March 16, 2007 | Posted By Diane Pfadenhauer | print this article

New York Workers' Compensation Reform

Governor Eliot Spitzer recently sign into law significant changes in New York's Workers' Compensation Law.    Some of the changes will:

  • Reduce employer costs for workers' comp 10 to 15 percent, an estimated annual savings of nearly $1 billion.
  • Raise the maximum weekly benefit for injured workers from $400 to $500 immediately year, $550 next year, $600 the year after that and then to two-thirds of the average weekly wage in New York. After that, benefit levels will go up at the rate of inflation.
  • Limit the length of time that a partially disabled worker can receive benefits, now unlimited, to between four years and 10 years.
  • Raise the minimum weekly benefit from $40 to $100.
  • Provide more help to injured workers to help them get back to work and more help for people classified as more than 80 percent disabled.
  • Increase penalties and sanctions on businesses and employees who try to defraud the system.
New York has one of the most expensive workers' compensation systems in the county.  Let's hope this works.  For more commentary on this see:

The New Yorkers' Compensation Alliance
Joe Paduda's post on Managed Care Matters