Calif. Legislature Approves Measure to Increase Workers’ Comp Benefits

Although it could see a likely veto at the hands of Governor Gray Davis, a workers’ compensation measure aimed at raising temporary and permanent disability rates for workers injured on the job was approved by the California Legislature this week. The measure, SB 996 (Johnston, D-Stockton), has been on the debate table for months and faces heavy opposition from the business community.

“Everyone agrees that California workers need a raise in disability rates. However, if the system is going to work effectively, benefit increases must be balanced with improvements that will allow benefits to be delivered promptly and fairly,” Mark Webb, AIA vice president, western region, said in a prepared statement.

SB 996, which would be phased in over a period of three years, would raise disability rates for injured employees from $490.00 to $651.00 per week.

The measure was approved by the Senate on a 24-14 vote and then passed by the Assembly on a 41-28 vote. Sept. 30 is the cutoff for the governor to sign or veto SB 996.