Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Labor & Workplace Standards Committee

HB 2338

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: Implementing joint legislative audit and review committee recommendations to improve claims management and efficiencies in workers' compensation.

Sponsors: Representatives Manweller, Haler, Condotta, Chandler and Van Werven.

Brief Summary of Bill

  • Provides that temporary time-loss benefits for injured workers terminate when a worker reaches maximum medical improvement.

Hearing Date: 1/21/16

Staff: Joan Elgee (786-7106).

Background:

Under the state's industrial insurance laws, injured workers are entitled to various benefits, including medical benefits and temporary time-loss benefits. Temporary time-loss benefits provide partial wage replacement for the time period in which the worker is totally disabled. Temporary time-loss benefits are paid as long as the total disability continues.

Once a worker's recovery is so complete that his or her earning power at any kind of work is restored, time-loss benefits end. If the worker returns to his or her job held at the time the injury, or the provider releases the worker to full duty, time-loss benefits end. In other cases, an evaluation of employability must be made.

Employability requires an assessment of the worker's experience, background, work history, and work capacity, and the worker's labor market.

Summary of Bill:

Temporary time-loss benefits continue as long as the worker has not yet reached maximum medical improvement. The requirement that a worker's earning power be restored for benefits to end is eliminated.

Appropriation: None.

Fiscal Note: Available.

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