Return on investment analysis for pre-hiring medical exams
With many industries facing labour shortages, it is even more important not to let a good candidate slip through your fingers. The financial health of your business is closely linked to the health of your employees. Avoid costly hiring mistakes with sound management practices.
A candidate with functional limitations that are incompatible with a task’s requirements will suffer an injury one to five years after being hired.
About 4%-5% of candidates for a given position have functional limitations that restrict their ability to do the job safely.
The incidence of lumbar lesions among workers with physical abilities to perform the duties required in their work was 3%. However, among workers who did not demonstrate strength or physical ability to perform their work, there was a 33% incidence of lumbago.
ROI calculation for 100 pre-employment exams performed1
Data used for the calculation:
Number of unsuccessful candidates following a pre-hiring medical exam : 4 on 100
Average cost of a workplace injury : $32,987
Number of candidates : 100
Average cost of a pre-employment exam : $200
( 4 X $32,987 $ ) / ( 100 X $200 ) = $6.60
The average return on investment of a pre-employment medical program is $6.60 for every $1 invested
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Our state-of-the-art technology makes it possible to send results within an hour of a clinical exam’s completion. That’s less time than it takes for a candidate to change his or her mind. It’s all the time you need to get the facts and make an informed decision.
1Sources :
- Institut de recherche Robert-Sauvé en santé et en sécurité du travail, Les coûts des lésions professionnelles au Québec 2005-2007, June 2014 (revised version), 87 p. [RAPPORT R-676].
- United States department of labor, "$afety Pays" program, [Online], 2015 [https://www.osha.gov/dcsp/smallbusiness/safetypays/].