Workers' comp reform in the works

By CMTA Staff

Capitol Update, Aug. 30, 2012 Share this on FacebookTweet thisEmail this to a friend

CMTA supports SB 863 (Kevin de León, D-Los Angeles) to lower the cost of workers’ compensation while providing increased permanent disability benefits.  The bill must pass before close of session on Friday, August 31st, this week.

CMTA supports a workers’ compensation system that provides fair compensation to injured workers while protecting California employers from excessive litigation and other expense.  System costs are now too high, creating the fifth highest workers’ compensation premiums in the nation.  Costs are likely to rise further, putting jobs and the economy at risk.  For that reason it is vital that any benefit increases be accompanied by cost savings that will both reduce current costs and slow cost increases in the future.

SB 863 is a step in the right direction, but success will depend upon regulators, labor and management working together to ensure the promised savings are realized. If SB 863 becomes law, CMTA will closely follow its implementation in the months and years ahead and seek additional reforms, if necessary, to lower costs.

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