News Digest 8/31/2007

By: Rick Waldinger

Quote of the day

"We must stop reinforcing failure and press harder where there is success."

Craig Jung, chief executive of Interstate Bakeries, on the decision to close its Southern California bread business, in part because of high workers' compensation costs.

Go to the full story in the San Diego Union-Tribune

Wonder Bread Bakery Cites Cost of Workers’ Comp in Shutdown
Interstate Bakeries Corp., the maker of Wonder Bread, says it will stop making and selling bread products in Southern California. The company blames in part the high cost of doing business in California, including excessive workers’ compensation costs. By Jennifer Davies, San Diego Union-Tribune
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Charleston Firefighters’ Families to Get $700K Each
The families of nine firefighters killed in a June Charleston, S.C., furniture store fire will receive $700,000 each in donations and workers’ compensation payments, in addition to a possible federal death benefit that could put compensation over $1 million. By AP via Charlotte Observer
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Opinion: Indicted Director Should Stay Away from WSI
Even though a judge has dismissed two felony charges against Workforce Safety and Insurance CEO Sandy Blunt, he should not return to head North Dakota’s workers’ compensation agency, which needs credibility with the general public, injured workers and employers. Bismarck Tribune
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Judge: Prosecutors Have Enough Evidence for Trial of WSI Execs
Prosecutors have enough evidence to put North Dakota’s workers compensation director Sandy Blunt and the agency’s top investigator on trial for conspiracy, a judge has ruled. They stand accused of obtaining at least two Department of Transportation driver’s license photos, which are confidential under state law, in trying to track down whoever was e-mailing payroll information to agency workers. By Dale Wetzel, AP via Forbes
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Richardson Names Director of Nuclear Workers’ Agency
New Mexico Gov. Bill Richardson appoints Loretta Valerio director of the newly established Office of Nuclear Workers’ Advocacy, which will work as a liaison for workers seeking compensation from the Energy Employees Occupational Illness Compensation Act. New Mexico Business Weekly
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BrickStreet Contests Mandamus Petition
A writ of mandamus before the West Virginia Supreme Court of Appeals seeks to force BrickStreet Mutual Insurance Agency to act as a state agency in deciding a petitioner’s total life disability claim. BrickStreet officials contend that as a private entity, it is not subject to a mandamus petition. By Steve Korris, West Virginia Record
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Injured Worker Sues Former Employer for Not Rehiring Him
A Belleville, Ill., painting contractor illegally failed to rehire a worker who suffered a job-related ankle injury after settlement of the workers’ compensation claim, the former employee’s suit for $490,000 alleges. The worker’s suit claims the employer told him that he would only get his job back if he accepted the first settlement offer. By Ann Knef, St. Clair Record
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No Compensation for Victims of Ugandan Military Truck Disaster
The Uganda People’s Defense Force will not compensate victims of an accident that killed 75 soldiers and their family members when a military truck carrying them overturned on a steep slope. Soldiers and their families are excluded from compensation under the Workers Compensation Act, an army spokesman says.
By Grace Matsiko, Christopher Mason and Emmanuel Gyezaho, the Monitor (Kampala) via AllAfrica.com
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One Worker’s Story of Misclassification
New Hampshire labor unions point to the case of an injured contractor who cannot collect workers’ compensation for a horrible foot injury as an example of how some contractors deliberately misclassify workers to avoid paying workers’ comp. New Hampshire’s Labor Department officials say they don’t know exactly how many construction workers in the state are misclassified and that it is extremely difficult to find out because workers don’t want to talk about it. By David Darman, New Hampshire Public Radio [With Audio] Go to the Full Story…