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OFF BEAT: Staffing firm offers rewards for workers comp fraud reporting

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A temporary staffing firm says it will pay up to $10,000 in reward money to employees reporting co-workers they suspect of committing workers compensation fraud.

AtWork Group, a Knoxville, Tenn.-based staffing company franchisor, says it is putting up 3-foot-by-4-foot reward posters in its branch locations announcing the offer.

The company hopes the reward money and posters will serve as a psychological deterrent to an “alarming trend” of workers comp fraud, said Jason Leverant, AtWork Group’s chief operating officer.

“We believe our program will not only make it easier for employees and others to report suspected workers compensation fraud, but by offering a financial reward, we will see a reduction in the number of fraudulent claims filed by workers each year,” Mr. Leverant said in a statement.

But the reward offer from comes with terms and conditions that must be met. For instance, the amount of reward paid out will depend on the successful prosecution of a perpetrator and the monetary amount of their fraud.

Employees who want to remain anonymous when reporting fraud, rather than publicly helping with a prosecution, would receive less money, Mr. Leverant said.

With the company’s insurance costs increasing, deterring fraud is a way to promote savings, Mr. Leverant said in a telephone interview.