State Employee Workers’ Comp Costs Nearly $1Billion

California taxpayers paid out nearly $1Billion – some $845 million – for the 2019-20 fiscal year to provide workers’ compensation benefits to California state workers. The state pays claims but no premium. The total is up 5.2% or $41 million from the prior year and is up $123 million or 17% since the 2017-18 fiscal … Read More »

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Targeted Inspections Find 25% Uninsured

The state’s Labor Enforcement Task Force (LETF) uses high-tech reconnaissance and research to identify employers in several industries that are most likely operating in violation of California labor laws. It looks for payment of wages, workplace safety, and providing workers’ compensation coverage. In the latest fiscal year, the task force identified and inspected 578 businesses … Read More »

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Chubb, Hartford Merger Affects California Workers’ Comp Market

Chubb Limited (NYSE: CB) made an unsolicited bid to acquire The Hartford (NYSE: HIG) in what would be a $23 billion deal. Hartford’s board yesterday unanimously rejected the offer after reviewing it with its financial advisors. The merger would have shaken the the California workers’ compensation insurance market where each company is already a major … Read More »

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Kickback Scheme Conviction Upheld

A California jury convicted Gonzalo Ernest Paredes on 51 counts of workers’ compensation insurance fraud for his role in a kickback scheme that bilked employers out of $22 million. He appealed. Now, a state appellate court holds the conviction stands. Paredes, the former office manager for and willing partner of Dr. Ronald Grusd, appealed on … Read More »

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Recall Déjà Vu’

In 2003, proponents of the recall of Governor Gray Davis stated, as part of their justification for the recall:   “Over 296,000 good paying jobs have left California…and more are … Read More »

Avoiding Labor Code 132a Claims

Umbrellas are great, aren’t they?  When I was just a young man chasing my undergraduate degree at UC Davis, winters in that small cow-town could often be quite wet affairs.  Rain, and lots of it, would come pouring down all day and all night, especially if it was a winter in an El Nino year.  … Read More »

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