Tag Archives: Omaha

Major Employer Questions Use Of Drug Formularies In Workers’ Compensation

Today’s post comes from guest author Jon Rehm, from Rehm, Bennett & Moore.

Drug formularies are touted as a way to fight prescription drug abuse and contain prescription drug cost. But one major Nebraska employer appears to be questioning whether drug formularies really contain prescription costs.

In a fiscal note for LB 408, a bill introduced in the Nebraska legislature to create drug formularies for opioid pain medications in workers’ compensation claims, the City of Omaha expressed concern that the inability to substitute for generic medication in a drug formulary could lead to higher prescription costs.

The City of Omaha was echoing widespread concerns about the possibility of conflict of interests in drug formularies. Those concerns were explained by me in a blog post published last December. In short, drug formularies are administered by pharmacy benefit managers. Pharmacy benefit managers make money by negotiating discounts from drug manufacturers. This gives pharmacy benefit managers incentive to put more expensive drugs on drug formularies because they can negotiate a more lucrative discount than they could for a less expensive generic drug.

LB 408 was held in committee by the Business and Labor committee so it is unlikely it will be considered in this legislative session. Opioids abuse is a topic of high interest for political leaders so drug formularies as a way to reduce opioid use will likely be discussed further in Nebraska.

The City of Omaha has a workforce this is more heavily unionized than most other workplaces in Nebraska.  In some instances, labor and management will collectively bargain how some aspects of a workers’ compensation program is to be administered. Supporters of organized labor originated the idea of “labor pluralism” during the New Deal and Post-War era. (4) Labor pluralism means that government should minimize interference between the labor-management relationship.   In a unionized workplace, labor and management have a complicated relationship that is both cooperative and confrontational depending on the circumstances. A mandate from the state requiring the use of drug formularies could be as undermining labor-management relations when a labor and management have bargained about the administration of workers’ compensation benefits.

Nebraska Convenience Store Clerks Need More Protection from Violence

Today’s post comes from guest author Jon Rehm, from Rehm, Bennett & Moore.

Lincoln residents awoke to find out that a convenience store clerk was killed early on Thursday morning at a store in northwest Lincoln. Unfortunately, this type of violence is not uncommon in Lincoln, Omaharural Nebraska or anywhere else in the United States.

While the federal government has long recognized the problem of violence against convenience store clerks working overnight shifts, it has been left to the states and even cities like Milwaukee and Irving, Texas, to write laws and regulations to protect convenience store clerks from violence.

The Indiana Department of Labor did a comprehensive study of measures taken by other states and cities on how they protect convenience store clerks from violence.  Common practices included bulletproof glass and cages to protect clerks in high-risk areas, security cameras, clear views of cash registers, and having at least two clerks on dangerous overnight shifts. Barriers around cash registers in particular would be crucial in high-risk stores that are robbed regularly because robbers will often jump behind unprotected counters.

Though the city of Omaha has done some proactive policing to protect convenience stores in the recent past, neither Omaha, Lincoln nor the state of Nebraska has any legislation, regulations or ordinances in place to protect convenience store clerks from violence. I would encourage Nebraska’s state senators and city council members in Omaha, Lincoln and other Nebraska cities to put laws in place to protect convenience store workers. If you do not know who your state senator is, you can look that up here. Omaha residents can click here to find out how to contact their city council member, and Lincoln residents can click here to find out how to contact their city council member. Nebraska has legislative elections this fall, and Lincoln and Omaha have city elections next spring. I would urge voters in these races to pay attention to which candidates have a good record and ideas about workplace safety and which candidates value profits over safety.

OSHA Investigates October Incident; Also Focuses Efforts on ‘High-Hazard Manufacturing Industries’

Today’s post comes from guest author Rod Rehm, from Rehm, Bennett & Moore.

The U.S. Labor Department’s Occupational Safety and Health Administration recently highlighted two news releases that are related to or will affect workplace safety, workers’ injuries, and workers’ compensation in both Iowa and Nebraska. These two states are in OSHA’s Region 7, along with Kansas and Missouri.

OSHA’s news release on Jan. 14 focused on an incident where a Nebraska worker fell more than 20 feet and died in October of last year. The worker had been employed for Custom Contracting Inc., of Lincoln, for just two weeks, according to the news release from OSHA.

There was no fall protection provided to the workers at their construction site, and “the agency also found the company failed to train workers to:

  • “Recognize fall hazards.
  • “Render first aid.
  • “Operate powered industrial vehicles.

“In addition, guard rails were not installed on open sides and ends of platforms to prevent falls, and lift trucks were found to be modified without manufacturer’s approval,” according to the website.

OSHA proposed penalties of $36,000.

“Fatal incidents like these are entirely preventable. They have tragic consequences for the victims, their families, and their communities,” said Jeff Funke, OSHA’s area director in Omaha, as quoted in the news release. “Construction industry employers must protect workers from falls, which continue to be the leading cause of worker’s death in the construction industry.”

In the second news release from OSHA that I’d like to discuss, a regional emphasis has been announced this is focusing on “high-hazard manufacturing industries” in Nebraska, Kansas and Missouri.

“The increased likelihood that workers in high-hazard manufacturing industries – such as food, furniture, fabricated metal, nonmetallic mineral, machinery and computer products – will be injured on the job is leading federal safety and health inspectors in three Midwestern states to increase its focus on industry outreach and inspections to reduce injury and illness rates,” according to the news release from OSHA.

This “region-wide emphasis program” is expected to last three months and includes “outreach and education to assist employers” to decrease hazards “and increase the probability of inspections at establishments in high-hazard industries with more than 10 employees and those that have not had a comprehensive inspection since 2011.”

If you or a loved one are involved in an incident at work that results in an injury or death, please contact an experienced workers’ compensation lawyer. This person should also be able to help report your concerns to OSHA as applicable.