Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Labor & Workforce Development Committee

HB 1884

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.

Background:

Under the state's Industrial Insurance Act (Act), workers injured in the course of employment are entitled to certain benefits. Workers who are disabled by an occupational disease in the course of employment are entitled to the same benefits as injured workers. An occupational disease is a disease or infection as arises naturally and proximately out of employment. Occupational disease claims must be filed within two years from the date the worker received written notice from a medical provider: (1) of the existence of the occupational disease; and (2) that a claim for benefits may be filed.

The rate of compensation for occupational diseases is established as of the date of disease manifestation. Disease manifestation is the date the disease required medical treatment or became totally or partially disabling, whichever occurred first, without regard to the date the disease was contracted or the date of filing the claim.

If the worker is employed at the time of manifestation, compensation is based on the monthly wage paid on that date regardless of whether the worker is employed in the industry that gave rise to the disease or in an unrelated industry. If the worker is not employed, for causes other than voluntary retirement, at the time of manifestation, compensation is based on the last monthly wage paid.

Compensation benefits for injured workers may be adjusted for cost-of-living increases. The formula for adjustments and when adjustments apply depend upon when the right to compensation was established.

Summary of Bill:

Changes are made in how the rate of compensation is established for occupational diseases that are known to be terminal.

At the first day the worker is entitled to temporary total disability benefits for an occupational disease that is known to be terminal, the rate of compensation must be established based on whichever of the following would result in a greater benefit to the worker:

(1) the wages the worker was receiving at the date of manifestation, as determined by the Department of Labor and Industries (Department), taking into consideration the cost-of-living adjustment required by statute; or

(2) the wages the worker was receiving at the time the occupational disease prevented the worker from continuing to work, regardless of when the disease first manifested, taking into consideration the cost-of-living adjustments subsequent to the date the disease first prevented the worker from continuing to work.

This provision applies to claims filed on or after the effective date of the Act.