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Swift Staffing Solutions HR Files – Fraudulent Worker’s Compensation Claim

We have started a new segment allowing managers to ask questions that will be answered directly by our CEO, Darcy Swift. This month’s question is:

QUESTION: I have an employee that filed a Worker’s Comp claim saying they slipped on the wet floor and fell down some stairs, breaking her ankle. I investigated and came up with the same story and her right foot was in a cast so I approved the claim. A month later I overheard her telling a co-worker that she broke her ankle on a boat after falling on it wrong. The claim has been approved and she has received her medical benefits but now I know it was fraudulent. Is there anything I can do about it at this point? Should I just let it go? She’s a great worker, I don’t want to fire her but knowing this information I’m worried has put my own job in jeopardy as I am afraid people may think we conspired together. What is the best course of action at this point? 

ANSWER: In a situation like this, legally it’s out of your hands. Anytime you find out new information about a claim, you should always notify the HR Department. This not only is the ethical thing to do, but it also covers you. If anyone were to report her and you have not take the appropriate measures, then you run the risk of being accused of helping her.

To avoid this, be sure to tell the HR director the information you found out and let them handle it. Likely, they will do their own investigation and come to a settlement with the employee while also choosing any other course of action they deem necessary. Great employees can still do tricky things. It’s important to keep a professional mindset when handling issues such as this.

If you have a question you want answered, please contact us here. We will feature one frequently asked question a month.