STAND. COM. REP. NO. 2327

Honolulu, Hawaii

, 2006

RE: S.B. No. 3013

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Labor, to which was referred S.B. No. 3013 entitled:

"A BILL FOR AN ACT RELATING TO PROVIDING THE OPPORTUNITY OF LIGHT DUTY WORK TO INJURED EMPLOYEES,"

begs leave to report as follows:

The purpose of this measure is to require the employer of an injured employee who is cleared to return to light or reduced work duty to provide the level of work that the injured employee is cleared to perform.

Testimony in support of this measure was submitted by the Department of Human Resources Development; the Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; the Hawaii Chapter, American Physical Therapy Association; the Hawaii State Chiropractic Association; and the Hawaii State Teachers Association.

Testimony in opposition to this measure was submitted by the Department of Labor and Industrial Relations, the ILWU Local 142, the Hawaii Independent Insurance Agents Association, the Hawaii Insurers Council, the Retail Merchants of Hawaii, and the Society for Human Resource Management – Hawaii Chapter. Comments on this measure were also submitted by the Hawaii Employers' Mutual Insurance Company, Inc.

Your Committee finds that a key objective of the workers' compensation system is to assist an injured employee in returning to work as quickly and safely as possible. Your Committee further finds that often an injured employee is medically cleared to resume work in a reduced duty or light work capacity; however, the employer is unwilling to provide the opportunity for the injured employee to perform work at this level. Your Committee understands that the reluctance of many employers to provide light or reduced work opportunities to an injured employee may be based upon the concern that the employer must then resume paying the injured worker's salary, rather than allow the injured employee to continue to receive benefits from the insurer. An injured employee who returns to work as quickly as possible is more likely to regain full employment status and less likely to progress to a permanently disabled status. Your Committee determines that assisting the injured employee in returning to work at the earliest possible time is in the best interest of the State, the insurer, the employer, and the injured employee.

The testimony submitted did raise legitimate concerns about the measure forcing an employer to "make work" to comply with the law, and the present language may also create conflicts if different medical providers have different views on the employee's ability to perform light, part-time, or restricted work. Your Committee feels that further discussion is appropriate on these points and passes the measure out for consideration by the Committee on Ways and Means where the concerns can be examined further.

Your Committee has amended this measure by making technical, nonsubstantive changes for purposes of clarity and style.

As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3013, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3013, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Labor,

____________________________

BRIAN KANNO, Chair