AUGUSTA, Maine — A bill to overhaul Maine’s workers’ compensation system that has been in the works for months became the latest measure to divide Republicans and Democrats in Augusta.
The majority report of LD 1913 passed 75-71 along sharp party lines after considerable debate on Thursday in the Maine House. It was scheduled to be taken up by the Senate later in the day.
Among other things, the bill:
• Changes the maximum benefit from 80 percent of an employee’s net weekly wages to 66 percent of gross weekly wages.
• Eliminates a requirement that employers must continue paying benefits during an appeal.
• Creates a new appeals divisions and gives it authority to create rules of procedure.
• Shortens the time in which a notice of injury must be given from 90 days to 30 days.
• Alters eligibility requirements and creates a 10-year cap for employees who are permanently impaired with partial incapacity.
Because the majority report passed, the minority report on the bill, which contained a resolve to study the system more closely and bring back recommendations for possible legislation next year, was not taken up in the House on Thursday.
Republicans said the bill is a way to improve a system that hasn’t been significantly altered since the Maine Workers’ Compensation Act was established in 1992.
Rep. Kerri Prescott, R-Topsham, House chairwoman of the Labor Committee, said the bill contains a lot of good reforms that put Maine in line with many other states.
“We keep hearing that workers will fall through the cracks, but [10 years of benefits] isn’t falling through the cracks,” she said.
Rep. Erin Herbig, D-Belfast, said Maine’s current system has resulted in a decrease in the number of claims and in the average length of claims.
“I can’t identify the problem,” she said.
Rep. Robert Hunt, D-Buxton, said the bill is a windfall to insurance companies because they will pay out less money if the changes are approved.
Hunt also said he doesn’t mind that Maine is more generous than the bordering states of Massachusetts and New Hampshire when it comes to programs such as workers’ compensation.
“In Maine, we take care of each other,” he said.
Rep. Dale Crafts, R-Lisbon, however, said he thinks the workers’ compensation system encourages the “entitlement mentality.” He said he’s tired of seeing people who are “supposedly disabled” collect benefits.
“The problem with our society today is we look for a way not to work,” he said.
Rep. Herbert Clark, D-Millinocket, said he was offended by the constant claims of fraud by some.
“None of you have the guts to stand up and defend the worker,” he said.
The bill was opposed heavily by labor groups and others during a recent public hearing. Many turned out Thursday at the State House in an effort to sway lawmakers.
Maine AFL-CIO President Don Barry said he was disappointed with the vote.
“Gov. LePage and his legislative allies did the bidding of the insurance industry today at the expense of Maine working families. This bill will take money out of the pockets of injured workers and hand it over to the insurance companies,” he said in a statement. “Where will injured workers go when they stop receiving benefits and are unable to work? Many will be forced to general assistance, Social Security disability, or other taxpayer-funded programs. Workplace injuries are fundamentally the responsibility of employers and these costs should not be shifted to the public.”
Follow BDN writer Eric Russell on Twitter at @BDNPolitics.
Yet another sad day for Maine workers!!!
The Republican war on workers continues. Absolutely shameless, disgusting. We must remember in November and vote these greedy, selfish rats out.
Its a great day not a sad day. Maybe the reforms will allow businesses to move to Maine so we will have jobs.
Why would this legislation cause businesses to want to move to Maine. It does nothing for employers, it does nothing for workers, it only benefits the insurance companies.
They just dont get it do they!
No, this isn’t the Republican war on workers. Maine has become the worker state, thanks to the influence of big labor on the Democrats who have run this state into the ground over the last 40 years and made us the worst place in the country to do business.
It is time for the Democrats war on business to end.
Please. Enough of the whine. The democrats got us to where we are now. They,are the selfish ones,spending money we don’t have,kicking the can down the road because they did not want to make the needed changes, and risk not getting voted into office again.
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How absurd. Why should Maine have the most lax and generous workers comp system in the country?
Comparitive Analysis only works when you compare ” Different “entities.
States Legislatures get strong armed by special corporate interests to reduce benefits and then claim “Comparitive Analysis ” to the remainding Hold Out States. It effectively creates a perpetual downward spiral that the only benefactor is the Insurance Companies Bottom Line.
Yes, we should let the union bosses and thugs continue to dictate labor policy in this state – it has worked so well.
Learn the facts. The only losers in this restructuring are lawyers and frauds. If there are no frauds, then only lawyers lose. If insurance companies pay out less, competitive forces lower premiums to the companies who pay them. Lower workers comp insurance rates make it easier for businesses to add workers.
You’re wrong. The real loser is the legitimate injured worker who is now going to take home 66% of his pay instead of 80% of his pay. It’s the Republic way! Little by little, strip the working poor of their very last protection and watch them squirm. Having fun yet?
net and gross are key words in the 66% vs 80% argument.
don’t think too hard about it though…it could hurt your brain.
Good maybe our premiums will decrease. We have been one of the highest in nation.
“Maybe” is exactly what this new law was based on.
Falted Conjecture!
” 80 percent of an employee’s net weekly wages to 66 percent of gross weekly wages.”
Think it through rocky
Your equation is is one sided, throwing disabled workers off the cliff at ten years regardless of the disabiling effect of the injury has social implications such as an increase in SSI and other welfare needs, You are only assuming that insurance companies will return the money rather than invest it other ways or payout to share holders and CEO’S.
How exactly do these changes lower fraud? It changes duration and rate of pay.
No they will not hire all it dose is make more profit for them every one knows that
Today you maybe healthy and in good condition and tomorrow you could become seriously injured on the job. I have known people who have experienced just such an event. As an employer I can thankfully say that no one in my company has had to collect workers compensation benefits. I can also say that rates have been dropping ever since the last insurance reform. The last reform was needed….drastically, the system was being gamed not only by injured workers, but by lawyers and doctors as well. We have a lot less “shrinks” in Maine today then we did back in the days of the old workers comp. system. Having said all that what the Maine Legislature has just done is an insult to every working man and women as well as business owners in the State. The primary beneficiary of this legislation are the insurance companies. Again the tea party republicans who are currently in control of the Maine Legislature have shoved the proverbial pole up the backside of both Maine workers and employers.
Thank goodness for that.
Rep. Dale Crafts, R-Lisbon, however, said he thinks the workers’ compensation system encourages the “entitlement mentality.” He said he’s tired of seeing people who are “supposedly disabled” collect benefits.
“The problem with our society today is we look for a way not to work,” he said.
Thus, some become politicians’
so,what happens after the 10 yr cap?
I agree with Dale Crafts.
Rep Crafts is in a wheelchair and has never missed a day of work in his life. The 10 years is only for PARTIALLY disabled.
Herb is this a reelection year?
Rep. Herbert Clark, D-Millinocket, said he was offended by the constant claims of fraud by some.
“None of you have the guts to stand up and defend the worker,” he said.
He was just speaking the truth.
Herb Clark is another Democrat who believes in give aways. This is why Millinocket, East Millinocket and Medway is in such a mess. What a joke this guy is.
Herb is a vote seeking , hand shaking , baby kissing politician. There are many in both political parties.
I know there is some fraud in worker’s compensation – that’s why there should be a division to investigate and take action against those who are engaged in fraudulent activity. But let’s not punish those who have been truly injured on the job. They don’t deserve it.
The truly injured “are ” being investigated by Private Investigators who have NO obligation to the same laws as the government. They follow, stalk and harrass with relative impunity.
By the Insurance industry’s own admission, fraud is less than 1%.
What a crock of crap. Ain’t nothing like screwing the injured worker. I am on Workmans Comp and I can tell you 1st hand it’s not about the injured person getting better and going back to your regular job. It’s all about the money. I ended up doing all the work my employer couldn’t hire anybody to do and which also created a hostile working environment forcing me to quit. I did the same job for a very long time. Due to my injury can never go back to my old job. Now I am being forced to apply for jobs I am not qualified to do or can’t do because of medical restrictions. So my money has been cut. Before I got enough to pay my bills and repair my car and not need any public assistance. I now must apply for food stamps, Mainecare and fuel assistance. I looked at going back to school and getting an Associates degree so I could get and keep a decent job. Workman’s Comp will not recognize you going back to school. They don’t care if your a Walmart Greeter as long as they don’t have to pay. The 80% of the net wages you don’t pay taxes on. I will bet the farm you will have to pay state income tax on 66% of the gross. FYI, when you settle a Workmans Comp claim. You can only settle on the injury. You get nothing for pain and suffering, mental anguish and loss of quality of life.
We should get rid of the entire system and have it a voluntary insurance. If you get hurt file a complaint if the employer was negligent.
Nobody asks to get hurt on the job. Workmans Comp insurance is just what is insurance. To protect the employer from a lawsuit. My employer made my life a living a hell and I cannot sue him for the mental anguish he caused me. I had major shoulder surgery and am very limited to how much I can left, I have no over head range of motion whatsoever. Any type of repetitive work make my shoulder ache. People have lost everything they have worked for due to WC and not wanting to pay. WC and your employer does not care if you have a roof over your head, food on the table etc as long as they don’t have to pay. I am in my 50’s and did the same job for 21 yrs. I am expected to apply for jobs I am not qualified to do. So once again WC sets you up for failure and frustration. So to all your employers who get a lot of non qualified applicants. Some of us have to apply or we will lose our money. Such a waste of everyone’s time. FYI I get $180 a wk and no health insurance. So if any of you think you can go look for a job and pay your bills on that amount be my guest. Just remember this could be anyone of you at anytime.
Another thing who will hire you with what limits you have ?
Nobody will and WC knows this. I am now a liability and no one wants the responsibility should I re injure my right shoulder. So I am forced to do a work search to prove that no one will hire me. I have ended up being on anti anxiety/depression medication because of all the BS I have had to put up with. Right now WC is trying to force me back to work for my employer and I refuse to work in a hostile environment and treated like like I like a piece of crap. So for those who have never been on WC don’t sit there and pass judgement on me until you’ve walked in my shoes. I am going to lose everything I have worked for to the greedy insurance company and an employer who only cares about his bottom line.
So Donna why don’t you run for office and have your ‘perfect’ system implemented?
If you own a business would you hire this guy with the limits he has ?? i bet not So that means these people will be on welfare .
We should get rid of the Republicans that are trying to “screw over” the Injured Maine Workers!
I’ve mentioned it before on this forum, put a bill in place that an injured worker will have the right to sue an employer if they are injured and watch the MENTAL CHALLENGE REPUBLICANS squirm in there seats.
That is the trade-off for unemployment Insurance to begin with. UI insurance in exchange for law suit protection. Depending on the business the employer could stall paying for healthcare indefinitely… now they have to pay.
I think you haven’t thought your position through to all possible outcomes.
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Like Your Handle! (:
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The key word here is could, anything is better then what the workers are facing now with the decreasing amount of payment due to injured workers and YES I have thought my position through how about you?????
Withdraw lawsuit protection and you withdraw workers compensation that provide employees protection. In that case the person with the biggest pockets wins. Who will pay the bills while this is waiting to be settled in court? For that matter who will pay the attorney to sue?
More money shifted into the hands of big business. Tax the working man and his family, tax the working woman to, the republicans can’t rob the middle class fast enough for the work they do.
Can I just say I’m a regular person, and I am definitely not looking for a way not to work.
As a lifelong republican I feel insulted that my party even considered such an unfair and unjust peice of crap as this, Iwonder how many actually understand what they are doing and how many put their brain in park and just vote party lines. My thought is those who voted no used their brain and morel compass.
Your party is controlled by an out of state corporate interests known is Alec.
It NO longer represents the People of Maine Equitably!
BS you are a lifelong Republican.
Vote the GOP Maine Legislators OUT in NOV!!!!
Shame on you Herbie Clark , you know many people in your hometown who are on comp since before the mill closed down and out running the roads, cutting firewood, working jobs under the table, hunting and fishing, etc.etc.etc………someone did mention entitlement mentality. Do you suffer from that also ?
Please see the numbers. A person makes gross $400/week. If they have taxes deducted that equal 20%, that gives them a net of $320/week. 80% of $320 is $256.00/week. The new way is 66% of $400 is $264. It is still about the same as before, just a different way of calculating it.
I wish I knew more about the laws in other states, because I’m not sure of the rationale for dropping the benefit rate. If we were out of line with other states, that would make sense.
The truth is, Maine’s Workers’ Comp was notorious for ease of abuse and high cost to corporations. In fact, I know of two businesses that refused to expand into Maine for this reason. Something about all Workers’ Comp insurance companies refusing to insure in Maine! Apparently there has been reform in the interim, but I wonder if it was enough.
Unfortunately, the only way we can attract businesses and the jobs that come with them is to have regulations at least in line with the rest of the country, if not less restrictive. Why would a company relocate here if it cost MORE to do business?
Workers Compensation should be a FEDERAL LAW.
It affects Interstate Commerce !
As long as States Compete for Lower and Lower and Lower rates . A Downward Spiral for the Injured Worker is the only outcome.
Interstate Commerce. Any product that you eat drink consume use probably crosses state lines at some point.
The only solution is for the Government, under the commerce clause, to predetermine what you must spend your paycheck on. Maybe you can get payroll deductions to make it easier.
“We keep hearing that workers will fall through the cracks, but [10 years of benefits] isn’t falling through the cracks,” she said.
After 10 years, the impairment is still there. I know of someone with a permanent partial impairment who has a learning disability that would keep him from ever having a desk job. If he can’t work in physical labor, what options does he have? It wasn’t broke and didn’t need fixing. I can’t wait to vote these fools out!!
So dose that mean that an injurd worker can now sue there imployeer ??
No, even though the original compromise, bread and roses war of 1912, between labor and business guaranteed that the employer would take care of the injured worker in exchange for labor giving up the right to sue. As long as there is a workers comp system then Business can argue that they’re still taking care of the injured worker.
Well if the doctor says that a person can’t work what do you do ??
You have no choice but to abide by the current workers comp rules.
I don’t know what to tell you. I worked tirelessly for the cause of injured workers and was one of those responsible for shutting down the state govt, according to McKernan. After I and others who worked hard for the cause, left the system, no one took up where we had left off. You chose not to fight then you deserve what you get and boy, are you getting it. The “you” was generic.
More damage done to the working people of Maine so that out of state corporations can have their wishes served up for them.
Maine has a stable WC system after getting off to a rough start. This is another solution in search of a problem.
To any who do not understand why this and why now, the answer is ALEC. Model legislation written by multinational corporations and delivered to your legislators. they don’t even have to write the bills anymore. Someone elses priorities are dropped into our legislative agenda.
Since elections are coming this year it is important to note that Sen. Rich Rosen (R-Bucksport) is the ALEC point man in Augusta. We need to show him the door and send a message to other lawmakers that these model bills have been noticed and that we do not appreciate them.
Thank you and I hope people really see what’s going on here. There’s a big difference between businesses succeeding and trampling on people in the process. I guess all the pompous supporters are invincible and the insurance companies that are behind this have them believing they will never need Workman’s Comp. I guess if you never leave the ivory tower there’s not much chance of being hurt on the job–that would be left to the lowly serfs. I’m so sick of all the anecdotal paranoia of those that cheat the system. There are rotten apples in everything–that’s evident by the ones that voted for this. Funny, they all pretend to be so against worker’s protections and anything they perceive to be welfare–unless it’s corporate welfare.ALEC’s influence extends far beyond merely crafting legislation. It also funds the campaigns of ALECmember legislators, in some cases these funds are used for legislators’ ALEC membership fees and travelexpenses. ALEC is not just a source for ideas, it is a vast apparatus for implementing pro-big-business policy.ALEC state chairs:
Sen. Richard Rosen (R-Bucksport)
Ann Robinson, lobbyist at Preti-Flaherty, co-chair of LePage transition team
Known current members:
Rep. Andre Cushing (R-Hampden)
Rep. James M. Hamper (R-Oxford)
Rep. R. Ryan Harmon (R-Palermo)
Sen. Brian D. Langley (R-Ellsworth)
Sen. Debra Plowman (R-Hampden)
Sen. Christopher W. Rector (R-Thomaston)
Sen. Mike Thibodeau (R-Winterport)
Rep. Carol Weston (R-Montville), former ALEC state chair
In addition, the following current members of the Maine Legislature have served as lead sponsors ofALEC-linked bills:
Rep. Richard Cebra (R-Naples)
Rep. Dale Crafts (R-Lisbon)
Rep. Joyce Fitzpatrick (R-Houlton)
Rep. Stacey Guerin (R-Glenburn)
Rep. Aaron Libby (R-North Waterboro)
Sen. Garret Mason (R-Lisbon Falls)
Rep. Gary Plummer (R-Windham)
Rep. Wesley Richardson (R-Warren)
Sen. Roger Sherman (R-Houlton)
Rep. Heather Sirocki (R-Scarborough)
Rep. Jeff Timberlake (R-Turner)
Rep. Amy Volk (R-Scarborough)
Rep. Tom Winsor (R-Norway)
http://digg.com/newsbar/Politics/who_is_writing_maine_s_laws
If Mr. hunt doesnt mind being more generous than our nieghbors maybe he can help pay my work comp premiums and I can maybe give my workers a raise or hire more people or buy some new equipment and so on.
Worker’s comp in Maine has been a joke since John McKernan signed a change of the laws. It is now cheaper for an employer to injur a worker than to buy the equipment to keep that worker safe.
Injured workers in Maine can not obtain a lawyer to fight for them. employers usually have not only a lawyer, but a paid physician witness.
If an employee is injured on a low paying job (like the AMES warehouse where I once worked) how do they pay the bills while they recover? Say they make more than minimum. At $10 an hour, they make $1,600 a month gross. Say the rent is $650, the electric bill is $100, the Food is $400 Gas is $100 and incidental necessities (clothing car repairs, doctor and dentist bills (unrelated to injury) is $350. all the money is gone. This head of household is living from paycheck to paycheck. What does this family do when the income goes from $1600 to 1056?
I’ll tell you what they do, they rush right down to the town hall and apply for welfare. That means that taxpayers not employers (who caused the injury) must pay.
I’m opposed. Change this law.