News Digest 9/27/2006

By: Rick Waldinger

Quote of the day

"It reminds you of the days before the child labor laws."

Don Gibson, South Carolina workers' comp attorney, about the exploitation of migrants in the building industry

Go to the full story in the Charleston Post and Courier

Tragic End to Workers’ Comp Story
When her workers’ comp benefits for a back injury ended but the pain did not, former legal writer and teacher Maria King turned to alcohol and ended up mentally ill, with no insurance and homeless on the streets of Berkeley. Her life ended when she was beaten to death in 2005 by two teenage thugs, who were found guilty of murder this week. By Jason Dearen, Inside Bay Area
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AmerisourceBergen to Purchase Florida Firm
Pharmaceutical wholesaler AmerisourceBergen Corp., of Valley Forge, Pa., announces that it has agreed to acquire Florida-based Health Advocates Inc. for about $83 million in cash, in order to expand its workers’ compensation business. By Linda Lloyd, Philadelphia Inquirer
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Building Industry Denies Exploitation of Migrants
South Carolina attorney Don Gibson, who has more than 100 open workers’ compensation cases, says more than half involve employers who pay in cash and fail to declare labor costs to the government, in order to avoid taxes and other financial obligations. Some defend the building industry by contending that scofflaw tactics and exploitation of cheap labor are not norms in the industry. By Adam Parker, Charleston Post and Courier
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Florida Regulators to Hold Hearing on Rate Cut
The Florida Office of Insurance Regulation is planning a public hearing on a 13.3 percent proposed workers’ compensation insurance rate filed by the National Council on Compensation Insurance. NCCI cites a drop in claims frequency, reduced costs of claims, enhanced fraud compliance and compensation reform for attorney and physician fees, as reasons behind the rate cut. South Florida Business Journal
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World Soccer Body May Compromise over Compensation
FIFA, the governing body of world soccer, may compromise with the G14 group of leading clubs in a dispute over who should pay to insure players on national duty, and pay wages when the players return injured from international duty. FIFA says it is ready to alter rules and consider insurance and compensation funds for international players. Sport Business (U.K.)
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Australian Survey Finds Too Many Underinsured Breadwinners
A survey by Australian financial services website Artog.com.au finds that at least 40 percent of respondents say the family breadwinners are underinsured and that their families would be on the brink of financial disaster were they suddenly to die or become incapacitated. The Age (Australia)
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Politically-Charged Trial Delayed Until Eve of Election
The trial of two Cleveland-area stockbrokers on federal charges of conspiring to bribe the former chief financial officer of the Ohio Bureau of Workers’ Compensation has been delayed until Nov. 6—one day before the general election. Columbus Dispatch
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N.Y. Worker Claimed Domestic Dispute Injury Was Work-Related
A 43-year-old former Binghamton, N.Y. water department employee is sentenced to between 1 ½ and 3 years in state prison for falsely reporting that he damaged his knee in a work-related accident when it actually was the result of a domestic dispute. By Nancy Dooling, Binghamton Press and Sun-Bulletin
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