Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Labor & Workforce Development Committee

HB 1317

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Eliminating the industrial insurance offset for social security retirement benefits.

Sponsors: Representative Kirby.

Brief Summary of Bill

  • Eliminates the industrial insurance offset for social security retirement benefits.

Hearing Date: 1/21/11

Staff: Joan Elgee (786-7106).

Background:

Federal and state laws address the coordination of benefits under social security and industrial insurance. Federal law limits the combined total of social security and industrial insurance benefits to 80 percent of average current earnings before the worker's disability.

In 1986, the Legislature enacted legislation requiring industrial insurance benefits to be offset by social security retirement benefits. The Department of Labor and Industries uses a formula that is very similar to the formula for combined social security disability and industrial insurance benefits.

Summary of Bill:

The offset from industrial insurance benefits for social security retirement benefits is eliminated.

Appropriation: None.

Fiscal Note: Requested on 1/18/2011.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.