AUGUSTA, Maine — As lawmakers began work on a proposal to revamp Maine’s workers’ compensation system Wednesday in Augusta, some Democrats were skeptical about plans to cap how long injured workers can collect benefits in some cases.
The Labor, Commerce, Research and Economic Development Committee’s work session followed a Feb. 17 public hearing that ran for almost seven hours and saw a number of disabled workers testifying against the proposal.
Proponents at the hearing — including about a dozen lawyers and representatives of industry groups — said the proposal would clear up problematic areas of the law, thereby reducing litigation and taking costs out of the system.
On Wednesday, Rep. Timothy Driscoll, D-Westbrook, noted that he has served on the Labor Committee for eight years and had not heard of the problems the proposal seeks to address before this year.
“I haven’t heard the big outrage around the workers’ compensation system not working in Maine,” said Driscoll. “But all of a sudden this year, I’m now hearing the system is now rife with problems, and this is the first time I’ve heard it in eight years on [the Labor Committee]. It all just seemed to have popped up this year.
“I’m really concerned about the cap that you laid out here,” he said.
Driscoll was talking to Paul Sighinolfi, executive director of the Workers’ Compensation Board, who came up with the proposal after a series of stakeholder meetings last year.
Sighinolfi, who worked as an attorney on workers’ comp cases before taking over at the board a year ago, said he has seen the problems for decades. The system isn’t in “total disarray,” he said. But a particular section of the law is “unworkable, fosters litigation and is unfair to both employees and employers.”
“That’s the problem to the system,” he said.
Sighinolfi’s proposal would, among other things, cap the amount of time claims may be filed for people who are partially but permanently injured to 11.8 years.
Now some of those types of injuries are capped at 10 years, depending on their severity. The most severe are not capped.
Any changes would not affect those who already are collecting workers’ comp benefits.
The proposal makes other changes. Those collecting workers’ comp now get 80 percent of their weekly benefits, capped at $634, which is 90 percent of the statewide weekly average wage after taxes. The proposal would increase the cap to 100 percent of the average wage, raising the weekly payout by $70.
Sighinolfi also provided lawmakers with additional numbers to put Maine’s system in a regional perspective. New Jersey caps benefits at 600 weeks, Connecticut at 520, Massachusetts at 260 (with potential to go up to 520), New Hampshire at 350, Vermont at 405 (550 for spinal injuries.)
States in the region also cap how much a worker can collect per week, with a high of $1,287 in New Hampshire down to $600 in New York.
Sighinolfi also reported that at least 212 people have been categorized in the last two years as being fully incapacitated because of their injuries — unable to work and so able to collect benefits for as long as they are incapacitated. That part of the law won’t change under the proposal.
Laura Backus Hall, a representative of the National Council on Compensation Insurance, which sets the workers’ comp rates in 38 states, including Maine, told the committee that a quick analysis showed the proposal would change the overall system costs by about 2 percent — either up or down. But she said it likely would increase costs by about 1 percent, or just under $2 million a year.
Committee co-chairman Sen. Christopher Rector, R-Thomaston, said the committee would hold another work session on the proposal next week, though it wasn’t yet scheduled.
Any Maine lawmaker who votes for this should be ashamed of themselves.
More “Invention” of problems by the Republicans for Fun and Profit!
The New GOP Battle Cry!
” Kicke’m when there down! “
Don’t you see it? The repubs are trying to convince us that everyone who gets laid off or hurt on the job is a lying cheat. At the same time all the dems think everyone on the dole is a hard worker who fell on tough times.
Why can’t the legislators realize that all these things can be true? Sometimes good people get knocked out of action and need help. Sometimes loser parasites ride the system for all they can get. Sometimes things are in the grey area.
Can’t they grow up and do the hard work, pay attention to details, work together and craft some decent laws that get us closer to a solution?
No. It’s all or nothing in today’s political climate. I am a liberal, but I used to be happy to see compromises that kept our country alive and well. Now, I don’t want my guys to give a damned inch, either. I am old, so I won’t be around to see much more of it. Thank no one.
I believe the Democrats are socialist. Big government and small private enterprise killed the Soviet Union, and will eventually kill the US if it persist.
In the years previous there was no Democrat who heard of any problems with the Maine Turnpike Authority either.
If there are concerns then I would think that the people who work in the Workers Comp Office would be the people to speak to first.
My cousin works in the Bangor Office and from what I hear there is average amount of bogus cases with most people on the level.
Try to be fair. Look at this from the republican side. If you are collecting workers comp you are not working. If you are not working you are not contributing to an employer getting rich. If you are not contributing why should you get paid? If you are getting paid for not working, you are redistributing the wealth from the rest of us who are working and will never be injured, or need or accept help in those circumstances.
It is easy, if you are not working, you don’t deserve to eat, to heat, to survive. How can those of us with jobs be expected to support those who are so dumb they get hurt?
You never see a millionaire sucking the system dry do you? Please ignore tax breaks, lower income taxes, oil company subsidies from tax money, as those are only incentives for them to be able to hire more maids, security and Cayman island bankers. Those expenses are necessary to protect their hard earned cash and should be protected.
It’s good folks like you with good intentions who keep the political infighting alive and well. Let’s quit the fighting , blaming and start working together. Even the most tightwad businessman knows the value of his employees opinions.
It sounds to me like you are saying workers comp and unemployment are one in the same which they are not. I cannot imagine there are very many people who get hurt ON PURPOSE while on the job. People get hurt accidentally every day and I highly doubt you have never personally suffered ANY accidental injuries in your life. In addressing your “try to be fair” comment, I do not think it is fair to accuse people who get hurt as being dumb.
Those who get hurt to the point that they have permanent disabilities adversely affects not just the worker but their spouses, children ,etc. Disabilities tend to prevent the injured people from many job requirements and qualifications unlike those who are unemployed who do qualify or can be trained to qualify.
Obviously, Paul Sighinolfi has never been injured either or he would be much more empathetic.
People who are lucky enough to have jobs and nothing happens to stop them from working eventually will get raises, promotions, etc. While disabled workers will never get any raises and will have to live on the same monthly benefit check forever.
There are no billionaires in Maine. They left a long time ago and took their money with them. Try to tax them unreasonable and they say screw you and leave.
There is nothing wrong with looking at the issues. To think our comp system is perfect is ridiculous. There are win-win options in comp. Workplace safety initiatives that result in less injuries should be the goal. Healthy, injury-free workers who earn a fair wage should be everyone’s goal. Don’t let this issue get railroaded by trail lawyers and unions who have other motives.
Fair wage? Have you been out looking for a job lately?
IF it ain’t broke!
Don’t fix it!
“Don’t let this issue get railroaded by [trial] lawyers and unions who have other motives.”
At the seven hour hearing mentioned in the article, every person who spoke in favor of this bill was either the attorney who proposed the bill or an attorney hired by an insurance company. There was not a single business owner present.
I agree that there is nothing wrong in looking at issues, but Rep. Driscoll identified the problem with the current bill: there is no crisis in worker’s compensation that requires this new law. Premiums and the cost of claims have dropped since 1993. Every year, MEMIC, the state’s largest worker’s compensation insurer, returns millions of dollars of premiums to small businesses because the cost of comp continue to drop in Maine.
Are the insurance rate going to go down or is this only going to increase profits for insurance companies??? If it’s only going to benifit insurance companies and not lower rates for employers, then stop right there and toss the bill…
weekly benefits of 634? wow that more than I get paid to work!!! and I’m a state employee!!!
The $634 rate serves as a maximum cap on the amount of lost wage benefits an injured worker can receive. The measure of “full” weekly workers compensation check now is 80% of an injured worker’s after tax wages. Everyone who is injured therefore gets at least a 20% pay cut while unable to work. For people with high wages, that 20% cut grows to be much larger because the $634 cap is then applied. It is not uncommon for such people to experience 50% to 70% pay cuts on worker’s compensation.
If you don’t think you’re getting paid enough now, picture a 20% pay cut because that’s what’s waiting for you if you get hurt. Also, that worker’s compensation check will not grow over time.; it is set by your wages at the time of injury. So now figure on a 20% pay cut without any future adjustment for inflation. If you don’t think you’re getting paid enough now, picture getting paid 80% of your current wage without the possibility of raises in the future.
I was making more than that at BIW an that was three years ago
This will have far reaching and long term effects on millionaires and billionaires. It will end up putting much needed money into their poor little bank accounts. The governor has pledged to do every thing in his power to increase their wealth before he is drummed out of office in disgrace. Just another easy target for ALEC gang.
You sound like a jealous person. Someone does well and you want to dump on them.
Never been jealous of greed. Probably never going to be. How do you know how “well” I’ve done?
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Yeah right, employers in this state are really getting rich. In order to do well you need people with money. Maine citizens are considered poor by all standards, so no one is getting rich, employees or employers. Maine has the slowest economy in the nation.
I believe that’s 80 percent of their net pay, not gross.
They should consider having it voluntary like other states such as Texas . Our small business has never had a claim. We get absolutely nothing for this service. We just pay in. What a joke the entire system is to small businesses of Maine.