should have a website. It is just as necessary as a business card these days. Your business must have these in place to operate and gain additional clients.

I recently sent out my first newsletter through the Lombard Chamber. I informed members that I now offer small business online marketing or SEO. SEO is short for Search Engine Optimization. If you want your website to appear in Google when someone searches for a specific set of words, I can help you!

If you need assistance marketing to the Latino community, I can help you too. Spanish is my native language. You may want to contact me soon. I have been told on forums recently by the SEO experts that my 2nd language will present opportunities with low competition. I may become too expensive soon and will walk around with my nose in the air. Just kidding!

How did you become interested in this line of work?

I reserved my first domain name and setup my first website in the mid 90’s. As a kid, I loved to draw. My parents gave me my first computer in the 80’s. So, when I discovered that I could create something online and anyone with a computer (and the internet) could instantly see it --- I was hooked!

What is your favorite part of your job?

Showing off the new website to a client is cool. The only thing better, is the emotional reward when someone expresses their gratitude and appreciation for helping present their business online.

What is your least favorite part of your job?

I sincerely provide more than a client expects. I know it is a business but I take great pride in my work and my relationship with the client. I understand that small business owners have a tight budget. So, it is hard for me to tell someone that I can only provide X amount of services for X amount of dollars.

What does a day in the life of “Rudy Espinosa @ ONFX” consist of?

Wake up

Drink a protein shake

Start work

Eat

Work

Work out

Eat

Work

Eat

Finish work

What would you like your fellow Chamber members to know about you?

I am preparing for “2012”! LOL!

That was a joke (though I am probably the only one laughing), but I do feel like I am training for the so called “2012” event! I have been lifting weights for several years. A few years ago I built a solid 25 pounds of muscle. But 5 meals a day plus 3 protein shakes was too much work. So, I lost 25 pounds since then. My new goal is a six pack. I once tried the Adkins diet, but I gave up after 1 hour. I love bread and I especially love tortillas! For that reason, I do cardio just to look average, LOL! About a year ago, I took up jump roping and I am known as the “jump rope guy” at the gym. Twice a week, I try to play pool volleyball. About 5 months ago, I began Yin Yoga. If there is only 1 thing I could tell my fellow chamber members, it would be to try yoga. It helps many aspects of your life; physically and mentally. It helped me finally break my bench press plateau. I firmly believe it will help me regain the full split that I used to show off when I was a break dancer in the 80’s, LOL! I also read recently in my Esquire magazine, that certain poses help your stature and even help you appear taller. I am barely average height, so I need all the help I can get, LOL! More importantly, I have discovered that I will maintain a healthy back. I am in my mid 40’s and in the best shape of my life thanks to yoga. I urge everyone to try yoga.

Visit the website at www.onfx.com


Thursday, October 7, 2010

Featured Member - Mr. Appliance

It Takes Two To Repair

Chicago Father, Son Open New Appliance Repair Business

Father, son duo, Leroy and Nicholas Litzhoff announce the startup of their full-service appliance repair business, Mr. Appliance® of the West and Northwest Chicago Suburbs. With each other’s support, the pair plans on becoming the community appliance repair expert.

“Mr. Appliance of the West and Northwest Chicago Suburbs will have the personal touch of a locally owned operation,” Leory Litzhoff said. “The technology and systems in place at Mr. Appliance will help us deliver faster, more reliable service.”

Upon purchasing the business, the Litzhoff’s attended a five-day training course on the latest technology and customer service techniques. They plan to create jobs and generate business for their community, as well as provide great service to their customers.

“We follow a professional system at Mr. Appliance. Our service professionals wear shoe covers inside homes and use a menu pricing guide so there are no surprises,” said Doug Rogers, president of Mr. Appliance Corp. “We’re delighted that Leroy and Nicholas have joined us, and we believe their business will be successful because we all operate under the same core values.”

The Litzhoff’s wanted to have a business founded on quality systems and customer services. The way they treat customers is unsurpassed.

“When we started researching for our own business, we wanted something that would give us the opportunity to capitalize on my mechanical aptitude and problem solving skills,” Litzhoff said. “When we found Mr. Appliance, we knew it was the right business for us.”

Mr. Appliance of the West and the Northwest Chicago Suburbs serves Cook, Du Page and Will counties.

Contact information